LIFE AND HEALTH FINAL ACTUAL EXAM

LIFE AND HEALTH FINAL ACTUAL EXAM

QUESTIONS AND CORRECT DETAILED ANSWERS

(VERIFIED ANSWERS) AGRADE

RATED

The ___ is authorized to assign a Life Insurance policy as collateral for a loan. - ANSWER ✔Policyowner In regards to representations or warranties, which of these statements is TRUE? - ANSWER ✔If material to the risk, false representations will void a policy.Which of the following is considered to be the time period after a Health Policy is issued, during which no benefits are provided for illness? - ANSWER ✔Probationary Period A life policy loan in Missouri cannot charge a fixed rate of interest higher than - ANSWER ✔8% P purchases a $50,000 whole life insurance policy in 2005. One of the questions on the application asks if P engages in scuba diving, to which P answers "No". The policy is then issued with no scuba exclusions..... - ANSWER ✔$50,000 minus any outstanding policy loans S is employed by a large corporation that provides group health coverage for its employees and their dependents. If S dies, the company must allow his surviving spouse and dependents to continue their group health coverage for a maximum of how many months under COBRA regulations? - ANSWER ✔36 months The percentage of an individual's Primary Insurance Amount (PIA) determines the benefits paid in which of the following programs - ANSWER ✔Social Security Disability Income When a misrepresentation on a life insurance policy application is discovered, what action may an insurance company take? - ANSWER ✔Void the policy only if it is discovered during the Contestable period and proven to be material Which of these is considered a mandatory provision? - ANSWER ✔Payment of Claims 1 / 2

The Notice of Claims provision requires a policyowner to: - ANSWER ✔Notify an insurer of a claim within a specified time Which of the following statements BEST describes what the Legal Actions provision of an Accident and Health policy requires?

• ANSWER ✔An insured must wait at least 60 days after Proof of Loss has been submitted before a lawsuit can be filed

According to the Mandatory Uniform Policy Provisions, what is the max amount of time after the premium due date - ANSWER ✔31 days T, age 70, withdraws cash from a profit-sharing plan and purchases a Straight Life Annuity. What will this transaction provide?

• ANSWER ✔Income that cannot be outlived by the owner

When making a recommendation to a consumer to purchase an annuity, the producer must make reasonable efforts to obtain suitability information. - ANSWER ✔Age, annual income, financial experience A producer must report any personal felony charges within ___ days of a pre-trial hearing - ANSWER ✔30 days Pre-hospitalization authorization is considered an example of: - ANSWER ✔Managed care Health insurance policies in Missouri are REQUIRED to contain coverage for human leukocyte antigen testing for bone marrow transplant - ANSWER ✔With each issued health policy Which of the following characteristics is associated with a large group disability income policy? - ANSWER ✔No medical underwriting Who may assign benefits from a group life insurance policy - ANSWER ✔Insured ____can be defined as "making an unfair comparison of two insurance policies" - ANSWER ✔Misrepresentation T files a claim on his Accident and Health policy after being treated for an illness. The insurance company believes that T misrepresented his actual health on the initial insurance..... - ANSWER ✔Time limit on certain defenses Which of these statements is INCORRECT regarding a Preferred Provider Organization(PPO) - ANSWER ✔PPO's are NOT a type of managed care systems A health insurance policy application may ONLY be altered with the written consent of the - ANSWER ✔Applicant Which of the following correctly explains the actions an agent should take if a customer wants to apply for an insurance policy? - ANSWER ✔Apply, complete and review with customer before signing, then sending it off What is the purpose of the Missouri Life and Health Insurance Guaranty Association - ANSWER ✔Ensures that claims filed against insolvent insurance companies will be paid

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