10 exam-style questions with answers and explanations, straight from our 1,030-question bank. Tap an answer to check yourself. When you're ready, take the scored version in the free practice test.
The VA L&H exam has 150 questions and runs 2 hours 30 minutes.
These 10 free VA L&H questions are organized by exam domain, so you can see how each part of the Virginia Life & Health Insurance Exam blueprint is tested. Reveal the answer and explanation under each question.
A Virginia producer recommends replacing a client's deferred annuity. To induce the exchange, the producer says the existing contract has no surrender charge, although a 7% charge remains, and omits that the new contract begins an eight-year surrender period. This conduct is best classified as:
Correct answer: D - Twisting, because material disadvantages were misrepresented or omitted to induce replacement
After receiving operative notice that one insurer has terminated the appointment, a Virginia producer still holds an active license and appointments with two other insurers. What is the producer's proper course?
Correct answer: B - Stop acting for that insurer within 10 calendar days; the other active appointments remain usable
An insurer furnishes a producer with branded applications, an office inside its branch, and identification that appears to authorize premium collection. Although the private agency contract limits that authority, an applicant reasonably relies on the insurer-created appearance. The applicant's belief rests on:
Correct answer: C - Apparent authority created by the insurer's conduct
A family's life-insurance needs analysis identifies $35,000 for final expenses, $240,000 to retire a mortgage, $180,000 for education, and $545,000 of capital for survivor income. The family has $210,000 in available assets and $300,000 of existing life insurance earmarked for these needs. Ignoring inflation and taxes, how much additional coverage is indicated?
Correct answer: A - $490,000
Two spouses already have adequate income-replacement coverage for the first death. They want one policy whose death benefit becomes payable only after both have died, primarily to provide estate liquidity for their heirs. Which arrangement best matches that objective?
Correct answer: B - Survivorship life insurance paying at the second death
An owner can no longer afford premiums on a whole life policy. The owner wants no further premium payments and wants the original face amount preserved for as long as the existing cash value can support it; lifetime protection is not required. The appropriate nonforfeiture choice is:
Correct answer: C - Extended term insurance at the original face amount
A policyowner named the spouse as irrevocable beneficiary. The owner now wants a policy loan that would materially impair the beneficiary's vested interest. What is generally required before the loan can be taken?
Correct answer: D - Written consent from the irrevocable beneficiary
A consumer insists on purchasing a deferred annuity but refuses to disclose liquid net worth or liquidity needs. Without those facts, the producer cannot evaluate a 10-year surrender schedule. The compliant response is to:
Correct answer: D - Document the refusal and treat any resulting transaction as nonrecommended
A 45-year-old policyowner borrows $12,000 from a life contract classified as a modified endowment contract. The contract has at least $30,000 of gain, and no penalty exception applies. How is the loan generally treated for federal income-tax purposes?
Correct answer: B - $12,000 is taxable gain first and generally subject to the 10% additional tax
A private employer has 35 employees, maintains no other retirement plan, and wants employees to make salary-reduction contributions. The employer is willing to provide either a dollar-for-dollar match up to 3% of compensation or a 2% nonelective contribution, with immediate vesting. Which plan fits these requirements?
Correct answer: C - SIMPLE IRA
The VA L&H exam also covers these domains. Drill them in the full free practice test:
The full bank has 1,020 more VA L&H questions with explanations.
Continue in the free practice test →
View plans