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Maryland Insurance Administration Life-Producer Exam Syllabus Topics:

SectionWeightObjectives
Annuities and Retirement Products15%- Types and features
  • 1. Distribution options
    • 2. Fixed and variable annuities
      • 3. Tax-qualified plans
        General Insurance Concepts15%- Fundamental principles
        • 1. Insurable interest
          • 2. Contract law basics
            • 3. Risk and hazard
              Life Insurance Underwriting and Premiums15%- Risk assessment and pricing
              • 1. Underwriting process
                • 2. Classification of risks
                  • 3. Premium calculation factors
                    Life Insurance Policies25%- Policy types and provisions
                    • 1. Policy clauses and riders
                      • 2. Beneficiary designations
                        • 3. Term, whole life, universal life
                          Insurance Regulation15%- State insurance laws and administration
                          • 1. Unfair trade practices
                            • 2. Licensing requirements and authority
                              • 3. Regulation of agents and insurers
                                Federal and State Tax Considerations10%- Tax treatment of policies and benefits
                                • 1. Income tax implications
                                  • 2. Estate tax aspects
                                    • 3. Tax-deferred growth

                                      Maryland Insurance Administration Maryland Life Producer Exam (Series 20-27) Sample Questions:

                                      An employee with $50,000 group life insurance coverage terminates employment and submits an application WITHOUT the initial premium for a $50,000 conversion policy. If the employee dies 15 days later, the insurer would pay:

                                      • A. $50,000 under the new policy
                                      • B. Nothing at all
                                      • C. $50,000 under the new policy, less the initial premium amount due
                                      • D. $50,000 under the group plan
                                      Reveal Solution  Discussion  0

                                      Correct Answer: D  🗳️

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

                                      A life insurance producer is normally responsible for all of the following EXCEPT:

                                      • A. Collecting the initial premium from the applicant
                                      • B. Approving policies for issue on behalf of the insurer
                                      • C. Notifying the company if a new policy will replace an existing policy
                                      • D. Delivering newly issued policies to applicants
                                      Reveal Solution  Discussion  0

                                      Correct Answer: B  🗳️

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

                                      Which advantage does an employer gain by providing a qualified retirement plan, as contrasted to a non- qualified plan?

                                      • A. It can be designed for the exclusive benefit of several key employees
                                      • B. It is useful in rewarding selected employees for good work performance
                                      • C. The plan funds are available for general business needs
                                      • D. The employer's contributions to the plan are tax deductible
                                      Reveal Solution  Discussion  0

                                      Correct Answer: D  🗳️

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

                                      The life insurance buyer's guide includes information about all of the following EXCEPT how to:

                                      • A. Compare life insurance policy requirements
                                      • B. Take civil action against an insurer
                                      • C. Decide how much life insurance to buy
                                      • D. Calculate
                                      Reveal Solution  Discussion  0

                                      Correct Answer: B  🗳️

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

                                      A policyholder uses a Section 1035 exchange to replace an existing life insurance policy. If the new policy is later surrendered, the gain realized on termination is taxed as:

                                      • A. Ordinary income
                                      • B. A deferred capital gain
                                      • C. A capital gain
                                      • D. Ordinary income plus a 10% surcharge
                                      Reveal Solution  Discussion  0

                                      Correct Answer: A  🗳️

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

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