SD Life Producer — Information & Free Practice
US-SD · Examination information
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SD Life Producer
- Provider
- Pearson VUE
- Format
- Computer-delivered examination at a test center
- Exam questions
- Handbook: 90 total; outline: 50 general scored plus 5 pretest and 25 state scoreable plus 5 pretest
- Time limit
- 120 minutes
- Passing score
- 70 (scaled score)
- Exam fee
- $85
Examination outline
I. TYPES OF POLICIES
- A. Traditional whole life products
- A. Traditional whole life products / 1. Ordinary whole life
- A. Traditional whole life products / 2. Limited-pay and single-premium life
- B. Interest/market-sensitive/adjustable life products
- B. Interest/market-sensitive/adjustable life products / 1. Universal life
- B. Interest/market-sensitive/adjustable life products / 2. Variable whole life
- B. Interest/market-sensitive/adjustable life products / 3. Variable universal life
- B. Interest/market-sensitive/adjustable life products / 4. Interest-sensitive whole life
- B. Interest/market-sensitive/adjustable life products / 5. Indexed life
- C. Term life
- C. Term life / 1. Types
- C. Term life / 1. Types / a. Level
- C. Term life / 1. Types / b. Decreasing
- C. Term life / 1. Types / c. Return of premium
- C. Term life / 1. Types / d. Annually renewable
- C. Term life / 2. Special features
- C. Term life / 2. Special features / a. Renewable
- C. Term life / 2. Special features / b. Convertible
- D. Annuities
- D. Annuities / 1. Single and flexible premium
- D. Annuities / 2. Immediate and deferred
- D. Annuities / 3. Fixed and variable
- D. Annuities / 4. Indexed
- D. Annuities / 5. Accumulation and Annuity Periods
- D. Annuities / 6. Payout options
- E. Combination plans and variations
- E. Combination plans and variations / 1. Joint life (first to die)
- E. Combination plans and variations / 2. Survivorship life (second to die)
II. LIFE PROVISIONS,RIDER, OPTIONS, AND EXCLUSIONS
- A. Policy riders
- A. Policy riders / 1. Waiver of premium and waiver of monthly deduction
- A. Policy riders / 2. Guaranteed insurability
- A. Policy riders / 3. Payor benefit
- A. Policy riders / 4. Accidental death and/or accidental death and dismemberment
- A. Policy riders / 5. Term riders
- A. Policy riders / 6. Other insureds
- A. Policy riders / 7. Long term care
- A. Policy riders / 8. Return of premium
- A. Policy riders / 9. Disability
- A. Policy riders / 10. Cost of Living
- B. Policy provisions and options
- B. Policy provisions and options / 1. Entire contract
- B. Policy provisions and options / 2. Insuring clause
- B. Policy provisions and options / 3. Free look
- B. Policy provisions and options / 4. Consideration
- B. Policy provisions and options / 5. Owner’s rights
- B. Policy provisions and options / 6. Beneficiary designations
- B. Policy provisions and options / 6. Beneficiary designations / a. Primary and contingent
- B. Policy provisions and options / 6. Beneficiary designations / b. Revocable and irrevocable
- B. Policy provisions and options / 6. Beneficiary designations / c. Common disaster
- B. Policy provisions and options / 6. Beneficiary designations / d. Minor beneficiaries
- B. Policy provisions and options / 6. Beneficiary designations / c. Designation by class
- B. Policy provisions and options / 7. Premium Payment
- B. Policy provisions and options / 7. Premium Payment / a. Modes
- B. Policy provisions and options / 7. Premium Payment / b. Grace period
- B. Policy provisions and options / 7. Premium Payment / c. Automatic premium loan
- B. Policy provisions and options / 7. Premium Payment / d. Level or flexible
- B. Policy provisions and options / 8. Reinstatement
- B. Policy provisions and options / 9. Policy loans, withdrawals, partial surrenders
- B. Policy provisions and options / 10. Non-forfeiture options
- B. Policy provisions and options / 11. Dividends and dividend options (e.g. participating, non-participating)
- B. Policy provisions and options / 12. Incontestability
- B. Policy provisions and options / 13. Assignments
- B. Policy provisions and options / 14. Suicide
- B. Policy provisions and options / 15. Misstatement of age and gender
- B. Policy provisions and options / 16. Settlement options
- B. Policy provisions and options / 17. Accelerated death benefits
- C. Policy exclusions
- C. Policy exclusions / 1. War
- C. Policy exclusions / 2. Aviation
- C. Policy exclusions / 3. Dangerous Occupation
III. COMPLETING THE APPLICATION, UNDERWRITING, AND DELIVERING THE POLICES
- A. Completing the application
