TEXAS STATE LIFE AND HEALTH INSURANCE EXAM SIMULATOR 2026-2027 ACTUAL EXAM 300 QUESTIONS AND CORRECT DETAILED ANSWERS WITH RATIONALES|ALREADY GRADED A+||BRAND NEW!!

TEXAS STATE LIFE AND HEALTH INSURANCE EXAM

SIMULATOR 2026-2027 ACTUAL EXAM 300

QUESTIONS AND CORRECT DETAILED ANSWERS

WITH RATIONALES|ALREADY GRADED A+||BRAND

NEW!!

A 55 year old recently received a $30,000 distribution from a previous employer's

401k plan, minus $6,000 withholding. Which federal taxes apply if none of the

funds were rolled over?

Income taxes plus a 10% penalty tax on $30,000

What kind of Accidental Death and Dismemberment (AD&D) insurance

beneficiary requires his/her consent when a change of beneficiary is made?

Irrevocable beneficiary

What is the MINIMUM benefit period that must be offered by a Long-Term Care

policy?

12 months

All of these are considered sources of underwriting information about an applicant,

EXCEPT:

Rating Services

Which of the following types of care is typically not covered in a Long-Term Care

policy?

Acupuncture

T has an annuity that guarantees an income payment for the rest of his life. The

contract also guarantees that if T dies before receiving payments for 20 years, the

remaining payments will be paid to his son for the balance of the 20 years. What

type of annuity is this?

Life Annuity with Period Certain

K pays on a $20,000 20-Year Endowment policy for 10 years and dies from an

automobile accident. How much will the insurance company pay the beneficiary?

$20,000 death benefit

In order to establish a Health Reimbursement Arrangement (HRA), it must:

be established by the employer

Insurance policies are offered on a "take it or leave it" basis, which make them:

Contracts of Adhesion

Which of the following is the reimbursement of benefits for the treatment of a

beneficiary's injuries caused by a third party?

Subrogation

What is required for an agent whose license has been revoked?

Wait at least five years before applying for a new license

Who is normally considered to be the owner of a 403(b) tax-sheltered annuity?

The employee

Which of the following statements regarding a Tax Sheltered Annuity (TSA) is

INCORRECT?

The income from the TSA is received income tax-free

A major medical policy typically:

provides benefits for reasonable and necessary medical expenses, subject to policy

limits

All of these statements about the Commissioner of Insurance are true EXCEPT

The Commissioner must be elected in a general election

An insurance company can be accused of false advertising by

exaggerating its dividends in a newspaper advertisement

An individual who purchases a Life annuity is given protection against:

the risk of living longer than expected

Which of the following BEST describes a Hospital Indemnity policy?

Coverage that pays a stated amount per day of a covered hospitalization

The automatic premium loan provision is designed to:

avoid a policy lapse

A nonprofit incorporated society that does not have capital stock and operates for

the sole benefit of its members is known as:

a fraternal benefit society

A prospective insured MUST receive an Outline of Coverage when an application

is taken for a(n)

Medicare Supplement policy