OKLAHOMA INSURANCE EXAM

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OKLAHOMA INSURANCE EXAM

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

-Format: Multiple-choice / Flashcard

Question 1: Ins Classification: Location

Answer:

1. Domestic: headquarter domicile in state

2. Foreign: domicile in a different state

3. Alien: does business in a foreign country

Question 2: Required Disclosures

Answer:

Buyers Guide explains the general features, benefits and conditions of the type of ins being considered.

Question 3: Loss Exposure

Answer:

Subject to a possible loss: measured by EXPOSURE UNITS (the basis for a premium).Question 4: The core benefits are:

Answer:

Part A hospital coinsurance additional Part A hospital benefits 365 additional days of inpatient hospital care after depletion of the Original Medicare hospital benefits Part B coinsurance after the annual deductible is met Parts A and B blood coverage for the first three pints of blood per calendar year

Question 5: Admitted vs. Non-admitted

Answer:

Refers to whether or not an insurer is approved or authorized to write business in this State.Certificate of Authority

Question 6: Loss

Answer:

Unplanned reduction in economic value.

Question 7: Common Life insurance Options

Answer:

Non-Forfeiture Options

Question 8: Basic Medical Plans (3 Types)

Answer:

HSP hospital surgical physicians Supplementary and Comprehensive Question 9: Risk Management involves:

Answer:

• Risk

• Loss

• Peril

• Hazard

• Exposure

Question 10: The addition of Part C to Original Medicare (Parts A and

B) provided Medicare-eligible individuals with:

Answer:

managed care and private fee-for-service plans

Question 11: Offer

Answer:

Signed application and initial premium

Question 12: Insurance Providers

Answer:

Mutual Companies Stock Companies Home Service Companies Ordinary Life Insurance Medical Care Service Providers Federal and State Government Programs Admitted vs Non-Admitted

Question 13: Social Security Disability Waiting Periods

Answer:

Must be totally disabled

• month waiting period

40 credits = 10 years benefits paid monthly Question 14: All insurance companies selling Medicare supplement policies must sell:

Answer:

Plan A and either Plan C or Plan F. They may sell any of the other plans, too.

Question 15: Risk Avoidance

Answer:

a reasonable strategy- don't drive drunk

Question 16: Key Person Insurance

Answer:

protects against the loss of a key employee or key executive by making the business the beneficiary if a key person dies. The business is the owner, premium payor, and beneficiary.

Question 17: Insurance Contracts

Answer:

• Offer

• Acceptance

• Consideration

• Contact of Adhesion

• Indemnity vs Valued Contracts

Question 18: Disability Buy-Out Policy

Answer:

A type of DI policy that provides surviving business owners with the funds needed to execute a buy-sell agreement upon a co-owner's disability.pays benefits in a lump sum that is then used to buy the disabled owner's business interest. These policies typically have a long elimination period (i.e., 18 to 24 months or more).

Question 19: Elements of Insurable Risk

Answer:

• Definable

• Measurable

• Outside Insured's control

• Must be part of a group

• Must NOT be financially catastrophic
• Risk CANNOT be stated in the exclusions

Question 20: Insurance Contracts: Contract of Adhesion

Answer:

Ambiguities in the contract are interpreted to the benefit of the policy owner.