ExamFX Guaranteed Exam Wrong/Missed Questions

S set up an individual retirement account that her employer is now contributing to. Her employer's contributions are not included in her gross income. What kind of retirement plan does S have? -401(k) -HR-10(Keogh) -SIMPLE -Simplified employee pension

Simplified employee pension

Which of the following is a daily nursing and rehabilitative care that can only be provided by medical personnel under the direction of a physician? - assisted living - skilled care -intermediate care -custodial care

skilled care

An employer is no longer able to afford the group health insurance plan and the plan terminates. However one of the employees continues to receive coverage under the plan. Which of the following explains the reason for the continued coverage? -a nonforfeiture value is in place -the employee is totally disabled -the employee is an executive covered under the plan -the employee's health savings account pays for the coverage

the employee is totally disabled

According to the common disaster clause, if the insured and primary beneficiary are killed in the same accident and it cannot be determined who died first which of the following will be assumed? -the estate of the primary beneficiary and the contingent beneficiary split benefits equally -the insured died before the primary beneficiary -the primary beneficiary died before the insured -the deaths occurred at the same time

the primary beneficiary died before the insured

Which of the following is not a medicaid qualifier? -age -residency -insurability -income level

-insurability

An insurer must notify the consumer in writing that an investigative report has been requested within how many days of the initial request? -3 days -5 days -10 days -30 days

3 days

If an insurance producer is to charge an insured a gee other than the commission deducted from the premium the extra charge must be based upon: - good faith - a written memorandum - a verbal agreement - company policy

a written memorandum

Which of the following is not true regarding a noncancellable policy? -the guarantee to renew coverage usually only applies until the insured reaches age 65 -insured has the unilateral right to renew the policy for the life of the contract and may discontinue paying premiums to cancel it -insurer can increase premium above what is stated in the policy if claims experience is greater than expected -insurer cannot cancel the policy

insurer can increase premium above what is stated in the policy if claims experience is greater than expected

A man is an attorney when he applies for a health policy. He decides to become a professional bungee jumper. He files a claim. What should happen? -The insurance co will pay the claim according to the benefits available if the correct premium had been paid -his coverage will be dropped -the man's worker comp will pay the claim in full -the insurance company will not pay the claim

The insurance co will pay the claim according to the benefits available if the correct premium had been paid

All of the following are true of a nonqualified deferred compensation plan EXCEPT: -it can be discretionary -contributions are not tax deductible -it is contractual agreement whereby the employee agrees to defer a receipt of a portion of his compensation until retirement, disability, or death -it does not require IRS approval

contributions are not tax deductible

All of the following are places where care can be administered for a medical plan EXCEPT: -surgicenters -urgent care centers -eye centers -doctors office

eye centers

Which of the following best describes pure life annuity? -it provides the highest monthly benefits -it continues payments to the beneficiary when the annuitant dies -it is also known as refund life annuity -it guarantees to pay out all the proceeds

it provides the highest monthly benefits

Which statement is required to be printed on the first page of a health insurance policy which signals to the insured that the policy benefits are limited? -limited policy notice -benefit notice -statute of limitations -limited benefit statement

limited policy notice

The reduction of premium option uses dividend to reduce -this years premium -the previous years premium -the premium of any other policy owned by the policy owner -next years premium

next years premium reduction of premium option always reduces the next years premium

An insurer can decide to not renew an optionally renewable policy -on premium due dates -at any point there are no specific dates -on the 15th of every month -on the 1st of every month

on premium due dates