healthandlife
It could provide payments for loss of income.
Which of the following is true regarding health insurance?
Continuation provision
Which of the following provisions must be included on the first page of a Medicare supplement policy, which states the insurer's right to change premium amounts?
Suicide is excluded for a specific period of years and covered thereafter
Which of the following statements about a suicide clause in a life insurance policy is TRUE?
The amount of the distribution is reduced by the amount of a 20% withholding tax.
A 60-year-old participant in a 401(k) plan takes a distribution and rolls it over to an IRA within 60 days. Which of the following is true?
A level annual premium for the life of the insured
A Straight Life policy has what type of premium?
Guaranteed and Current.
A Universal Life insurance policy has two types of interest rates that are called
2022
A client's policy lapsed in 2016 without being renewed. In what year would the insurance company be able to destroy the file on this policy?
If the father is disabled for more than 6 months
A father purchases a life insurance policy on his teenage daughter and adds the Payor Benefit rider. In which of the following scenarios will the rider waive the payment of premium?
Comprehensive plan.
A health insurance plan that covers all accidents and sicknesses that are not specifically excluded from the policy is referred to as a
Insurer
All advertisements are the responsibility of the
Occupational
An insured has health insurance that covers them at work and at home. This policy was written on what basis?
10 days
An insured pays a monthly premium of $100 for her health insurance. What would be the duration of the grace period under her policy?
20 employees.
COBRA applies to employers with at least
Conversion
If an employee terminates her employment, which of the following provisions would allow her to continue health coverage under an individual policy, if requested within 60 days?
Decreases
If an insured changes the premium payment mode from monthly to annually, what happens to the total premium?
Control specialist costs.
The gatekeeper of an HMO helps
Reinsurance
What method do insurers use to protect themselves against catastrophic losses?
Return of premium
When an insured under a life insurance policy died, the designated beneficiary received the face amount of the policy, as well as a refund of all of the premiums paid. Which rider is attached to the policy?
Conditional.
When both parties to a contract must perform certain duties and follow rules of conduct to make the contract enforceable, the contract is
Outstanding loans and interest
When calculating the amount a policyowner may borrow from a variable life policy, what must be subtracted from the policy's cash value?
Option A
Which Universal Life option has a gradually increasing cash value and a level death benefit?
Insurer's executive officer
Which of the following entities has the authority to make changes to an insurance policy?
A benefit for each day the insured is in a hospital.
A hospital indemnity policy will pay
Guaranteed
A new employee who meets HIPAA eligibility requirements must be issued health coverage on what basis?
Return of unearned premiums
A policyholder is entitled to which of the following under an individual accident and health policy?
Pay the policy proceeds only if it would have issued the policy.
A prospective insured receives a conditional receipt but dies before the policy is issued. The insurer will
Other-insured rider.
A rider attached to a life insurance policy that provides coverage on the insured's family members is called the
The Insurance Guaranty Association.
According to the Coordination of Benefits (COB) provision in health insurance in this state, if insurer overpaid on a claim, the insurer may recover the excess from all of the following EXCEPT
85%
According to the Medical Loss Ratio (MLR), what is the minimum percentage of health coverage premium that must be applied to actual medical care in a large group health plan?
When and how an insured may prove a loss
According to the proof of loss provision, which of the following must be specified in a contract that provides disability benefits?
Premiums will be refunded.
After the elimination period, a totally disabled insured qualified and started receiving benefits from his disability income policy that has a waiver of premium rider. What will most likely happen to the premiums paid into the policy during the elimination period?
The interest is not taxable since it remains inside the insurance policy.
All of the following are TRUE statements regarding the accumulation at interest option EXCEPT
Specified.
All of the following are beneficiary designations EXCEPT
Premiums are determined by the age, sex and occupation of each individual certificate holder.
All of the following are characteristics of group life insurance EXCEPT
Preventive services.
All of the following are considered to be supplemental benefits under an HMO plan EXCEPT
Change any incorrect statement on the application by personally initialing next to the corrected statement.
All of the following are duties and responsibilities of producers at the time of application EXCEPT
Every insurer must file a fraud prevention plan within 150 days.
All of the following are true about the Insurance Frauds Prevention Act EXCEPT
Beneficiary's age.
All of the following information about a customer must be used in determining annuity suitability EXCEPT
They cover the cost of extended nursing home care.
