LAH Exam 6
A disability policy where the premiums are due monthly are required a grace period of
10 days
How many employees must employer have for a terminated employee to be eligible for COBRA
20
The superintendent serves a term of ____ years
4 years
How soon can the benefit payments begin with a deferred annuity?
A minimum of 12 months after date of purchase
Which of the following is ineligible to participate in a section 125 plan?
And S Corp. owner with greater than 2% share
Which of these is affected by the frequency of an insurance policy's premium payments?
Cost
Medicare part B covers what?
Dr. charges
Key person disability insurance pays benefits to the
Employer
All of these are responsibilities of the superintendent except
Endorsing insurers
The principle of Insurable interest, in regards to a life insurance contract, is accurately described in which statement?
Insurable interest can be based on the love and affection of individuals related by blood or law
Which of the following statements regarding group disability income insurance is true?
It provides benefits for non-occupational illnesses and injuries
Joanne has $100,000 of whole life policy with an accumulated 25,000 of cash value. She would like to borrow $15,000 against the cash value. Which of the following statements is true?
Net death benefit will be reduced if the loan is not repaid
How are contributions made to a Roth IRA handled for tax purposes?
Not tax-deductible
The monthly benefit for individual disability income policy is usually limited to a percentage of the insured's income in order to avoid
Over insurance
Which of these factors is not taken into consideration when determining the cost of a long-term care policy?
Personal income
An insurance applicant with a below-average likelihood of a loss is typically considered to be a
Preferred risk
All the following are considered appropriate uses of life insurance for business purposes except
Protecting the business by covering entry-level employees with life insurance
an example of endodontic treatment is a
Root canal
Which of the following is not a type of Medicare advantage plan?
Social Security disability income
Which of these is not a characteristic of the accelerated death benefit option?
The benefit can be offered as a rider not a specific extra cost or may be at no cost
What is a corridor in relation to a universal life insurance policy?
The gap between the total death benefit and the policy's cash value
Which of the following signatures is not required on an individual insurance application?
The insurer
All the following are typically included in a life insurance policy illustration except
The names of the beneficiaries
If the annuitant dies before the annuity start date,
The premiums paid plus interest earned will be given to the beneficiary
When our group disability benefits considered to be tax free to the insured?
When the recipient pays the premiums
Maria would like an annuity that provides a guaranteed accumulation or payout. The type of annuity she is seeking is called
annuity certain
An indemnity plan limitation that will pay the dental bills after a small amount is paid by the insured is called
coinsurance
Group health plans may deny participation based upon the
member's part time employment status
A beneficiary change can occur
normally at any time during the policy term
Decreasing term life insurance is often used to
provide coverage for a home mortgage