Maryland Life Producer Exam Prep
100 Question Practice Exam • Video Training • PDF Study Guide
Pass the Maryland Life Producer Exam
Prepare with interactive practice questions, detailed rationales, and video training for every section.
Interactive Practice Exam
Click below to begin your timed 120‑minute exam.
Video Training — Section by Section
General Portion
▶ Watch Training VideoLife Insurance Basics
▶ Watch Training VideoLife Insurance Policies
▶ Watch Training VideoPolicy Provisions, Options & Riders
▶ Watch Training VideoAnnuities
▶ Watch Training VideoMaryland Life Insurance Producer Exam
100+ Important Terms & Definitions Study Guide
1. Insurable Interest
Financial or emotional relationship required between policyowner and insured.
2. Premium
Payment made to maintain insurance coverage.
3. Beneficiary
Person designated to receive policy proceeds.
4. Death Benefit
Money paid upon death of the insured.
5. Whole Life Insurance
Permanent insurance with fixed premiums and cash value.
6. Term Life Insurance
Coverage for a specific period of time.
7. Universal Life Insurance
Flexible permanent life insurance policy.
8. Variable Life Insurance
Permanent policy with investment options.
9. Cash Value
Savings component of permanent insurance.
10. Grace Period
Extra time allowed after premium due date.
11. Policy Loan
Loan against accumulated cash value.
12. Underwriting
Risk evaluation process used by insurers.
13. Misrepresentation
False statement on insurance application.
14. Concealment
Failure to disclose material facts.
15. Warranty
Guaranteed statement in a policy.
16. Representation
Statement believed true to best knowledge.
17. Contestable Period
Time insurer can investigate misrepresentation.
18. Reinstatement
Restoring lapsed coverage.
19. Rider
Optional policy addition.
20. Accidental Death Rider
Extra benefit for accidental death.
21. Waiver of Premium Rider
Waives premiums during disability.
22. Payor Benefit Rider
Premiums paid if payor dies or becomes disabled.
23. Guaranteed Insurability Rider
Allows future coverage purchases without evidence of insurability.
24. Accelerated Death Benefit
Early access to death benefit if terminally ill.
25. Assignment
Transfer of policy rights.
26. Absolute Assignment
Permanent transfer of ownership rights.
27. Collateral Assignment
Temporary transfer for loan security.
28. Revocable Beneficiary
Beneficiary who can be changed.
29. Irrevocable Beneficiary
Beneficiary requiring consent for changes.
30. Primary Beneficiary
First in line to receive proceeds.
31. Contingent Beneficiary
Receives proceeds if primary beneficiary dies first.
32. Per Stirpes
Benefits distributed by bloodline.
33. Per Capita
Equal distribution among living beneficiaries.
34. Estate
Total assets owned by deceased person.
35. Endowment Policy
Pays benefit at specified age or death.
36. Limited Pay Policy
Premiums paid for limited time.
37. Single Premium Policy
Policy funded with one payment.
38. Nonforfeiture Options
Choices when policy lapses.
39. Cash Surrender
Policy canceled for cash value.
40. Reduced Paid-Up Insurance
Lower death benefit with no future premiums.
41. Extended Term Insurance
Temporary insurance using cash value.
42. Dividend
Return of excess premium from mutual insurer.
43. Mutual Insurer
Owned by policyholders.
44. Stock Insurer
Owned by shareholders.
45. Fraternal Insurer
Insurance through social organizations.
46. Adverse Selection
Higher-risk individuals seeking insurance.
47. Mortality
Expected death frequency in a population.
48. Morbidity
Frequency of sickness or disability.
49. Risk
Chance of loss occurring.
50. Pure Risk
Only chance of loss or no loss.
51. Speculative Risk
Chance of gain or loss.
52. Hazard
Condition increasing chance of loss.
53. Physical Hazard
Tangible condition increasing risk.
54. Moral Hazard
Dishonesty increasing risk.
55. Morale Hazard
Carelessness because insurance exists.
56. Aleatory Contract
Unequal exchange based on uncertain event.
57. Adhesion Contract
Prepared by insurer without negotiation.
58. Unilateral Contract
Only insurer makes enforceable promise.
59. Conditional Contract
Conditions must be met for payment.
60. Consideration
Value exchanged in contract.
61. Entire Contract
Policy and application form full agreement.
62. Free Look Period
Time to cancel for full refund.
63. Policyowner Rights
Rights retained by policyowner.
64. Replacement
Substituting one policy for another.
65. Twisting
Illegal replacement using misleading information.
66. Rebating
Offering inducements not in contract.
67. Defamation
False statements harming reputation.
68. Unfair Discrimination
Different treatment of equal risks.
69. Fiduciary Responsibility
Duty to manage others’ funds honestly.
70. Producer
Licensed insurance salesperson.
71. Agent
Represents insurer.
72. Broker
Represents insured.
73. Express Authority
Authority specifically granted.
74. Implied Authority
Authority assumed necessary.
75. Apparent Authority
Authority perceived by public.
76. Buy-Sell Agreement
Business ownership transfer agreement.
77. Key Person Insurance
Insurance on valuable employee.
78. Juvenile Insurance
Life insurance on minors.
79. Group Life Insurance
Coverage for members of group.
80. Master Policy
Group insurance contract.
81. Convertible Term
Term policy convertible to permanent.
82. Renewable Term
Policy renewable without evidence of insurability.
83. Level Term
Death benefit remains same.
84. Decreasing Term
Death benefit decreases over time.
85. Increasing Term
Death benefit increases over time.
86. Annuity
Contract providing income payments.
87. Fixed Annuity
Guaranteed fixed return.
88. Variable Annuity
Return based on investments.
89. Immediate Annuity
Income begins within one year.
90. Deferred Annuity
Income starts later.
91. Accumulation Period
Time funds grow in annuity.
92. Annuitization
Converting annuity into income stream.
93. Straight Life Annuity
Income for life only.
94. Joint and Survivor Annuity
Income continues for surviving annuitant.
95. IRA
Individual retirement account.
96. Qualified Plan
Retirement plan meeting IRS rules.
97. Nonqualified Plan
Retirement plan without IRS qualification.
98. ERISA
Federal retirement protection law.
99. HIPAA
Protects health information privacy.
100. Medicaid
Government health program for low income individuals.
101. Medicare
Federal health insurance for seniors.
102. Social Security
Federal retirement and disability program.
103. Suitability
Ensuring product matches client needs.
104. Illustrations
Policy value projections.
105. Anti-Money Laundering
Rules preventing illegal financial activity.