All of the following statements about Medicare supplement insurance policies are correct EXCEPT
The annuitant receives a fixed amount of return.
All of the following statements about equity index annuities are correct EXCEPT
The payments will stop when the annuitant dies.
All of the following statements are true regarding installments for a fixed amount EXCEPT
It is a life contingency option.
All of the following statements are true regarding installments for a fixed period annuity settlement option EXCEPT
Taxation on accumulation
All of the following would be different between qualified and nonqualified retirement plans EXCEPT
When the agent delivers the policy, collects the initial premium, and the applicant completes an acceptable Statement of Good Health
An agent and an applicant for a life insurance policy fill out and sign the application. However, the applicant does not wish to give the agent the initial premium, and no conditional receipt is issued. When will coverage begin?
The old policy should stay in force until the new policy is issued.
An agent is in the process of replacing the insured's current health insurance policy with a new one. Which of the following would be a proper action?
FINRA
An agent selling variable annuities must be registered with
Concealment.
An applicant knowingly fails to communicate information that would help an underwriter make a sound decision regarding coverage. This is an example of
Has at least 50 members.
An association could buy group insurance for its members if it meets all of the following requirements EXCEPT
The insured may choose to convert to term or permanent individual coverage.
An employee is insured under her employer's group life plan. If she terminates her group coverage, which of the following statements is INCORRECT?
The date of medical exam
An individual applied for an insurance policy and paid the initial premium. The insurer issued a conditional receipt. Five days later the applicant had to submit to a medical exam. If the policy is issued, what would be the policy's effective date?
The policy will not be affected.
An individual applies for a life policy. Two years ago he suffered a head injury from an accident, so he cannot remember parts of his past, but is otherwise competent. He has also been hospitalized for drug abuse, but does not remember this when applying for insurance. The insurer issues the policy and learns of his history one year later. What will probably happen?
Direct response marketing
An insurance company sells an insurance policy over the phone in response to a TV ad. Which of the following best describes this act?
Single premium whole life.
An insurance policy that only requires a payment of premium at its inception, provides insurance protection for the life of the insured, and matures at the insured's age 100 is called
The insurer is cancelling the insured's policy on illegal grounds.
An insured has a heart attack 40 days after his new health insurance policy goes into effect. He has a quadruple bypass surgery and a long hospital stay. As a result, the insurer cancels the policy with a written notice 80 days after the effective policy date. Which of the following is true?
$5,000
An insured has a primary group health plan and an excess plan, each covering losses up to $10,000. The insured suffered a loss of $15,000. Disregarding any copayments or deductibles, how much will the excess plan pay?
Pay a reduced death benefit
An insured has had a life insurance policy that he purchased 3 years ago when he was 40 years old. He is killed in an automobile accident, and it is discovered that he is actually 45 years old, and not 43, as stated on the application. What will the company do?
Full benefits
An insured is involved in an accident that renders him permanently deaf, although he does not sustain any other major injuries. The insured is still able to perform his current job. To what extent will he receive Presumptive Disability benefits?
Mutual
An insured purchased an insurance policy 5 years ago. Last year, the insured received a dividend check from the insurance company that was not taxable. This year, the insurer did not send a check. From what type of insurer did the insured purchase the policy?
Cash option
An insured receives an annual life insurance dividend check. What term best describes this arrangement?
2 years
An insured was involved in an accident and could not perform her current job for 3 years. If the insured could reasonably perform another job utilizing similar skills after 1 month, for how long would the insured be receiving benefits under an "own occupation" disability plan?
$120 a day
An insured's long-term care policy is scheduled to pay a fixed amount of coverage of $120 per day. The long-term care facility only charged $100 per day. How much will the insurance company pay?
The insurer
An insurer hires a representative to advertise its company at a local convention. The representative lies about the details of some of the policies, in an attempt to secure more business for the company. Who is responsible for the representative's claims?
Relation of earnings to insurance
An insurer is preparing to pay disability income benefits to an insured. In order to prevent overinsurance, the insurer monitors the income of the insured before submitting payment. Which rule corresponds to this behavior?
Inspection Report
An insurer receives a report regarding a potential insured that includes the insured's financial status, hobbies and habits. What type of a report is that?
Increases annually.
