Real Insurance Licensing NJ-Life-Producer practice exam questions for easy pass!
Last Updated: Aug 21, 2026
No. of Questions: 95 Questions & Answers with Testing Engine
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| Section | Weight | Objectives |
|---|---|---|
| Topic 1: Types of Life Insurance Policies | 20-25% | - Combination Plans & Policy Variations - Interest-Sensitive & Universal Life Products - Term Life Insurance - Traditional Whole Life Products - Annuities & Retirement Products |
| Topic 2: New Jersey Insurance Laws, Rules & Regulations | 20-25% | - Licensing Requirements & Procedures - Trade Practices & Unfair Trade Laws - State Regulatory Framework & Jurisdiction - Policy Replacement & Disclosure Rules - Ethics, Fiduciary Duty & Consumer Protection |
| Topic 3: Application, Underwriting & Policy Delivery | 10-15% | - Policy Delivery & Legal Responsibilities - Do Not Call & Privacy Regulations - Underwriting Process & Risk Classification - Completing the Application & Disclosure Requirements |
| Topic 4: Policy Riders, Provisions, Options & Exclusions | 20-25% | - Beneficiary Designations & Settlement Options - Required & Optional Policy Provisions - Policy Exclusions & Limitations - Common Policy Riders |
| Topic 5: Taxes, Retirement & Advanced Concepts | 15-20% | - Social Security & Government Benefits - Retirement Plans & Tax Treatment - Business Insurance & Third-Party Ownership - Group Life Insurance |
1. In order to receive fees other than commissions from a life insurance prospect, an insurance producer acting as a consultant must first
A) Obtain a written commitment from the prospect to purchase new life insurance.
B) Present a Comparative Information form to the prospect.
C) Obtain a signed written memorandum from the prospect stating the amount of compensation.
D) Present a Notice Regarding Replacement of Life Insurance form to the prospect.
2. The free look period for an annuity purchased from a local agent is at least
A) 30 days, and not more than 45 days, from the date of policy delivery.
B) 45 days, and not more than 60 days, from the date of policy delivery.
C) 15 days, and not more than 45 days, from the date of policy delivery.
D) 10 days, and not more than 30 days, from the date of policy delivery.
3. The 1944 U.S. v. South-Eastern Underwriters Association case determined that
A) Insurance companies that transact insurance business are subject to the same regulations as banks and savings and loan associations.
B) Individuals who transact insurance business are subject to the same regulations as investment brokers.
C) Insurance is commerce and should be subject to federal regulation.
D) Insurance is commerce and should be subject to state regulation.
4. When can the beneficiary be changed in a life insurance policy?
A) The insurer determines specified dates within the policy to allow for changes.
B) The beneficiary can never be changed once the policy is issued.
C) A beneficiary change can occur upon the request of the revocable beneficiary.
D) The insured can usually change the beneficiary at any time during the policy term.
5. What is the purpose of the Accelerated Death Benefit Rider?
A) To adjust the death benefit to keep up with inflation.
B) To decrease the tax liability of the insured's estate.
C) To increase the death benefit by a stated percentage.
D) To provide for the early payment of the death benefit for a terminally ill insured.
Solutions:
| Question # 1 Answer: C | Question # 2 Answer: D | Question # 3 Answer: C | Question # 4 Answer: D | Question # 5 Answer: D |
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