New Jersey Life Producer Practice Exam

Which party is typically not required to sign a life insurance application?

1. The insured

2. The applicant

3. The beneficiary

4. The agent

The correct answer is: The beneficiary

In the context of a life insurance application, the beneficiary is typically not required to sign the application. The applicant is the individual who applies for the insurance policy and is usually required to sign, as they are affirming the information provided and are bound by the terms of the policy. The insured, who is the person whose life is covered by the policy, may also need to sign for consent and acknowledgment. The agent, representing the insurance company, usually completes and submits the application but does not typically have to sign it as a matter of course for approval. The signature of the beneficiary is not necessary at the time of application because they do not have a contractual relationship with the insurance company until a claim arises and the beneficiary designation becomes relevant. Thus, the beneficiary’s role is more about receiving the proceeds rather than being involved in the application process itself.