Annually renewable term policies provide a level death benefit for a premium that
Living Benefit
Another name for the Accelerated Death Benefit Rider if it is part of the policy is
10 years.
Any licensed person whose activities affect interstate commerce and who knowingly makes false material statements related to the business of insurance may be imprisoned for up to
Group coverage must be extended for terminated employees up to a certain period of time at the former employee's expense.
As it pertains to group health insurance, COBRA stipulates that
Predicted needs of the family after the insured's death.
Based on Human Life Value Approach, which of the following is NOT used to calculate an individual's life value?
Dread Disease Policy
Because of the history of cancer in her family, Julie purchased a policy that specifically covers the expense of treating cancer. Her policy would be classified as what type of policy?
Certificate of appointment
Before an agent can transact business in New York, every insurer, fraternal benefit society or HMO must file with the Superintendent which of the following?
Residual disability
Disability income policies can provide coverage for a loss of income when returning to work after recovering from total disability. What is the name of this policy?
Interest
During partial withdrawal from a universal life policy, which portion will be taxed?
Obtain a list of all life insurance policies that will be replaced
During replacement of life insurance, a replacing insurer must do which of the following?
Are subject to vesting requirements.
Employer contributions made to a qualified plan
It cannot exclude newborn children from coverage.
Employer contributions made to a qualified plan
Hazards.
Events or conditions that increase the chances of an insured loss occurring are referred to as
2 plans
Every small employer carrier must actively offer to small employers at least how many health benefit plans?
The number of days confined in a hospital.
Hospital indemnity/hospital confinement indemnity policy will provide payment based on
Agree to follow the PPO standards and charge the appropriate fees.
How can a new physician be added to the PPO's approved list?
It is based upon the worker's Primary Insurance Amount (PIA), which is calculated from their Average Indexed Monthly Earnings over their highest 35 years.
How is the amount of Social Security disability benefits calculated?
90 days
How long after the date of issue may an insurer cancel an accident and health policy?
Erase the incorrect answer and record the correct answer.
If a change needs to be made to the application for insurance, the agent may do all of the following EXCEPT
Small employer
If a firm has 50 employees at the point it applies for health coverage, what is its classification?
120 days.
If a person has been found liable for a civil penalty in a hearing, that ruling can be entered as a judgment and enforced after
Embezzlement
If an agent fails to promptly remit the premiums collected from the insured to the insurer, the agent may be found guilty of which of the following?
Either the amount paid into the plan or the cash value of the plan, whichever is the greater amount
If an annuitant dies before annuitization occurs, what will the beneficiary receive?
Ancestry.
If an insurance company wishes to order a consumer report on an applicant to assist in the underwriting process, and if a notice of insurance information practices has been provided, the report may contain all of the following information EXCEPT the applicant's
The policy will terminate when the cash value is reduced to nothing.
If an insured continually uses the automatic premium loan option to pay the policy premium,
At the time of policy delivery
If during the underwriting process an insurer obtains personal information about an applicant from the applicant, when must the insurer provide notice of its information practices?
Nothing
If one takes Social Security retirement benefits at age 62, what needs to be done at age 65 to qualify for Medicare?
Waive the estate recovery requirement.
If seeking repayment of Medicaid funds per the Medicaid Estate Recovery Act would cause a hardship to survivors, states may
Cease and desist order.
If the Superintendent finds a licensee in violation of an unfair method or unfair practice he or she will issue a
More expensive.
In a POS plan, benefits for covered services when self-referring (without having your primary care physician arrange for the service) are generally
The contingent beneficiary.
In a case where the primary beneficiary predeceases the insured, in the event of the insured's death, the death benefit proceeds will be paid to
The first day of disability and the day the insured starts receiving benefits.
In a disability policy, the elimination (or waiting) period refers to the period between
The annuitant will receive the higher of either the guaranteed minimum rate or current rate.
In a fixed annuity, which of the following is true regarding the guaranteed interest rate on the investment?
Are split between the couple who signed the contract.
In a shared-care policy, the benefits of 2 LTC policies
5 years.
In addition to examinations that are specifically authorized by the Insurance Code, the Superintendent may examine each domestic life insurer as often as it is deemed necessary for the protection of the consumers. The Code requires examination of domestic life insurers every
When an insurer's underwriter approves coverage
In forming an insurance contract, when does acceptance usually occur?
