This quiz has 20 questions and should answer most of the annuity questions on state exams.  Your goal should be to miss 5 or less.

5 Sample Questions

In a Life Annuity with a 10-year Period Certain, living beyond the tenth year will result in:

  • A. A decreased payout in year eleven and beyond
  • B. No payout in year eleven and beyond
  • C. The same monthly benefit for life
  • D. A payout until all money is gone

Which describes taxation rules in an Annuity?

  • A. Tax deductible contribution
  • B. Tax deferred growth
  • C. Tax free benefit
  • D. 10% Tax penalty on payout

An Annuity Owner wishes to ensure that all the principal dollars invested in his Annuity will be paid to either him or his beneficiaries.  You would advise the Annuity Owner to purchase any of the following except:

  • A. Fixed Amount Annuity Certain
  • B. Fixed Period Annuity Certain
  • C. Life Annuity with Period Certain
  • D. Refund Life Annuity

Who can buy an Annuity?

  • A. Only those with Earned Income
  • B. Only those with no other Retirement Plan
  • C. Only those younger than 59 1/2
  • D. Anyone

Which would be true of both a Fixed Dollar Life Annuity with a Period Certain and a Variable Life Annuity with a Period Certain?

  • A. Both guarantee a dollar payout throughout the life of the Annuitant
  • B. Both guarantee a unit payout throughout the life of the Annuitant
  • C. Both guarantee a dollar payout for a certain period of time
  • D. Both guarantee lifetime payouts

More by Randall Montgomery

Indiana Life and Health Insurance Practice Final E...

This is the Quizzywhiz Final Exam.  It has the look and feel of the state exam that you will be taking.  This is not meant to replace prelicensing education.  This exam alone will not satisfy the state requirement of 40 hours of prelicensing training.  However, this quiz is an excellent review no matter which school you attended or course you completed.  These ARE NOT the same questions that you will see on an exam.  So, the goal is to not memorize the questions but to understand the concepts.  When you are finished with the exam you will see your score   Take your time, don't overthink, and good luck!