Question 7009 of 303 · California Life-Only Agent Exam
A 1035 exchange is permitted when a policy owner
Exactly one answer is correct.
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Correct answer to question 7009
- A: exchanges a life insurance policy for an annuity
Explanation
IRC 1035 allows tax-free exchanges of life for life, life for annuity, and annuity for annuity, but not annuity for life.
More questions: Policy Replacement and Cancellation
- 7010When replacing a life policy, what must the replacing insurer typically do?
- 7011The purpose of California's replacement regulations is to
- 7012The free look provision allows the policy owner to
- 7013Which agent practice violates replacement rules?
- 7015Policy cancellation by the owner during the free look period generally has what effect?
- 7016Seniors age 65 and older receive special protection in California regarding