Master policy
In group insurance, what is the policy called?
Occasional nursing or rehabilitative care
In long-term care insurance, what type of care is provided with intermediate care?
Stop-loss.
In major medical insurance policies, when the insured's share of coinsurance reaches a certain amount, the insured is no longer obligated to pay it. This feature is known as
The insured must have first been hospitalized for 3 consecutive days.
In order for an insured under Medicare Part A to receive benefits for care in a skilled nursing facility, which of the following conditions must be met?
Submit fingerprints
In order to be a licensed life settlement broker, a person must complete which of the following requirements?
5
In order to qualify for conversion from a group life policy that has been terminated to an individual policy of the same coverage, a person must have been insured under the group plan for how many years?
All providers will have the same coverage options and conditions for each plan.
In reference to the standard Medicare Supplement benefits plans, what does the term standard mean?
45 days
In the event a policy lapses due to nonpayment of premium, within how many days would the policy be automatically reinstated once the outstanding premium is paid?
Before her death, a 23-year-old was living in a long-term nursing facility paid for with Medicaid funds
In which of the following scenarios will repayment of funds take place per the Medicaid Estate Recovery Act?
Increased benefits
Issue age policy premiums increase in response to which of the following factors?
Accelerated Death Benefit
Monty has late-stage leukemia and is now under hospice care. He is expected to live for only a few more weeks. His medical bills are extensive, so he needs an additional source of funding. What life insurance provision would pay part of his death benefit early, in order to provide extra funding for his medical bills?
Attending physician
Occasional visits by which of the following medical professionals will NOT be covered under LTC's home health care?
50 or more.
One of the differences between group underwriting and individual underwriting is that there is little or no medical information required regarding plan participants in groups of
Are considered true to the best of the applicant's knowledge.
Representations are written or oral statements made by the applicant which
Insurable interest.
Stranger-originated life insurance policies are in direct opposition to the principle of
Insurance companies from adverse selection by high risk persons.
The Medical Information Bureau (MIB) was created to protect
2nd
The Medicare supplement renewal commissions paid in the third year must be as high as the commission of which year?
Annually on or before March 1st.
The New York Superintendent has the responsibility to make sure each entity transacting insurance in this state remains solvent. Insurers are required to file a statement with the Superintendent
Individual tax deduction for premiums paid.
The Patient Protection and Affordable Care Act includes all of the following provisions EXCEPT
15% of the agent's annual commission is from business sold to the agent's family.
The Superintendent will not renew an agent or broker's license upon finding that the license has been used to write controlled business. Which of the following would be a violation of controlled business practices?
The beneficiary will receive the greater of the money paid into the annuity or the cash value.
The annuitant dies while the annuity is still in the accumulation stage. Which of the following is TRUE?
The cash value will be paid to the annuitant's estate.
The annuity owner dies during the accumulation period without naming a beneficiary. Annuity's cash value exceeds premiums paid. Which of the following is TRUE?
One-year term option.
The dividend option in which the policyowner uses dividends to purchase a term policy for one year is referred to as the
Life income with period certain.
The form of life annuity which pays benefits throughout the lifetime of the annuitant and also guarantees payment for a minimum number of years is called
As of the application date
The full premium was submitted with the application for life insurance, and the policy was issued two weeks later as requested. When does the policy coverage become effective?
50%
The law states that an insurer is allowed to pay the entire Death Benefit to the insured if they qualify to use the Accelerated Death Benefit Rider; however, most insurers limit the amount of the Death Benefit paid to
50%
To be acceptable to insurance companies, what percentage of eligible employees must be enrolled under a contributory group health insurance plan?
Owner's income
Traditional IRA contributions are tax deductible based on which of the following?
The policyowner will not receive a refund because the free-look period is over.
Twenty-five days after a health insurance policy is delivered, the policyowner decides that she would like to return the policy and receive a refund of premium. Which of the following is true?
Discrimination
Two individuals are in the same risk and age class; yet, they are charged different rates for their insurance policies due to an insignificant factor. What is this called?
Employer
Under a defined benefit retirement plan, who determines what benefits a retired employee will receive?
The same face amount as in the whole life policy.
Under an extended term nonforfeiture option, the policy cash value is converted to
100
Under the Affordable Care Act, what percentage of preventive care must be covered without cost sharing?
