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Insurance Licensing Hawaii-Life-Producer Exam Syllabus Topics:

SectionObjectives
Topic 1: Life - Hawaii Specific- Hawaii Laws and Rules Pertinent to Life Insurance Only
  • 1. Policy Clauses and Provisions
    • Protection of beneficiaries from creditors
    • Policy loan interest rate
    • Spouse's rights
  • 2. Participation in Surplus
    • 3. Marketing methods and practices
      • Replacement
      • Annuities
    • 4. Credit Life
      • 5. Group Life
        • Group requirements
        • Assignment of proceeds
        • Conversion
      • 6. Variable Contracts
        - Hawaii Laws and Rules Common to Life, Accident and Health, Property, Casualty and Personal Lines Insurance
        • 1. Definitions
          • Authorized and unauthorized
          • Domestic, foreign, and alien
          • Stock, reciprocal and mutual
          • Certificate of authority
          • Insurance
        • 2. Guaranty Associations
          • 3. Marketing practices
            • Unfair and deceptive practices
            • Reporting and accounting for premiums
            • Sharing commissions
            • Required records and record retention
            • Controlled business
            • Premiums
          • 4. Insurance Commissioner
            • General powers and duties
            • Examination of records
            • Notice of hearings
            • Penalties
          • 5. Licensing
            • General qualifications for licensing
            • Persons required to be licensed
            • Denial, suspension, and revocation of licenses
            • Renewal of license and continuing education
          Topic 2: Life - General Knowledge- Completing the Application, Underwriting, and Delivering the Policies
          • 1. Completing the application
            • Required signatures
            • Changes in the application
            • Consequences of incomplete applications
            • Warranties and representations
            • Collecting the initial premium and issuing the receipt
            • Replacement
            • Disclosures at point of sale
            • USA PATRIOT Act and anti-money laundering
            • Gramm-Leach-Bliley Act privacy
          • 2. Underwriting
            • Insurable interest
            • Medical information and consumer reports
            • Fair Credit Reporting Act
            • Risk classification
            • Stranger/Investor-owned life insurance
          • 3. Contract law
            • Elements of a contract
            • Unique aspects of the insurance contract
          • 4. Delivering the policy
            • When coverage begins
            • Explaining the policy and its provisions, riders, exclusions, and ratings to the client
          - Types of Policies
          • 1. Traditional whole life products
            • Ordinary whole life
            • Limited-pay and single-premium life
          • 2. Interest/market-sensitive/adjustable life products
            • Universal life
            • Variable whole life
            • Variable universal life
            • Interest-sensitive whole life
            • Indexed life
          • 3. Term life
            • Types
            • Special features
          • 4. Combination plans and variations
            • Joint life (first to die)
            • Survivorship life (second to die)
          • 5. Annuities
            • Single and flexible premium
            • Immediate and deferred
            • Fixed and variable
            • Indexed
            • Accumulation and annuity periods
            • Payout options
          - Life Provisions, Riders, Options, and Exclusions
          • 1. Policy exclusions
            • War
            • Aviation
            • Dangerous occupation
          • 2. Policy provisions and options
            • Entire contract
            • Insuring clause
            • Free look
            • Consideration
            • Owner's rights
            • Beneficiary designations
            • Premium payment
            • Reinstatement
            • Policy loans, withdrawals, partial surrenders
            • Non-forfeiture options
            • Dividends and dividend options
            • Incontestability
            • Assignments
            • Suicide
            • Misstatement of age and gender
            • Settlement options
            • Accelerated death benefits
          • 3. Policy riders
            • Waiver of premium and waiver of monthly deduction
            • Guaranteed insurability
            • Payor benefit
            • Accidental death and/or accidental death and dismemberment
            • Term riders
            • Other insureds
            • Long term care
            • Return of premium
            • Disability
            • Cost of Living
          - Retirement and Other Insurance Concepts
          • 1. Life insurance needs analysis and suitability
            • Personal insurance needs
            • Business insurance needs
          • 2. Tax treatment of insurance premiums, proceeds, and dividends
            • Individual life
            • Group life
            • Modified Endowment Contracts
          • 3. Social Security benefits
            • 4. Retirement plans
              • Qualified plans
              • Nonqualified plans
            • 5. Group life insurance
              • Conversion privilege
              • Contributory vs. noncontributory
            • 6. Life settlements
              • 7. Third-party ownership

                Insurance Licensing Hawaii Life Producer Exam (InsHI_Life01 OPLife01) Sample Questions:

                1. If an applicant for a Life policy does not pay the premium when the application is submitted and the insurance company subsequently approves the application and issues the contract, coverage becomes effective at which of the following times?

                A) When the policy is mailed to the producer
                B) When the policy is delivered and the initial premium is paid to the producer
                C) On the date that the application is taken by the producer
                D) On the date that the application is approved by the insurance company


                2. An individual purchases a life insurance policy delivered in Hawaii. After reviewing the contract, the purchaser decides that the coverage does not meet their needs. Under Hawaii law, within how many days after receiving the policy may the purchaser return it for a refund of premium?

                A) 10 days
                B) 5 days
                C) 15 days
                D) 30 days


                3. An insurance company whose governing body is elected by its policyholders is a:

                A) mutual company
                B) stock company
                C) fraternal beneficiary association
                D) reciprocal company


                4. An individual annuity contract delivered in Hawaii that requires continuing stipulated payments must generally provide a grace period of at least:

                A) 10 days
                B) 15 days
                C) 45 days
                D) 30 days


                5. A lapsed Hawaii individual life insurance policy is being reinstated. Interest charged on overdue premiums and qualifying policy indebtedness under the statutory reinstatement provision may NOT exceed:

                A) 10% per year
                B) 4% per year
                C) 8% per year compounded monthly
                D) 6% per year compounded annually


                Solutions:

                Question # 1
                Answer: B
                Question # 2
                Answer: A
                Question # 3
                Answer: A
                Question # 4
                Answer: D
                Question # 5
                Answer: D

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