FREE AND STUDY GAMES ABOUT EXAM ANSWERS

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FREE AND STUDY GAMES ABOUT EXAM ANSWERS

Actual Qs and Ans Expert-Verified Explanation

This Exam contains:

-Guarantee passing score -77 Questions and Answers -format set of multiple-choice -Expert-Verified Explanation

Question 1: Most HMOS operate through what type of system?

Answer:

A group enrollment system either at their place of employment or as a member of an association Question 2: What form of the annuity settlement options provides payments to an annuitant for the rest of the annuitant's life and ceases at the annuitant's death?

Answer:

Pure Life Question 3: Which of the following is not true of the Disability Buy-Sell coverage?

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Benefits are considered taxable income to the business Question 4: What provision in an insurance policy extends coverage beyond the premium due date?

Answer:

Grace period

Question 5: When an insurer terminates an agents appointment, the insurer must do all of the following EXCEPT

Answer:

Provide a 30-Day advance notice to the Commissioner Question 6: Which of the following is an example of a producer's fiduciary duty?

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The trust that a client places in the producer in regard to handling premiums Question 7: Under which of the following organizations are the practicing providers compensated on a fee-for-service basis?

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PPO Question 8: Annually renewable term policies provide a level death benefit for a premium that

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Increases annually Question 9: Your client is planning to retire. She has accumulated $100,000 in a retirement annuity, and now wants to select the benefit option that will pay the largest monthly amount for as long as she lives. As her agent, you should recommend,

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Straight Life Question 10: Which of the following explains the policyowner's right to change beneficiaries, choose options, and receive proceeds of a policy?

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Owner's Rights Question 11: The policyowner pays for her life insurance annually. Until now, she has collected a nontaxable dividend check each year. She has decided that she would rather use the dividends to help pay for her next premium. What option would allow her to do this?

Answer:

Reduction of premium

Question 12: Which of the following statements pertaining to Medicare Part A is correct?

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Individuals who have ALS automatically qualify for Medicare Part A, regardless of age Question 13: An insured is hospitalized with a back injury. Upon checking his disability income policy, he learns that he will not be eligible for benefits at least 30 days. This indicates that his policy is written with a 30-day

Answer:

Elimination period Question 14: Which option is being utilized when the insurer accumulates dividends at interest and then uses the accumulated dividends, plus interest, and the policy cash value to pay the policy up early?

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Paid-up options Question 15: When a reduced-paid up nonforfeiture option is chosen, what happens to the face amount of the policy?

Answer:

It is reduced to the amount of what the cash value would buy as a single premium.

Question 16: How are state Insurance Guaranty Associations funded?

Answer:

By their members - authorized insurers

Question 17: The paid-up addition option uses the dividend

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To purchase a smaller amount of the same type of insurance as the original policy

Question 18: When does the initial enrollment period for Medicare Part B begin?

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• months before the insured's 65th birthday

Question 19: All of the following are dividend options EXCEPT

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Fixed-period installments.Question 20: In life policies issued in this state, insurers are permitted to charge interest during the policy grace period for the number of days elapsing before the premium is paid. What is the maximum interest rate?

Answer:

8%

Question 21: Which is TRUE about the cash surrender nonforfeiture option?

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Funds exceeding the premium paid are taxable as ordinary income

Question 22: Which is NOT true about beneficiary designations?

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The beneficiary must have insurable interest in the insured.Question 23: Which of the following best describes fixed-period settlement option?

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Both the principal and interest will be liquidated over a selected period of time.Question 24: Which of the following determines the length of time that benefits will be received under the Fixed-Amount settlement option?

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Size of each installment Question 25: What type of insurance would be used for a Return of Premium rider?

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Increasing Term Question 26: All of the following are required provisions in all individual health insurance policies delivered in this state EXCEPT

Answer:

Misstatement of Age