Free Virginia Life & Annuities Insurance Practice Exam 3
Prepare for your licensing exam with our realistic state-specific test questions, complete answers, and detailed rationales.
Exam Structure & Overview
Passing the Virginia insurance exam is the ultimate step toward launching your career as a licensed professional. This practice test consists of 25 high-probability questions sampled to match the general composition of topics tested on the real state licensing examination.
Whether you are preparing for the Life & Annuities lines or a combined license, practicing with mock questions helps cement concepts, improves time management, and reduces test-day anxiety.
Key Practice Focus Areas
- State Laws & Regulations: Specific rules, licensing duties, and consumer protections.
- Policy Provisions & Options: Standard contract clauses, riders, exclusions, and riders.
- General Principles: Underwriting basics, insurance concepts, and legal requirements.
Recommended Study PathTry this practice exam fully. Review each explanation carefully when an answer is submitted. If you feel ready to unlock the full comprehensive question database, visit the main state hub for deeper exam simulations.
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Test 325 Questions
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Life InsurancePremiums & Taxes
Dividends received from a participating life insurance policy are:
General InsuranceUnderwriting & Policy Issuance
A 'binding receipt' provides:
Virginia Insurance Law & EthicsReplacement regulations
An insurer, Cavalier Life, acts as a replacing insurer for a new client. Under Virginia law, how long must Cavalier Life retain copies of all replacement notices and sales proposals?
Life InsuranceWhole Life
The 'extended term' nonforfeiture option uses a lapsed policy's cash value to:
Life InsuranceWhole Life
A limited-pay whole life policy (such as 20-Pay Life) differs from straight whole life because:
AnnuitiesSuitability & Taxation
A client, age 65, receives her first monthly payment of $500 from a non-qualified immediate annuity. She paid a $90,000 premium, and her life expectancy gives her an expected return of $120,000. How much of the $500 payment is taxable?
Virginia Insurance Law & EthicsClaims handling
An insurer denies a health insurance claim because the claimant did not use a preferred provider. The policyholder claims they were never given a list of preferred providers. What is the insurer's duty?
Virginia Insurance Law & EthicsState Guaranty Association
An insurance company, Star Mutual, is declared insolvent by a Virginia court. Which entity is responsible for protecting policyholders and paying covered claims?
Virginia Insurance Law & EthicsUnfair trade practices
An agent represents to an applicant that they must purchase an optional accident rider as a condition for getting their health insurance application approved by the state. What is this practice called?
Life InsuranceUniversal Life
A 'no-lapse guarantee' provision in a guaranteed universal life (GUL) policy:
AnnuitiesTypes & Payout Options
Which annuity payout option provides the highest monthly income but ceases all payments upon the annuitant's death?
General InsuranceContracts & Terminology
The insurer's consideration in an insurance contract is the:
Virginia Insurance Law & EthicsState Insurance Code overview
An insurance company incorporated under the laws of Maryland is selling policies in Virginia. How is this insurer classified in Virginia?
AnnuitiesAnnuity Basics
The 'annuitization' of a deferred annuity is the process of:
Life InsuranceBeneficiaries
A 'per stirpes' beneficiary designation means that if a beneficiary predeceases the insured:
Life InsuranceBeneficiaries
Who would be the most appropriate beneficiary for a Key Person life insurance policy?
Life InsurancePremiums & Taxes
A 1035 exchange allows a policyowner to:
Life InsuranceRiders & Provisions
What is a Viatical Settlement?
Life InsuranceGroup Life
In a noncontributory group life insurance plan:
Life InsuranceLife Insurance Basics
Life insurance premiums are primarily based on which of the following?
Life InsuranceSocial Security (OASDI)
Delayed retirement credits under Social Security increase benefits for each year a worker delays retirement past full retirement age up to age:
General InsuranceContracts Terminology
An insurance contract is classified as a contract of adhesion because:
General InsuranceBasic Principles
The 'large loss principle' suggests that insurance is most cost-effective when:
Life InsuranceGroup Life
Group life insurance premiums paid by the employer for the first $50,000 of each employee's coverage are:
AnnuitiesTypes & Payout Options