- A. Completing the application / 1. Required signatures
- A. Completing the application / 2. Changes in the application
- A. Completing the application / 3. Consequences of incomplete applications
- A. Completing the application / 4. Warranties and representations
- A. Completing the application / 5. Collecting the initial premium and issuing the receipt
- A. Completing the application / 6. Replacement
- A. Completing the application / 7. Disclosures at point of sale (e.g., HIPAA, HIV consent)
- A. Completing the application / 8. USA PATRIOT Act/anti-money laundering
- A. Completing the application / 9. Gramm-Leach-Bliley Act (GLBA) Privacy
- B. Underwriting
- B. Underwriting / 1. Insurable interest
- B. Underwriting / 2. Medical information and consumer reports
- B. Underwriting / 3. Fair Credit Reporting Act
- B. Underwriting / 4. Risk classification
- B. Underwriting / 5. Stranger/Investor-owned life insurance (STOLI/IOLI)
- C. Delivering the policy
- C. Delivering the policy / 1. When coverage begins
- C. Delivering the policy / 2. Explaining the policy and its provisions, riders, exclusions, and ratings to the client
- D. Contract law
- D. Contract law / 1. Elements of a contract
- D. Contract law / 1. Elements of a contract / a. Consideration
- D. Contract law / 1. Elements of a contract / b. Offer and Acceptance
- D. Contract law / 1. Elements of a contract / c. Competent parties
- D. Contract law / 1. Elements of a contract / d. Legal purpose
- D. Contract law / 2. Unique aspects of the insurance contract
- D. Contract law / 2. Unique aspects of the insurance contract / a. Conditional
- D. Contract law / 2. Unique aspects of the insurance contract / b. Unilateral
- D. Contract law / 2. Unique aspects of the insurance contract / c. Adhesion
- D. Contract law / 2. Unique aspects of the insurance contract / d. Aleatory
IV. RETIREMENT AND OTHER INSURANCE CONCEPTS
- A. Third-party ownership
- B. Life Settlements
- C. Group life insurance
- C. Group life insurance / 1. Conversion privilege
- C. Group life insurance / 2. Contributory vs. noncontributory
- D. Retirement plans
- D. Retirement plans / 1. Qualified plans
- D. Retirement plans / 2. Nonqualified plans
- E. Life insurance needs analysis/suitability
- E. Life insurance needs analysis/suitability / 1. Personal insurance needs
- E. Life insurance needs analysis/suitability / 2. Business insurance needs
- E. Life insurance needs analysis/suitability / 2. Business insurance needs / a. Key person
- E. Life insurance needs analysis/suitability / 2. Business insurance needs / b. Buy sell
- F. Social Security benefits
- G. Tax treatment of insurance premiums, proceeds, and dividends
- G. Tax treatment of insurance premiums, proceeds, and dividends / 1. Individual life
- G. Tax treatment of insurance premiums, proceeds, and dividends / 2. Group life
- G. Tax treatment of insurance premiums, proceeds, and dividends / 3. Modified Endowment Contracts (MECs)
I. SD STATUTES, RULES, AND REGULATIONS COMMON TO LIFE, ACCIDENT AND HEALTH, PROPERTY, AND CASUALTY INSURANCE
- A. Director of Insurance
- A. Director of Insurance / 1. Duties and powers
- A. Director of Insurance / 2. Examination of records
- A. Director of Insurance / 3. Hearings/notice of hearings
- A. Director of Insurance / 4. Penalties (and fines)
- A. Director of Insurance / 5. Cease and desist orders
- B. Insurance Definitions
- B. Insurance Definitions / 1. Acts constituting an insurance transaction
- B. Insurance Definitions / 2. Domestic, foreign and alien company
- B. Insurance Definitions / 3. Fraternals
- B. Insurance Definitions / 4. Authorized and unauthorized companies
- B. Insurance Definitions / 5. Stock and mutual companies
- B. Insurance Definitions / 6. Certificate of authority
- C. Licensing
- C. Licensing / 1. Types of licenses
- C. Licensing / 1. Types of licenses / a. Producer
- C. Licensing / 1. Types of licenses / b. Resident/Nonresident
- C. Licensing / 1. Types of licenses / c. Temporary license
- C. Licensing / 1. Types of licenses / d. Business entity
- C. Licensing / 2. Qualifications for obtaining a license
- C. Licensing / 2. Qualifications for obtaining a license / a. Exemptions/Exceptions
- C. Licensing / 2. Qualifications for obtaining a license / b. License denial
- C. Licensing / 3. Maintaining a license
- C. Licensing / 3. Maintaining a license / a. Continuing education
- C. Licensing / 3. Maintaining a license / b. Change of address
- C. Licensing / 3. Maintaining a license / c. Renewal/Nonrenewal
- C. Licensing / 3. Maintaining a license / d. Record maintenance
