Insurance

The PPACA defines a full-time employee as one who works at least how many hours per month?

120 hours

Every long-term care insurance policy must cover pre-existing conditions that are disclosed on the application no later than how many months following the effective date of the coverage of an insured?

6 months

The PPACA gives an insurer how many hours to respond to an urgent care claim?

72 hours

COBRA allows the following to occur, EXCEPT:

A dependent child may extend coverage beyond age 26 if he/she is a full time student.

Tax-sheltered annuities (TSA) provide retirement income for employees who work for:

A nonprofit organization

Which of the following is not a misdemeanor and prohibited under California law?

Acting as a broker for surplus lines nonadmitted insurer

If the master policy is terminated, each member may convert the group coverage to individual coverage who has been insured under the group contract for:

At least 5 years

A group vision plan would provide all the following benefits, EXCEPT:

Cataract Surgery

Which of the following is true about the 80/20 coinsurance provision in a major medical policy?

Co-insurance will help control excess utilization of the policy

Which of the following is the method for rating group insurance premiums based on the actual or projected costs of insureds in a particular geographic location based on the age, gender, and occupation of the insureds?

Community rating

Which of the following statements regarding direct response marketing is FALSE?

Direct response policies tend to have higher premiums and less restrictive policy benefits.

Which of the following is a benefit of a qualified retirement plan?

Employers can deduct contributions for each participant. Contributions, and earning on the contributions are tax deferred until withdrawn. Transferring the contributions into a different IRA can further defer taxes.

How often must a Covered California agent be recertified?

Every 5 years

Which of the following is not a settlement option in a life insurance policy?

Extended term option

Under the PPACA, every state is required to create a:

Health benefit exchange

The private insurance companies that make coverage and payment decisions regarding Medicare services provided by hospitals are called:

Intermediaries

All of the following are required in a legal contract, EXCEPT:

Invitation to offer

Which of the following is required for the conversion/exchange to take place in a convertible term policy?

It requires that premiums be paid on time.

All of the following statements are true regarding group insurance, EXCEPT:

Members insured under the group policy are issued their own policy

A group health plan's rates may be affected by any of the following, EXCEPT:

Mortality tables

Medicare Part B offers benefits for all of the following, EXCEPT:

Skilled nursing facilities

Under the PPACA, what is a period outside of open enrollment in which an individual may get health coverage due to a qualifying life event?

Special enrollment period

Which of the following is not an issue in which an insurance contract would normally be voided?

Subrogation and representations

All of the following are true about the insuring clause of a life policy, EXCEPT:

The clause names the producer of the policy.

All of the following are true regarding the Insurance Information and Privacy Protection Act, EXCEPT:

The insured must allow any insurer to seek information concerning any previous adverse underwriting decision experienced by an individual

An adjustable life policyowner may do any of the following, EXCEPT:

The premium will vanish after 7 years

Which of the following is a difference between a limited-pay whole life policy and a straight life policy?

The premiums are higher

Which of the following is a factor used to calculate life insurance premiums?

The rate at which specific populations die

Martha should insist that her husband buy enough life insurance to protect her through:

The time from when her youngest child is 16 until she reaches eligibility for Social Security

All of the following are true regarding inflation protection, EXCEPT:

t provides for automatic future increases in the level of benefits with evidence of insurability

The Pregnancy Discrimination Act covers employers of:

15 or more employees

The PPACA allows dependent children to remain on their parents' insurance plan until age:

26

The PPACA allows dependent children to remain on their parents_ insurance plan until what age?

26

Long-term care policies cannot exclude pre-existing conditions for more than how much time after the policy is issued?

6 months

For large-group health plans, the PPACA mandates what medical loss ratio requirement for health insurance companies?

85%

A plan pays the first $10,000 of medical expenses in full. After that has been paid there is a $500 deductible and a major medical benefit will pay 80% of the balance, if any. This plan has what kind of deductible?

Corridor

Which of the following pertains to Modified Endowment Contracts (MECs)?

Once a MEC, always a MEC. All of the above

What type of health plan has smaller deductibles and limited co-payments with a network of doctors and hospitals to choose from and the participants are required to select a primary care physician?

POS (Point of Service)

Which plan is most likely to have a pre-negotiated discount with various medical providers?

PPO

Martin's employer group health plan provides primary coverage for his end stage renal disease for 30 months, after which Medicare provides:

Primary coverage

Who administers HICAP?

The Department of Aging

Under Medicare Part A, a spell of illness begins again and is subject to a new deductible for another admission when:

The patient has been discharged from a prior stay and 60 days have elapsed

All of the following are true regarding alterations made to a disability application, EXCEPT:

Alterations can be made by an agent who sees that the applicant has omitted information in filling out the application

Which of the following statements concerning a Medicare Supplement plan are true?

An insurance company must have a certificate of authority to market Medicare Supplements.

What is a covered benefit of long-term care policies typically following a nursing home stay; skilled nursing or other professional services provided in an individual's home?

Home health care

If this annuity is surrendered prior to annuitization, the contract owner must pay a surrender fee if the interest rate has increased:

Market value adjusted annuity

Daniel purchased a life policy from his friend, Marcus, an agent for MMC Agency. Daniel had not paid a premium, but Marcus told him the policy was in force as of the date that they wrote the contract. The MMC Agency could be liable. This is an example of:

Apparent authority

Which ACT protects employees with disabilities?

The Americans with Disabilities Act (ADA)

What method to determine the proper amount of life insurance uses age, net annual salary, number of working years remaining prior to retirement, expenses and the rate at which the value of the dollar is depreciating?

Human life value approach