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Insurance Licensing Hawaii-Life-Producer Exam Syllabus Topics:

SectionWeightObjectives
Topic 1: Types of Policies15%- Traditional whole life products
  • 1. Ordinary whole life
    • 2. Limited-pay and single-premium life
      - Interest/market-sensitive/adjustable life products
      • 1. Variable whole life
        • 2. Interest-sensitive whole life
          • 3. Indexed life
            • 4. Variable universal life
              • 5. Universal life
                - Annuities
                • 1. Fixed and variable
                  • 2. Indexed
                    • 3. Immediate and deferred
                      • 4. Payout options
                        • 5. Single and flexible premium
                          • 6. Accumulation and annuity periods
                            - Combination plans and variations
                            • 1. Joint life
                              • 2. Survivorship life
                                - Term life
                                • 1. Special features
                                  • Renewable
                                  • Convertible
                                • 2. Types
                                  • Level
                                  • Decreasing
                                  • Return of premium
                                  • Annually renewable
                                Topic 2: Retirement and Other Life Insurance Concepts8%- Social Security benefits
                                - Tax treatment of insurance premiums, proceeds, and dividends
                                - Group life insurance
                                • 1. Conversion privilege
                                  • 2. Contributory vs. noncontributory
                                    - Third-party ownership
                                    - Retirement plans
                                    • 1. Nonqualified plans
                                      • 2. Qualified plans
                                        - Life insurance needs analysis and suitability
                                        • 1. Business insurance needs
                                          • 2. Personal insurance needs
                                            - Life settlements
                                            Topic 3: Hawaii Laws and Rules Common to Life, Accident and Health, Property, Casualty and Personal Lines Insurance23%- Definitions
                                            • 1. Insurance
                                              • 2. Domestic, foreign, and alien
                                                • 3. Certificate of authority
                                                  • 4. Authorized and unauthorized
                                                    • 5. Stock, reciprocal, and mutual
                                                      - Marketing practices
                                                      • 1. Unfair and deceptive practices
                                                        • 2. Sharing commissions
                                                          • 3. Required records and record retention
                                                            • 4. Reporting and accounting for premiums
                                                              • 5. Premiums
                                                                • 6. Controlled business
                                                                  - Guaranty associations
                                                                  - Licensing
                                                                  • 1. General qualifications for licensing
                                                                    • 2. Denial, suspension, and revocation of licenses
                                                                      • 3. Renewal of license and continuing education
                                                                        • 4. Persons required to be licensed
                                                                          - Insurance Commissioner
                                                                          • 1. Penalties
                                                                            • 2. Notice of hearings
                                                                              • 3. General powers and duties
                                                                                • 4. Examination of records
                                                                                  Topic 4: Completing the Application, Underwriting, and Delivering the Policies12%- Contract law
                                                                                  • 1. Elements of a contract
                                                                                    • 2. Unique aspects of the insurance contract
                                                                                      - Completing the application
                                                                                      • 1. Required signatures
                                                                                        • 2. Collecting the initial premium and issuing the receipt
                                                                                          • 3. Changes in the application
                                                                                            • 4. Consequences of incomplete applications
                                                                                              • 5. Replacement
                                                                                                • 6. Warranties and representations
                                                                                                  • 7. Gramm-Leach-Bliley Act privacy
                                                                                                    • 8. USA PATRIOT Act and anti-money laundering
                                                                                                      • 9. Disclosures at point of sale
                                                                                                        - Delivering the policy
                                                                                                        • 1. Explaining the policy, provisions, riders, exclusions, and ratings to the client
                                                                                                          • 2. When coverage begins
                                                                                                            - Underwriting
                                                                                                            • 1. Fair Credit Reporting Act
                                                                                                              • 2. Risk classification
                                                                                                                • 3. Medical information and consumer reports
                                                                                                                  • 4. Insurable interest
                                                                                                                    • 5. Stranger/investor-owned life insurance
                                                                                                                      Topic 5: Hawaii Laws and Rules Pertinent to Life Insurance Only12%- Marketing methods and practices
                                                                                                                      • 1. Replacement
                                                                                                                        • Definition
                                                                                                                        • Duties of producers
                                                                                                                        • Duties of insurers that use producers
                                                                                                                        • Duties of replacing insurers that use producers
                                                                                                                        • Duties of the existing insurer
                                                                                                                      • 2. Annuities
                                                                                                                        • Disclosure
                                                                                                                        • Suitability
                                                                                                                      - Policy clauses and provisions
                                                                                                                      • 1. Spouse's rights
                                                                                                                        • 2. Protection of beneficiaries from creditors
                                                                                                                          • 3. Policy loan interest rate
                                                                                                                            - Participation in surplus
                                                                                                                            - Credit life
                                                                                                                            - Group life
                                                                                                                            • 1. Assignment of proceeds
                                                                                                                              • 2. Group requirements
                                                                                                                                • 3. Conversion
                                                                                                                                  - Variable contracts
                                                                                                                                  Topic 6: Life Provisions, Riders, Options, and Exclusions15%- Policy exclusions
                                                                                                                                  • 1. War
                                                                                                                                    • 2. Dangerous occupation
                                                                                                                                      • 3. Aviation
                                                                                                                                        - Policy riders
                                                                                                                                        • 1. Payor benefit
                                                                                                                                          • 2. Waiver of premium and waiver of monthly deduction
                                                                                                                                            • 3. Return of premium
                                                                                                                                              • 4. Cost of Living
                                                                                                                                                • 5. Disability
                                                                                                                                                  • 6. Guaranteed insurability
                                                                                                                                                    • 7. Accidental death and/or accidental death and dismemberment
                                                                                                                                                      • 8. Long term care
                                                                                                                                                        • 9. Other insureds
                                                                                                                                                          • 10. Term riders
                                                                                                                                                            - Policy provisions and options
                                                                                                                                                            • 1. Policy loans, withdrawals, and partial surrenders
                                                                                                                                                              • 2. Dividends and dividend options
                                                                                                                                                                • 3. Free look
                                                                                                                                                                  • 4. Suicide
                                                                                                                                                                    • 5. Beneficiary designations
                                                                                                                                                                      • 6. Insuring clause
                                                                                                                                                                        • 7. Accelerated death benefits
                                                                                                                                                                          • 8. Consideration
                                                                                                                                                                            • 9. Non-forfeiture options
                                                                                                                                                                              • 10. Reinstatement
                                                                                                                                                                                • 11. Assignments
                                                                                                                                                                                  • 12. Entire contract
                                                                                                                                                                                    • 13. Owner's rights
                                                                                                                                                                                      • 14. Misstatement of age and gender
                                                                                                                                                                                        • 15. Premium payment
                                                                                                                                                                                          • 16. Incontestability
                                                                                                                                                                                            • 17. Settlement options