100%
Under the Affordable Care Act, what percentage of preventive care must be covered without cost sharing?
Respond to the consumer's complaint.
Under the Fair Credit Reporting Act, if a consumer challenges the accuracy of the information contained in a consumer or investigative report, the reporting agency must
7 days.
Under the New York State Disability Benefit Law, for an employed individual, disability benefits will be payable after a waiting period of
Cash surrender
Under which nonforfeiture option does the company pay the surrender value and have no further obligations to the policyowner?
Installments for a fixed period
Under which of the following annuity options does the annuitant select the time period for the benefits, and the insurer determines how much each payment will be?
Homogeneous.
Units with the same or similar exposure to loss are referred to as
Signed waiver of premium.
Upon policy delivery, the producer may be required to obtain any of the following EXCEPT
Naming beneficiaries as a group.
Using a class designation for beneficiaries means
15 hours of approved instruction every 2 years
What are the continuing education requirements for licensed insurance agents in the state of New York?
Insurance and cash account
What are the two components of a universal policy?
They offer the option of purchasing coverage that raises benefit levels accordingly.
What do long-term care policies offer to policyholders to account for inflation?
It allows guaranteed acceptance of all applicants.
What is NOT a benefit of a POS plan?
20%
What is a penalty tax for nonqualified distributions from a health savings account?
It has the highest amount of insurance protection.
What is the benefit of choosing extended term as a nonforfeiture option?
Excess charge
What is the difference between the Medicare approved amount for a service or supply and the actual charge?
5 months
What is the elimination period for Social Security disability benefits?
Early detection through regular checkups
What is the goal of the HMO?
25%
What is the maximum amount of coinsurance in New York's major medical plans?
$5,000
What is the maximum fine for violating a cease and desist order?
12 point
What is the minimum font size for a disclosure statement for a Medicare supplement insurance policy?
It is intended to provide coverage on a date prior to the policy issue.
What is the purpose of a conditional receipt?
Guarantee of insurability
What option allows the insured to periodically increase benefit levels without providing evidence of insurability?
Grace period
What required provision protects against unintentional lapse of the policy?
Medical Reimbursement Benefit
What type of benefit helps to pay for accidental injuries that are not severe enough to qualify as disabilities?
Visits by a registered nurse
What types of services may NOT be provided under the long-term care's assisted living care?
Taxable income to the employee.
When a group disability insurance policy is paid entirely by the employer, benefits paid to disabled employees are
It is reduced to the amount of what the cash value would buy as a single premium.
When a reduced paid-up nonforfeiture option is chosen, what happens to the face amount of the policy?
Annuitant
When an annuity is written, whose life expectancy is taken into account?
The insurer's
When an applicant applies for Medicare supplement insurance, whose responsibility is it to confirm whether the applicant has an accident or sickness insurance policy in force?
Reimbursement
When benefits are paid directly to the insured under a health insurance policy, the policy provides benefits on what type of basis?
Only if it is part of treatment for a covered illness or injury
When does Medicare cover nursing home care?
Foreign
When doing business in this state, an insurance company that is formed under the laws of another state is known as which type of insurer?
At least 60 days before the license expires
When must agents submit license renewal applications to the Superintendent?
At the time of application
When must the Buyer's Guide be delivered to the proposed insured?
A statement of good health
When the policy premium wasn't submitted with the application, what should the agent obtain from the insured upon policy delivery?
Child Health Plus
Which New York program specifically provides health insurance for children under the age of 19 whose families meet income guidelines?
It is divided into geographic territories.
Which is true regarding HMO coverage?
Reduced paid-up
Which nonforfeiture option provides coverage for the longest period of time?
A-N
Which of the following Medicare supplement plans would be available to a reasonably healthy 91-year-old female?
Payment is limited to a certain period of time.
Which of the following applies to partial disability benefits?
A person who is selling the contract
Which of the following best defines the owner of a life settlement contract?
Both the principal and interest will be liquidated over a selected period of time.
Which of the following best describes fixed-period settlement option?
It is a nonprofit organization that maintains underwriting information on applicants for life and health insurance.
Which of the following best describes the MIB?
The amount of contributions made by the employer is determined by an actuarial formula.
Which of the following characteristics applies to defined benefit plans but not defined contribution plans?