- C. Licensing / 3. Maintaining a license / e. License suspension/ revocation/ refusal to issue or renew
- C. Licensing / 3. Maintaining a license / f. Reporting of actions
- C. Licensing / 3. Maintaining a license / g. Assumed business name
- C. Licensing / 3. Maintaining a license / h. Inactivity due to military service
- C. Licensing / 3. Maintaining a license / i. Inactivity due to extenuating circumstances
- C. Licensing / 3. Maintaining a license / j. Reinstatement, continuation, termination
- C. Licensing / 4. Appointments
- C. Licensing / 4. Appointments / a. Termination of appointment
- D. Producer responsibilities
- D. Producer responsibilities / 1. Fiduciary responsibilities
- D. Producer responsibilities / 2. Commissions, compensation, fees
- D. Producer responsibilities / 3. Reporting of felonies and crimes of moral turpitude
- D. Producer responsibilities / 4. Influence of witnesses
- D. Producer responsibilities / 5. Response to Division inquiries
- E. Life and Health Insurance Guaranty Association
- E. Life and Health Insurance Guaranty Association / 1. Purpose and disclaimer
- E. Life and Health Insurance Guaranty Association / 2. Advertising
- F. Marketing practices
- F. Marketing practices / 1. Unfair practices
- F. Marketing practices / 1. Unfair practices / a. Boycott, coercion, intimidation
- F. Marketing practices / 1. Unfair practices / b. Commingling
- F. Marketing practices / 1. Unfair practices / c. Controlled business
- F. Marketing practices / 1. Unfair practices / d. Defamation
- F. Marketing practices / 1. Unfair practices / e. False advertising
- F. Marketing practices / 1. Unfair practices / f. Illegal inducement
- F. Marketing practices / 1. Unfair practices / g. Misrepresentation
- F. Marketing practices / 1. Unfair practices / h. Rebating
- F. Marketing practices / 1. Unfair practices / i. Twisting
- F. Marketing practices / 1. Unfair practices / j. Unfair discrimination
- F. Marketing practices / 1. Unfair practices / k. Acting without a license
- F. Marketing practices / 1. Unfair practices / l. Larceny
- F. Marketing practices / 1. Unfair practices / m. Prohibited fees/ premiums/ extra charges
- F. Marketing practices / 1. Unfair practices / n. Loans
- F. Marketing practices / 1. Unfair practices / o. Notification of suspected fraud
- F. Marketing practices / 2. Unfair claims settlement practices
- G. Policy delivery and receipt
- H. Insurance Fraud Regulation
II. SD STATUTES, RULES, AND REGULATIONS PERTINENT TO LIFE INSURANCE ONLY
- A. Marketing practices
- A. Marketing practices / 1. Advertising and sales
- A. Marketing practices / 1. Advertising and sales / a. Advertising
- A. Marketing practices / 1. Advertising and sales / b. Illustrations
- A. Marketing practices / 1. Advertising and sales / c. Insurable Interest
- A. Marketing practices / 1. Advertising and sales / d. Nonforfeiture Law
- A. Marketing practices / 2. Military sales
- B. Policy replacement
- B. Policy replacement / 1. Purpose
- B. Policy replacement / 2. Definitions
- B. Policy replacement / 3. Exemptions
- B. Policy replacement / 4. Duties of producer
- B. Policy replacement / 5. Duties of replacing insurance company
- C. Individual life and annuity
- C. Individual life and annuity / 1. Free Look
- C. Individual life and annuity / 2. Grace period
- C. Individual life and annuity / 3. Policy Loans
- C. Individual life and annuity / 4. Assignment
- D. Group Life
- D. Group Life / 1. Group underwriting requirements
- D. Group Life / 2. Conversion to individual Policy
- D. Group Life / 3. Dependent Coverage
- D. Group Life / 4. Assignment
- E. Annuities
- E. Annuities / 1. Suitability and best interest
- E. Annuities / 2. Consumer Protection
- E. Annuities / 3. Regulation of variable products (SEC, FINRA and South Dakota)
Examination sources
- South Dakota Insurance Examination Content Outlines
p. S1, effective-date header
- South Dakota Insurance Examination Content Outlines
p. S1, life general heading
- South Dakota Insurance Examination Content Outlines
p. S2, life state heading
- South Dakota Insurance Licensing Candidate Handbook
p. 14, Helpful Hints
- South Dakota Insurance Licensing Candidate Handbook
p. 13, Score Explanation
- South Dakota Insurance Examination Content Outlines
p. S1, LIFE-GENERAL KNOWLEDGE scored-question statement
- South Dakota Insurance Examination Content Outlines
p. S2, LIFE SOUTH DAKOTA SPECIFIC scored-question statement
- South Dakota Insurance Licensing Candidate Handbook
p. 6, Test Center Exams, SD Life Producer row
- South Dakota Insurance Licensing Candidate Handbook
p. 6, Allowable Exam Combinations