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

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

                                                                                                                                                                                              Question #1

                                                                                                                                                                                              If an annuity buyer's guide and disclosure document are NOT provided at or before the time of application in Hawaii, the applicant must receive an additional free-look period of at least:

                                                                                                                                                                                              • A. 10 days
                                                                                                                                                                                              • B. 15 days
                                                                                                                                                                                              • C. 30 days
                                                                                                                                                                                              • D. 20 days
                                                                                                                                                                                              Reveal Solution  Discussion  0

                                                                                                                                                                                              Correct Answer: B  🗳️

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                                                                                                                                                                                              Question #2

                                                                                                                                                                                              Unless the person entitled to the funds directs otherwise in writing, a Hawaii insurance producer holding return premium funds must return those funds within:

                                                                                                                                                                                              • A. 10 days
                                                                                                                                                                                              • B. 30 days
                                                                                                                                                                                              • C. 20 days
                                                                                                                                                                                              • D. 60 days
                                                                                                                                                                                              Reveal Solution  Discussion  0

                                                                                                                                                                                              Correct Answer: B  🗳️

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                                                                                                                                                                                              Question #3

                                                                                                                                                                                              When an applicant has existing life insurance or annuity contracts, a replacing insurer must generally retain completed and signed replacement notices and related required sales documentation for at least:

                                                                                                                                                                                              • A. 5 years after termination or expiration of the proposed policy or contract
                                                                                                                                                                                              • B. 10 years after the replacement date
                                                                                                                                                                                              • C. 1 year after policy issue
                                                                                                                                                                                              • D. 3 years after application
                                                                                                                                                                                              Reveal Solution  Discussion  0

                                                                                                                                                                                              Correct Answer: A  🗳️

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                                                                                                                                                                                              Question #4

                                                                                                                                                                                              An insurer terminates its appointment and business relationship with a Hawaii insurance producer. The insurer must generally notify the Insurance Commissioner within:

                                                                                                                                                                                              • A. 10 days
                                                                                                                                                                                              • B. 15 days
                                                                                                                                                                                              • C. 30 days
                                                                                                                                                                                              • D. 60 days
                                                                                                                                                                                              Reveal Solution  Discussion  0

                                                                                                                                                                                              Correct Answer: C  🗳️

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                                                                                                                                                                                              Question #5

                                                                                                                                                                                              How often may the Insurance Commissioner examine the insurance account records, and transactions of an insurance producer?

                                                                                                                                                                                              • A. Only when requested to do so by the producer
                                                                                                                                                                                              • B. No more than once a year
                                                                                                                                                                                              • C. Only as often as is mutually agreed to by the Commissioner and the producer
                                                                                                                                                                                              • D. As often as the Commissioner deems advisable
                                                                                                                                                                                              Reveal Solution  Discussion  0

                                                                                                                                                                                              Correct Answer: D  🗳️

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