Golden parachutes
Which of the following coverages is NOT monitored by the Employee Retirement Income Security Act (ERISA)?
The aggregate amount of premiums due
Which of the following does NOT have to be disclosed in a long-term care (LTC) policy?
The Department of Financial Services
Which of the following entities has the authority to revoke a producer's license?
Income
Which of the following factors about the insured determines the amount of disability benefit that the insured will receive?
Percentage of participation
Which of the following factors would be an underwriting consideration for a small employer carrier?
A producer previously licensed in New Jersey who is applying for a New York license 120 days after becoming a resident of this state
Which of the following individuals must pass the written examination to be licensed as an insurance agent?
Medical background
Which of the following information about the applicant is NOT included in the General Information section of the application for insurance?
The benefit can be up to 50% of one's yearly income.
Which of the following is NOT a characteristic of a group long-term disability plan?
Denial of coverage
Which of the following is NOT a cost-saving service in a medical plan?
Creditor requiring that a debtor buys insurance from a certain insurer
Which of the following is NOT allowed in credit life insurance?
Presuming the applicant is eligible for Medicaid, based on the nature of the policy
Which of the following is NOT among the goals of a Medicare supplement application?
Workers Compensation
Which of the following is NOT an example of a business use of Life Insurance?
Debtor in the life of the creditor
Which of the following is NOT an example of a valid insurable interest?
The Medicare Part A deductible
Which of the following is NOT covered under Plan A in Medigap insurance?
Acute care in a hospital
Which of the following is NOT covered under a long-term care policy?
Reimbursement
Which of the following is NOT provided by an HMO?
Payments stop after the first death among the annuitants.
Which of the following is NOT true about a joint and survivor annuity benefit option?
Any exchange made under Section 1035 of the Internal Revenue Code must be completed within 30 days.
Which of the following is NOT true of Section 1035 Policy Exchanges?
They earn lower interest rates than fixed annuities.
Which of the following is NOT true regarding Equity Indexed Annuities?
It must be provided to the applicant within 30 days of the application.
Which of the following is NOT true regarding a disclosure statement for Medicare supplement policies?
This is a form of insurance that covers part-time workers.
Which of the following is NOT true regarding partial disability?
Money borrowed from the cash value is taxable.
Which of the following is NOT true regarding policy loans?
The annuitant cannot be the same person as the annuity owner.
Which of the following is NOT true regarding the annuitant?
Benefit payment amounts are not guaranteed.
Which of the following is a feature of a variable annuity?
Annuity certain
Which of the following is a short-term annuity that limits the amounts paid to a specific fixed period or until a specific fixed amount is liquidated?
Trade organization employment
Which of the following is a type of covered employment under the New York State Disability Benefit Law?
Cybersecurity Policy
Which of the following is an approved written document that identifies procedures in place to keep the insurer's Information System safe?
Have attained fully insured status
Which of the following is an eligibility requirement for all Social Security Disability Income benefits?
Life Paid-up at Age 65
Which of the following is an example of a limited-pay life policy?
It insures the life of a debtor.
Which of the following is correct regarding credit life insurance?
They are guaranteed to be true.
Which of the following is true about warranties?
Its goal is to channel patients to providers that discount services.
Which of the following is true of a PPO?
Adult day care
Which of the following long-term care benefits would provide coverage for care for functionally impaired adults on a less than 24-hour basis?
Universal Life - Option A
Which of the following policies would have an IRS required corridor or gap between the cash value and the death benefit?
AM Best
Which of the following produces evaluations of insurers' financial status often used by state departments of insurance?
Part B coverage is provided free of charge when an individual turns age 65.
Which of the following statements is INCORRECT concerning Medicare Part B coverage?
Medicare Advantage must be provided through HMOs.
Which of the following statements is NOT correct regarding Medicare?
Insurers are barred from requesting HIV testing.
Which of the following statements regarding HIV testing for life insurance purposes is NOT true?
Decreasing term
Which of the following types of insurance policies is most commonly used in credit life insurance?
Creating an estate
Which of the following will NOT be an appropriate use of a deferred annuity?
Premium amounts and surrender values
Which of the following will be included in a policy summary?
Giving a client a $20 pen with the insurer's logo during the insurance application process
Which of the following would NOT be considered rebating?
Noncancellable and guaranteed renewable
Which renewal provision(s) must be included in a long-term care policy issued to an individual?
