FLORIDA LIFE HEALTH PRACTICE TEST

PDF Download FLORIDA LIFE & HEALTH PRACTICE TEST Actual Qs and Ans - Expert-Verified Explanation -Guaranteed passing score -100 Questions and Answers

-Format: Multiple-choice / Flashcard

Question 1: Any changes made on an insurance application requires the initials of whom?

Answer:

Applicant

Question 2: What is the Suicide provision designed to do?

Answer:

safeguard the insurer from an applicant who is contemplating suicide Question 3: 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 application and is, therefore, disputing the claim's validity. The provision that limits the period during which the company may dispute a claim's validity is called

Answer:

Time Limit on Certain Defenses Question 4: T and S are named co-primary beneficiaries on a $500,000 Accidental Death and Dismemberment policy insuring their father. Their mother was named contingent beneficiary.Five years later, S dies of natural causes and the father is killed in a scuba accident shortly afterwards. How much of the death benefit will the mother receive?

Answer:

$0

Question 5: How do life insurance companies handle cases where the insured commits suicide within the contract's stated Contestable period?

Answer:

Claims are denied under the Suicide clause of the policy Question 6: Which of the following statements about the classification of applicants is

INCORRECT?

Answer:

Substandard applicants are never declined by underwriters Question 7: N is a student pilot with a large life insurance policy. Which of these features would limit the insurer's obligation in the event N was killed while flying as a student pilot?

Answer:

Exclusion Question 8: If the insured and primary beneficiary are both killed in the same accident and it cannot be determined who died first, where are the death proceeds to be directed under the Uniform Simultaneous Death Act?

Answer:

Insured's contingent beneficiary Question 9: When a person returns to work after a period of total disability but cannot earn as much as he or she did before the disability, this situation is called which of the following?

Answer:

Residual disability

Question 10: The underwriting process involves all of these EXCEPT for

Answer:

Policy loan Question 11: What group term life feature permits an individual to depart from the group and continue to be covered without providing evidence of insurability?

Answer:

Conversion

Question 12: Which of these actions should a producer take when submitting an insurance application to an insurer?

Answer:

Inform insurer of relevant information not included on the application Question 13: K applies for a life insurance policy on herself and submits the initial premium with the application. She is given a receipt by the agent stating that coverage begins immediately if the application is approved. What kind of receipt was used?

Answer:

Conditional Question 14: M has a Major Medical insurance policy with a $200 flat deductible and an 80% Coinsurance clause. If M incurs a $2,200 claim for an eligible medical expense, how much will M receive in payment for this claim?

Answer:

$1,600

Question 15: The Notice of Claims provision requires a policyowner to

Answer:

notify their physician of a claim within a specified time Question 16: Disability policies do NOT normally pay for disabilities arising from which of the following?

Answer:

War Question 17: An underwriter determines that an applicant's risk should be recategorized due to a health issue. This life insurance policy may be issued with a(n)

Answer:

extra premium Question 18: Before a life insurance policy is issued, which of these components of the contract is required?

Answer:

Applicant's signature on application

Question 19: When does a life insurance contract become effective if the initial premium is not collected during the application process?

Answer:

When producer delivers policy and collects initial premium Question 20: When determining the monthly benefit amount for a Disability Income policy, the factor that limits the amount a prospective insured may purchase is

Answer:

Income Question 21: A prepaid application for individual Disability Income insurance was recently submitted to an insurer. When the insurer received the Medical Information Bureau (MIB) report, the report showed that the applicant had suffered a stroke 18 months ago, something that was not disclosed on the application. Which of the following actions would the insurance company NOT take?

Answer:

Send a notice to the MIB that the applicant was declined Question 22: A characteristic of Preferred Provider Organizations (PPOs) would be:

Answer:

Discounted fees for the patient Question 23: What type of renewability guarantees premium rates and renewability?

Answer:

Guaranteed renewable

Question 24: Health insurance benefits NOT covered due to an act of war are

Answer:

excluded by the insurer in the contract provisions Question 25: Which requirement must be met for an association to be eligible for a group life plan?

Answer:

Group was formed for a purpose other than acquiring insurance