MS LIFE AND HEALTH INSURANCE TEST

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MS LIFE AND HEALTH INSURANCE TEST

Actual Qs and Ans - Expert-Verified Explanation -Guaranteed passing score -100 Questions and Answers

-Format: Multiple-choice / Flashcard

Question 1: M becomes disabled and is unable to work for six months. M dies soon after from complications arising from this disability. M has a Disability Income policy that pays $2,000 a month. Which of the following statements BEST describes what is owed to her estate?

Answer:

Earned, but unpaid benefits Question 2: A producer must report to the Commissioner of Insurance any administrative action or criminal charges taken against the producer within __ days of the final disposition of the matter.

Answer:

30 Question 3: All of the following are limited benefit plans, EXCEPT:

Answer:

life insurance policies

Question 4: How does a typical Variable Life Policy investment account grow?

Answer:

Through mutual funds, stocks, bonds

Question 5: P, age 50, purchased an annuity that P will fund with $500/ month for 15 years. The annuity will then pay P retirement payments after the 15 years. Which type of annuity did P purchase?

Answer:

Deferred Question 6: S, while in the process of converting her group life insurance to an individual policy, dies. What happens to the claim her beneficiary submits?

Answer:

Full benefits are payable under the Master contract Question 7: Before holding a hearing that may lead to suspension or revocation of a producer's license, the Commissioner of Insurance MUST give

Answer:

written notice to the producer Question 8: Which of these types of life insurance allows the policyowner to have level premiums and to also choose from a selection of investment options?

Answer:

Variable Life

Question 9: Which mode of payment is NOT used by health insurance policies?

Answer:

Single premium Question 10: The provision that defines to whom the insurer will pay benefits to is called:

Answer:

payment of claims Question 11: When must insurable interest exist for a life insurance contract to be valid?

Answer:

Inception of the contract

Question 12: The policy provision that entitles the insurer to establish conditions the insured

must meet while a claim is pending is:

Answer:

Time Limit on Certain Defenses Question 13: In a life insurance policy, which feature states that the policy will not cover certain risks?

Answer:

Exclusion Question 14: Information obtained from a phone conversation to the proposed insured can be found in which of these reports?

Answer:

Inspection report Question 15: What is the maximum number of employees (earning at least $5,000) that an employer can have in order to start a SIMPLE retirement plan?

Answer:

100 Question 16: A producer who fails to renew a license may reapply for a license without an examination at which of the following times?

Answer:

Within one year after no renewal Question 17: Which of the following statements is CORRECT about the Life and Health Insurance Guaranty Association?

Answer:

It is funded by insurance companies through assessments Question 18: A producer may share commissions with which of the following individuals?

Answer:

A licensed producer

Question 19: Producers who write insurance primarily on themselves and their family are engaged in

Answer:

controlled buisness

Question 20: What is Medicare?

Answer:

is a hospital and medical expense insurance program

Question 21: When can a policyowner change a revocable beneficiary?

Answer:

anytime Question 22: The Long-Term Care cost disclosure information MUST appear in bold print on the cover page of which of the following materials?

Answer:

Outline of coverage Question 23: What is the MINIMUM number of Activities of Daily Living (ADL) an insured must be unable to perform to qualify for Long Term Care benefits?

Answer:

2 Question 24: J purchased a Disability Income Policy that ONLY J can terminate and on which the rates will never increase above those illustrated in the policy. Which of the following types of policies did J purchase?

Answer:

Noncancelable

Question 25: An insurance company that conducts business in Mississippi and was

incorporated in Mississippi is called a(n)

Answer:

domestic insurer