Family term rider
Which rider, when attached to a permanent life insurance policy, provides an amount of insurance on every family member?
Replacement rule
Which rule would apply if an agent knows an applicant is going to cash in an old policy and use the funds to purchase new insurance?
Insureds cannot be randomly selected.
Which statement regarding insurable risks is NOT correct?
An individual not covered by an employer-sponsored plan who has earned income
Who can make a fully deductible contribution to a traditional IRA?
Both the applicant and agent
Who must sign the notice regarding replacement?
Public adjuster
Who represents the insured in the investigating of a claim?
The producer
Whose responsibility is it to make certain that an application for insurance is filled out completely and correctly?
11 years
A couple buying 7-year LTC policies decides to purchase shared care policies. The husband later gets sick and uses 3 years of LTC benefit before dying. How much LTC is left for the wife?
Promptly forwarding premiums to the insurance company
Pertaining to insurance, which of the following is an example of a producer's fiduciary responsibility?
Someone who works 400 hours per year
Which of the following applicants would NOT qualify for a Keogh Plan?
Consideration
When an insured makes truthful statements on the application for insurance and pays the required premium, it is known as which of the following?
1035 exchange.
A policyowner cancels his life policy but instructs the insurance company to transfer the cash value of his policy to an annuity. This nontaxable transaction is called
The application was processed without a valid license.
A spouse was granted a temporary license for her deceased husband's agency on March 1. On May 1 she processed an application for life insurance on a new applicant. Which of the following is true?
A reinstated policy provides immediate coverage for an illness.
All of the following are correct about the required provisions of a health insurance policy EXCEPT
Inform the Department within 30 days
An agent has recently changed his email address. What must the agent do to comply with the regulation for change of address?
Adjusted to the insured's age at the time of renewal.
Level term insurance provides a level death benefit and a level premium during the policy term. If the policy renews at the end of a specified period of time, the policy premium will be
Warn the applicant about the 10-day free-look period.
An agent is completing an application for a long-term care policy. The agent is required to do all of the following EXCEPT
Suspension of license
An agent misrepresents the details of an insured's new insurance contract that will be replacing the current contract. Which of the following will most likely happen?
The pre-existing condition waiting period fulfilled in the old policy will be transferred to the new policy.
An individual purchased a Medicare supplement policy in March and decided to replace it 2 months later. His history of coronary artery disease is considered a pre-existing condition. Which of the following is true?
On the agent's birthday every odd-numbered year
An insurance agent was born in 1983 and obtained his New York insurance license in 2014. When will the agent's license expire?
A proportionate amount
An insured carries health insurance with two different providers and is covered on an expense incurred basis. He has an appendectomy and files the claims to both insurers. Neither company is notified in advance that the insurer has other coverage. What should each insurer pay?
Universal life
An insured owns a life insurance policy. To be able to pay some of her medical bills, she withdraws a portion of the policy's cash value. There is a limit for a withdrawal and the insurer charges a fee. What type of policy does the insured most likely have?
Business Continuation
Joe, Larry, and Curly own a small business. They have made a legal arrangement which states that if one of them dies or becomes disabled, the other two will be able to buy the partner's shares. Which term best describes this arrangement?
A flat amount.
The benefits for individual disability plans are based on
Spendthrift clause.
The clause that protects the proceeds of a life insurance policy from creditors after the death of the insured is known as the
Gradually increases each year by the amount that the cash value increases.
The death benefit under the Universal Life Option B
6 credits.
The minimum number of credits required for partially insured status for Social Security disability benefits is
Between 100% and 400%
To be eligible for tax credits under the ACA, individuals must have income that is what percent of the Federal Poverty Level?
The insurer can increase the policy premium on an individual basis.
Which of the following is NOT a feature of a guaranteed renewable provision?
It does not have limits on contributions.
Which of the following is NOT true regarding a flexible spending account?
Benefits stop at the annuitant's death.
Which of the following is NOT true regarding an annuity certain?
Need is predicted using the number of years until the insured's retirement.
Which of the following is NOT true regarding the needs approach method of determining the value of an individual's life?
It cannot exclude newborn children from coverage.
Which of the following is correct about a group health insurance policy issued in New York?
It commences when the policy is delivered.
Which of the following is true about the mandatory free look in a Life Insurance policy?
