and Rules Actual Exam Questions

Montana Life Insurance and Health Laws and Rules Actual Exam Questions and Correct Answers Rated A+

Who has the authority to revoke a producer's appointment letter? - ANSWER-insurer

Tina the insured is considering replacing her existing life policy with a new one. The replacing insurer is responsible for providing to her which of the following? -ANSWER-A copy of all sales materials used by the replacing producer plus a replacement notice containing the name of the policy to be replaced

Any "Reciprocal Insurer" formed under federal tax laws must be operated by a(n) -ANSWER-Attorney in fact

Any license revoked by the Commissioner a ___ time is revoked for life. -ANSWER-second

At what point must a Replacement Notice be provided? -ANSWER-At the time of application

What does a viatical settlement involve? -ANSWER-The sale of a life insurance policy

Who is the Guaranty Fund designed to protect? -ANSWER-residents

Charging different premiums for individuals in the same risk classification is known as -ANSWER-discrimination

What is the purpose of the Viatical Settlement Act? -ANSWER-Assist policy owners who would like to sell their life insurance policies prior to death.

Giving an applicant something of value not stated in the insurance contract as an inducement to purchase a policy is known as - ANSWER-Rebating

Who would be most likely to apply to the Commissioner for a nonresident license? -ANSWER-Individual licensed in another state and who resides in that state

Which of the following is an allowable action taken by a bank toward a borrower? -ANSWER-Recommend Credit Life insurance be purchased from a specific insurer

Which of the following must a Buyer's Guide and Policy Summary be provided with? -ANSWER-Individual whole and term life policus

A certificate of ____ is required to become a third party administrator.-ANSWER-Registration

How does the Montana Insurance Commissioner attain this position? - ANSWER-an election

How long does the Insurance Commissioner have to review new policy forms submitted by an insurance company? -ANSWER-60 days subject to a 60 day extension

A dependent child under a family health policy is sentenced to a state correctional institution for children. Any medical claims for this child will be covered by -ANSWER-The parent's family and health policy

How long is a temporary license in effect for? -ANSWER-90 days

After an insured has filed a claim, the insurer has __ days to respond to the claim. -ANSWER-30

How long is an appointment letter valid? -ANSWER-Until the appointment is terminated

All of these are prohibited acts under Montana's Elder Abuse Act EXCEPT -ANSWER-Twisting

An insurer must respond within ___ days when an insured requests information the insurer has regarding his/her claim history. -ANSWER- 30

Dependent children under the age of ___ must be covered under medical expense policies. -ANSWER-25

How long must a licensed administrator keep their records? - ANSWER-5 years

In Montana, exclusions for pre-existing conditions in an individual health policy are allowable for -ANSWER-3 years back, 12 months forward

In Montana, a "written fee agreement" is required for -ANSWER- consultants

In Montana, group health policies may exclude pre-existing conditions -ANSWER-6 months back, 12 months forward

In Montana, how long must producers keep complete records of their business transactions? -ANSWER-3 years

In Montana, health insurance companies must provide maternity coverage -ANSWER-The same as would be provided for any illness

In Montana, insurance discrimination based on ___ is allowed. - ANSWER-age

In Montana, home health services must be covered in group health policies if prescribed by a -ANSWER-Physician and provided by a licensed home health care provider

In Montana, if a dependent would like to convert a group policy to an individual policy, it must be done within -ANSWER-31 days

In Montana, insureds may be charged a different premium rate if the differentiation is based on ____. -ANSWER-Geography

In Montana, if an expecting mother is hospitalized for a cesarean birth, how many hours of hospital coverage is required? -ANSWER-96 hours

In Montana, insureds may file claims against the Guaranty Fund up to

_____. -ANSWER-$300,000

In Montana, which of the following is a prohibited act under the Elder Abuse Act? -ANSWER-undue influence

In Montana, the ______ reviews and approves the insurance continuing education courses. -ANSWER-comissioner