Life and Healh Part 2.

Annually Renewable Term policy with a cash value account

A Universal Life Insurance policy is best described a/an

the benefit is received tax free

A corporation is the owner and beneficiary of the key person life policy. If the corporation collects the policy benefit, then

The policy application

What must contain a notice of the graded death benefit in a life insurance policy with graded death benefits?

Increasing Term

What type of insurance would be used for a Return of Premium rider?

Issue the policy anyway and pay the face value to the beneficiary.

When Y applied for insurance and paid the initial premium on August 14, he was issued a conditional receipt. During the underwriting process, the insurance company found no reason to reject the risk or classify it other than as standard.Y was killed in an automobile accident on August 22, before the policy was issued. In this case, the insurance company will

Director

Which of the following authorities is required to conduct a financial examination of the state's insurers?

12

A licensed life insurance producer completed 20 hours of continuing education credits in order to renew her license. How many hours of continuing education will this producer need to complete in order to renew her license the next term?

Have surplus of at least $3,000,000

Which of the following is NOT a requirement for companies that issue variable contracts in this State

It would not occur in a deferred annuity

Which of the following is NOT true regarding the accumulation period of an annuity?

It may last for the lifetime of the annuitant.

Which of the following is TRUE regarding the annuity period?

At least 96

All health insurance policies issued in this state must provide coverage for maternity services. How many hours of inpatient care must be provided to a mother after delivery by caesarian section?

30

All individual health policies issued in the state of Missouri which provide coverage for hospital treatment must also provide coverage for treatment of alcoholism, which may be limited to how many days?

Pre-existing conditions exclusions

All of the following are required provisions in group health policies in this state 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?

Sexual Orientation

An insurance application cannot ask about which of the following information about an application?

Common Disaster

An insured and his wife are both involved in a head-on collision. The husband dies instantly, and the wife dies 15 days later. The company pays the death benefit to the estate of the insured. This indicates that the life insurance policy had what provision?

Refund the premiums paid

An insured committed suicide 6 months after his life insurance policy was issued. The insurer will

Ear Canal Redistribution

Health insurance policies issued in this state must provide for newborn hearing screening, including all of the following EXCEPT

Once a year

How often must a health carried provide a certificate of compliance to the Department of Insurance indicating that the carries has establish grievance procedures for each of its health benefits plans?

The policy will be interpreted as if the insurer waived its right to have an answer on the application

If an insurer issued a policy based on the application that had unanswered questions, which of the following will be TRUE?

Alzheimer's Disease

Long-term care policies must cover which of the following?

A specified period of time that a person joining a group has to wait before becoming eligible for coverage

The Probationary Period is

Interest only option

The policyowner wants to make sure that upon his death , the life policy will pay a portion of the proceeds annually to his spouse, but that the principal will be paid to their children when they reach a certain age. Which settlement option should the policyowner choose?

Entire Contract

The provision that states that both the policy and a copy of the application form the contract between the policyowner and the insurer is called the

At the time of application

To comply with Fair Credit Reporting Act, when must a producer notify an applicant that a credit report may be requested?

Excess CE credit may not be applied toward the next requirement period.

To maintain an insurance license, all Missouri producers must successfully complete the required continuing education. All of the following statements concerning continuing education are correct EXCEPT,

A statement by the applicant that, upon discovery, would affect the underwriting decision of the insurance company

What is material misrepresentation?

It has the highest amount of insurance protection.

What is the benefit of choosing extended term as a nonforfeiture option?

8%

What is the maximum policy loan interest rate in Missouri?

A benefit for each day the insured is in a hospital

A hospital indemnity policy will pay

Family

A husbund and wife incur expenses that are attributed to a single major medical insurance deductible. Which type of policy do they have?

Conservation

A policyowner would like to replace an existing policy with a new one. After having compared two policies, the insurer has advised the policyowner not to continue the replacement process. What is the insurer's action called?

Full benefits

An insured is involved in an accident that renders him permanently deaf, although he doe snot sustain any other major injuries. The insured is still able to perform his current job. To what extent will he receive Presumptive Disability benefits

If the primary beneficiary predeceases the insured

An insured purchased a life insurance policy on his life naming his wife as primary beneficiary, and his daughter as contingent beneficiary. Under what circumstances could the daughter collect the death benefit?

Conservation effort

The act of trying to discourage a policyholder from dropping his/her existing policy is called

3 days

Within how many days of requesting an investigative consumer report must an insurer notify the consumer in writing that the report will be obtained?

Dividends from a mutual insurer.

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

They cover the cost of extended nursing home care

All of the following statements about Medicare supplement insurance polices are correct EXCEPT

Exchange of unequal values

Which of the following best describes the aleatory nature of an insurance contract?

Whether the premiums were tax deductible

Which of the following determines whether disability insurance benefits are taxed?

Medical Background

Which of the following information about the applicant is NOT included in Part 1 of the application for insurance?

The amount of the premium payment

Which of the following information will be stated in the consideration clause of a life insurance policy?

Loss of two limbs

Which of the following is considered presumptive disability income policy?

Benefits are usually limited to six months.

Which of the following statements regarding Business Overhead Expense policies is NOT true?

2010

A producer completed an insurance transaction in 2007. When can the producer dispose of the records for this transaction?

They must be part of the contract

All of the following are requirements for life insurance illustrations EXCEPT

Being age 65

All of the following are requirements of eligibility for Social Security income benefits EXCEPT

Coverage applies both on and off the job

All of the following are true about group disability income insurance EXCEPT

Benefits are taxable to the employer.

All of the following are true regarding Key Employee Disability Income insurance EXCEPT

Full-face amount of the policy

An insured has a life insurance policy with graded death benefits. The the first year of the policy, the death benefit is less than 50% of the face amount on the policy. What amount must the policy contain in accidental death benefits during the graded dead benefit period?

American Cancer Society

Colorectal screening performed under individual and group health policies are required to be in compliance with the standards set by which of the following organizations?

Obtain a list of all insurance policies that will be replaced

During replacement of life insurance, a replacing insurer must do which of the following?

30 Days

If a health carrier providing prescription drug coverage makes any deletions in its health benefit plan's prescription drug formulary, within how many days of the deletion must it notify the affected enrollees?

To provide an incentive for the insured to return to work

Insurers usually do not reimburse claims for 100% of income lost due to disability. What is the reason for insurer limitations on coverage amounts?

$2,500

What is the maximum penalty for habitual willful noncompliance with the Fair Credit Reporting Act?

TO allows the insurer to require proof of insurability from individual insured.

What is the purpose of insurability provision in group life policies issued in this state?

Both a life insurance license and a securities license

What license or licenses are required to sell variable annuities?

They will be covered regardless of pre-existing conditions

When a group health policy is being replaced with another group health policy, what will happen with the ongoing claims.

The director

Which of the following authorities may issue a cease and desist order if an insurer is violating the Insurance Code?

It is a nonprofit organization that maintains information of applicant for life and health insurance

Which of the following best describes the MIB

Roth IRA

Which type of retirment account allows contributions to continue beyond age 70 and a half and does not force distributions to start at age 70 and a half?