1135 LIFE HEALTH INSURANCE EXAM

PDF Download 1135 LIFE & HEALTH INSURANCE EXAM Actual Qs and Ans - Expert-Verified Explanation -Guaranteed passing score -99 Questions and Answers

-Format: Multiple-choice / Flashcard

Question 1: Which of the following features a guaranteed interest rate, flexible deposits, deferred taxation, and death benefits equal to the cash value?

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Flexible premium fixed annuity Question 2: An individual working part-time has an annual income of $25,000. If this individual has an IRA, what is the maximum deductible IRA contribution allowable?

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$25,000

Question 3: Which of these would be the likely course of action taken by an insurer when handling a substandard-risk applicant for disability income insurance?

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Reduce the benefit period Question 4: In an individual retirement account (IRA), rollover contributions are

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not limited by dollar amount

Question 5: All of these are duties of a producer when delivering an insurance policy EXCEPT

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Leave a conditional receipt with client Question 6: Under which circumstance is the interest rate guaranteed within a market value adjusted annuity?

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When the contract has been in force for the period specified in the policy Question 7: Beth is a surgeon who has an own-occupation disability income policy. She was injured six months ago and has been unable to return to her practice. Her monthly benefit from the policy is $15,000. During this time, Beth has been working part-time at a local boutique and receives $2,000 monthly. What is her ongoing monthly benefit while she is unable to perform her surgical duties?

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$15,000

Question 8: Health providers are compensated by a preferred provider organization (PPO) for normal dental procedures by what means?

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Decreased fee schedules Question 9: What is the MAXIMUM number of employees an employer may have to qualify for medical savings accounts?

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50 Question 10: The interest rate credited to a fixed annuity does not fall below the

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contract guaranteed rate

Question 11: During an annuity's liquidation phase, the annuitant normally

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receives benefit payments at regular intervals

Question 12: Claims settlement practices of insurers are regulated by:

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State insurance departments Question 13: Which of these is NOT a reason for a business to buy key person life insurance?

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A pension deficiency if the key employee dies Question 14: The insurance coverage in a variable life insurance policy may fluctuate according to

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its underlying investments Question 15: XYZ Insurance Company gives direct authority to its producers to sell insurance through an agency contract, but nothing is stated regarding the collection of premiums. Which authority grants the producer the right to collect premiums?

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Implied Question 16: Which of the following health insurance provisions requires that the application becomes part of the policy?

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Entire Contract clause Question 17: Which of these must be disclosed in a company's universal life policy?i

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The policy's surrender charges Question 18: Which life insurance settlement option pays lifetime benefits to two or more people?

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Joint and survivor

Question 19: Which type of life insurance typically offers mortgage protection?

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Decreasing term

Question 20: Which would be described as a beneficiary designation by class?

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Children of the insured

Question 21: Who reports an agent's termination of appointment to the Director?

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The insurer Question 22: What does a Mandatory Second Surgical Opinion provision provide to an employer-paid health insurance plan?

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Control of the employer's premium cost Question 23: Which report contains information regarding an individual's general reputation and credit standing?

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Consumer report Question 24: An annuity owner has a life annuity which provides benefit payments for a minimum number of years, regardless of when the annuitant dies. The contract feature of this annuity is called

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period certain Question 25: The Change of Occupation provision in a Disability Income policy states that, in the event the insured changes to a less hazardous occupation, which of the following may apply?

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Benefits can be increased in the event of a covered claim