FREE AND STUDY GAMES ABOUT LIFEHEALTH INSURANC

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FREE AND STUDY GAMES ABOUT LIFE/HEALTH INSURANC

EXAM QUESTIONS

Actual Qs and Ans Expert-Verified Explanation

This Exam contains:

-Guarantee passing score -87 Questions and Answers -format set of multiple-choice -Expert-Verified Explanation

Question 1: Which of the following statements about HRAs is TRUE?

Answer:

The account allows roll-over of unused balances at the end of the year at the employer's discretion Question 2: The period of time immediately following a disability during which benefits are not payable is

Answer:

The elimination period Question 3: An insured decides to surrender his $100,000 Whole Life policy. The premiums paid into the policy added up to $15,000. At policy surrender, the cash surrender value was $18,000.What part of the surrender value would be income taxable?

A$50,000

Answer:

$3,000

Question 4: What does "liquidity" refer to in a life insurance policy?

Answer:

Cash values can be borrowed at any time.Question 5: Which of the following is the best reason to purchase life insurance rather than an annuity?

Answer:

To create an estate

Question 6: A guaranteed renewable disability insurance policy

Answer:

Is renewable at the insured's option to a specified age.Question 7: An individual buys a flexible premium deferred life annuity with 20 year period certain. What would his beneficiary receive if he died 5 years after beginning the annuity phase?

Answer:

Payments for 15 years Question 8: Which of the following riders would NOT increase the premium for a policyowner?

Answer:

Impairment rider Question 9: What is the benefit of choosing extended term as a nonforfeiture option?

Answer:

It has the highest amount of insurance protection.Question 10: Which of the following settlement options in life insurance is known as straight life?

Answer:

Life income Question 11: Under a straight life annuity, if the annuitant dies before the principal amount is paid out, the beneficiary will receive

Answer:

Nothing; the payments will cease.

Question 12: Employers can reduce health plan costs by coupling a Health Reimbursement Account (HRA) with

Answer:

A high deductible health plan.Question 13: What is necessary in order to be eligible to receive benefits from a long term care policy

Answer:

The insured must be unable to perform some activat

Question 14: Employer contributions made to a qualified plan

Answer:

Are subject to vesting requirements.Question 15: What is the advantage of reinstating a policy instead of applying for a new one?

Answer:

The original age is used for premium determination.

Question 16: Which of the following is NOT an activity of daily living (ADL)?

Answer:

Talking Question 17: Which of the following is the required number of participants in a contributory group plan?

Answer:

75% Question 18: Under the mandatory uniform provision Notice of Claim, the first notice of injury or sickness covered under an accident and health policy must contain

Answer:

A statement that is sufficiently clear to identify the insured and the nature of the claim.

Question 19: Which of the following entities can legally bind coverage?

Answer:

Insurer

Question 20: All of the following are examples of third-party ownership of a life insurance policy

EXCEPT

Answer:

An insured borrows money from the bank and makes a collateral assignment of a part of the death benefit to secure the loan.

Question 21: Who determines the eligibility and contribution limits of an HRA?

Answer:

The employer

Question 22: In life insurance policies, cash value increases

Answer:

Grow tax deferred.Question 23: An insured receives an annual life insurance dividend check. What term best describes this arrangement?

Answer:

Cash option Question 24: Which of the following is NOT a feature of a guaranteed renewable provision?

Answer:

The insurer can increase the policy premium on an individual basis.

Question 25: All of the following are Nonforfeiture options EXCEPT

Answer:

Interest only Question 26: If an insured worker has earned 40 quarters of coverage, the worker's status under Social Security disability is

Answer:

Fully insured.

Question 27: Which is true regarding obtaining underwriting sources?

Answer:

The applicant must be informed of the sources contacted and how the information is being gathered.