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

                                                                                                                                                                                              A method of providing life insurance on the husband of a person covered by a life insurance policy is by:

                                                                                                                                                                                              • A. a Return of Premium rider
                                                                                                                                                                                              • B. an Accidental Death and Dismemberment (AD & D) rider
                                                                                                                                                                                              • C. a Guaranteed Insurability Option rider
                                                                                                                                                                                              • D. a Spouse Term rider
                                                                                                                                                                                              Reveal Solution  Discussion  0

                                                                                                                                                                                              Correct Answer: D  🗳️

                                                                                                                                                                                              Explanation: Only visible for 2Pass4sure members. You can sign-up / login (it's free).

                                                                                                                                                                                              A convicted felon may receive a life or health license only if a felony waiver is approved by:

                                                                                                                                                                                              • A. the local police department
                                                                                                                                                                                              • B. the appointing general agent
                                                                                                                                                                                              • C. a court order
                                                                                                                                                                                              • D. the Insurance Commissioner
                                                                                                                                                                                              Reveal Solution  Discussion  0

                                                                                                                                                                                              Correct Answer: D  🗳️

                                                                                                                                                                                              Which of the following policies accumulates the greatest amount of cash value per $1,000 of face amount?

                                                                                                                                                                                              • A. Yearly Renewable Term
                                                                                                                                                                                              • B. Decreasing Term
                                                                                                                                                                                              • C. Family Income
                                                                                                                                                                                              • D. Whole Life
                                                                                                                                                                                              Reveal Solution  Discussion  0

                                                                                                                                                                                              Correct Answer: D  🗳️

                                                                                                                                                                                              Explanation: Only visible for 2Pass4sure members. You can sign-up / login (it's free).

                                                                                                                                                                                              Who retains the right to name a beneficiary of a life insurance contract?

                                                                                                                                                                                              • A. The producer
                                                                                                                                                                                              • B. The insurance company
                                                                                                                                                                                              • C. The policyowner
                                                                                                                                                                                              • D. The insured
                                                                                                                                                                                              Reveal Solution  Discussion  0

                                                                                                                                                                                              Correct Answer: C  🗳️

                                                                                                                                                                                              Explanation: Only visible for 2Pass4sure members. You can sign-up / login (it's free).

                                                                                                                                                                                              The Hawaii Insurance Commissioner may suspend an insurance license if the licensee:

                                                                                                                                                                                              • A. applies for a license with another state within ninety days
                                                                                                                                                                                              • B. terminates the contract with the licensee's former insurance company and requests a transfer to another insurance company
                                                                                                                                                                                              • C. does not sell at least two policies in a given year
                                                                                                                                                                                              • D. materially misrepresents the terms of an insurance contract
                                                                                                                                                                                              Reveal Solution  Discussion  0

                                                                                                                                                                                              Correct Answer: D  🗳️

                                                                                                                                                                                              Explanation: Only visible for 2Pass4sure members. You can sign-up / login (it's free).

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