Exam

In this state, what is the maximum fine for transacting insurance without a license?

$1,000

In replacement, an existing insurer must provide policyowners with a policy summary for existing life insurance within how many days of receiving the written communication and replacement?

10

The entire contract is made up of all of the following EXCEPT

The buyers guide

Which of the following is true regarding Medicare Supplement policies?

They must be guaranteed renewable

Which required provision allows an insured to pay overdue premiums within 30 days for a life insurance policy to remain in effect?

grace period

Which type of care is NOT covered by Medicare?

long term care

False advertising is the illegal practice of advertising or circulating materials that are untrue, deceptive, or misleading.

10,000

An insured has Medicare Part D coverage. Upon reaching the initial benefit limit, what percentage of the prescription drug cost is the insured responsible for paying?

25%

When a policy is replaced, replacing insurers must maintain a replacement register regarding that policy until the conclusion of the next regular examination by the Insurance Department or for

3 years

Authorized insurance companies are examined by the Commissioner at least once every

5 years

What is a foreign insurer?

An insurer with a home office in another state

A producer who fails to separate premium monies from his own personal funds is guilty of

Commingling

All of the following could be considered rebates if offered to an insured in the sale of insurance ЕХСЕРТ

Dividends from a mutual insurer.

All of the following statements concerning Medicaid are correct EXCEPT

Medicaid is a state funded program that provides health care to persons over age 65, only.

The duties of an agent where replacement is involved include all of the following EXCEPT

Splitting the commission with the agent who originally sold the policy being replaced

Which of the following groups would most likely be covered under a blanket accident policy?

Students at a public school

Which of the following is an example of a producer being involved in an unfair trade practice of rebating?

Telling a client that his first premium will be waived if he purchases the insurance policy today

The First Street Church plans to sponsor a summer camp for the youth of their congregation. They would like to purchase insurance that would pay benefits should one of the youth get injured while participating in the camp activities. The type of policy they would likely need is a/an

blanket

In any case where there is a controversy or dispute between the insurance company and the insured, the soliciting agent is the agent of the

company

When a producer was reviewing a potential customer's coverage written by another company, the producer made several remarks that were maliciously critical of that other insurer. The producer could be found guilty of

defamation

Which of the following terms describes making false statements about the financial condition of any insurer that are intended to injure any person engaged in the business of insurance?

defamation

Which of the following best describes an insurance company that has been formed under the laws of this state?

domestic

An insurance company has published a brochure that inaccurately portrays the advantages of a particular insurance policy. What is this an example of?

false advertising

Who elects the Commissioner of Insurance to office?

registered voters

An insured recently discovered that the interest rate on his policy loan once again increased. Which of the following is the shortest amount of time that could have passed since the last change in the insured's interest rate?

3 months

Which of the following groups would probably be covered by blanket insurance?

A university's sports team

All the following are examples of violations of replacement EXCEPT

Advising an applicant to answer questions correctly

Which of the following would be considered an unfair claims settlement practice?

Advising the insured that if the claim goes to arbitration, the insured would probably receive less than what is currently being offered

An agent is acting ethically in all of the following situations EXCEPT

Always representing the insured.

An outline of coverage must be given to the applicant for a long-term care policy no later than

At the time of initial solicitation

All of the following actions can be described as twisting EXCEPT

Explaining to client the advantages of permanent insurance over term and suggesting changing policies

Which one of the following is an eligibility requirement for Social Security disability income benefits?

Fully insured status

Which of the following statements is CORRECT concerning the relationship between Medicare and HMOs?

HMOs may pay for services not covered by Medicare

State law specifically prohibits using illegal inducements in the marketing of insurance. All of the following would be considered illegal inducements EXCEPT

Inviting prospective clients to the grand opening of the company's new office.

Which of the following best describes a misrepresentation?

Issuing sales material with exaggerated statements about policy benefits

Concerning Medicare Part B, which statement is INCORRECT?

It is fully funded by Social Security taxes (FICA)

Which of the following best describes the unfair trade practice of defamation?

Making derogatory oral statements about another insurer's financial condition

To sign up for a Medicare prescription drug plan, individuals must first be enrolled in

Medicare Part A

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

Medicare Part A is automatically provided when an individual qualifies for Social Security benefits at age 65.

Medicare Advantage is also known as

Medicare Part C

An agent commingled $500 of insurance premiums collected with new applications with his personal funds. The agent could be found guilty of a

Misdemeanor

If a person is compensated for a testimonial in an advertisement, which of the following statements should be included in the advertisement?

Paid endorsement

The part of Medicare that helps pay for inpatient hospital care, inpatient care in a skilled nursing facility, home health care and hospice care, is known as

Part A

All of the following are covered by Part A of Medicare EXCEPT

Physician's and surgeon's services

Which of the following must be present in all Medicare supplement plans?

Plan A

All of the following statements regarding continuing education requirements in this state are true EXCEPT

Producers may repeat the same courses to meet the required CE hours for a licensing period.

All of the following are true regarding rebates EXCEPT

Rebates are allowed if it's in the best interest of the client.

A nonresident agent is allowed to conduct insurance transactions in Georgia because his home state allows Georgia residents to transact insurance business in it. This is known as a/n

Reciprocity agreement

Which of the following may NOT be included in an insurance company's advertisement?

That its policies are covered by a state Guaranty Association

The human resources director of an insurance company loves the policy they have with the company. They are personable, and the company wants to use them in a new advertisement.

The HR director can appear in the advertisement under the condition that the connection to the company is disclosed

For an individual who is eligible for Medicare at age 65, and who is still employed and covered under the employer's plan, which of the following is true?

The employer plan is primary coverage, and Medicare is secondary coverage.

Which statement regarding qualifications for Social Security disability benefits is NOT true?

The individual must be at least 65 years old.

An insurer publishes intimidating brochures that portray the insurer's competition as financially and professionally unstable. The insurer is hoping that this advertising will help to eliminate the competition and therefore create a monopoly. Which of the following best describes this act?

illegal

An insured buys a Medicare Supplement insurance policy from a new insurer; this policy will replace one provided to her by another insurer. Which of the following must provide her with a notice of replacement?

replacing insurer

It would be considered unfair discrimination to ask an insurance applicant about which of the following and then use that information as a rating factor to determine insurability?

sexual orientation

Agents who persuade insureds to cancel a policy in favor of another one when it might not be in the insured's best interest are guilty of

twisting