Life and Health Review Guarantee
A nonresident license in that state
A Texas resident agent seeking to sell insurance to customers in another state needs
life and health counselor
A licensee who, for a fee or commission, offers to examine a life insurance policy and gives advice regarding the policy is known as
7 years
A life insurance policy qualifies as a Modified Endowment contract if the amount of premium paid exceeds the amount that would provided paid up insurance in how many years
drug addiction
A major medical expense policy would excluded coverage for all of the following except
Automatic Premium Loan
A policyowner fails to pay the premium due on his whole life policy after the grace period passes, but the policy remains in force. This is due to what provision?
Survivor Protection
A producer is helping a married couple determine the financial needs of their children in the event one or both should die prematurely. This is a personal use of life insurance known as
continue to increase
A whole life policy is surrendered for a reduced paid up policy. The cash value in the new policy will
the parties that hold a group health insurance contract are the employees and employer
All of the following are characteristics of group health insurance plans except
An insured borrows money from the bank and makes a collateral assignment of a part of the death benefit to secure the loan
All of the following are examples of third- party ownership of a life insurance policy except
The plan must provide an offset for social security benefits
All of the following are general requirements for a qualified plan except
Proof of insurability must be provided at each renewal
All of the following are true of annually renewable term insurance except
Benefits are considered taxable income to the business
All of the following are true of the key person disability income policy except
Suggesting negotiations in settling the claim
All of the following are unfair claims settlement practices EXCEPT
insurer
All of the following must sign an application for heath insurance except
Either term insurance or permanent insurance.
An adjustable life policy can assume the form of
insurer's home office
An agent created a new ad to help expand business. Prior to use, the ad must be approved by
level
An annuitant pays the annuity premium on the 14th of each month. Which of the following best describes this arrangement
the surviving beneficiary will continue receiving 2/3 of the benefit paid when both beneficiaries were alive
An insured has chosen joint and 2/3 survivor as the settlement option. What does this mean to the beneficiaries
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?
$200,000
An insured purchased a 15-year level term life insurance policy with a face amount of $100,000. The policy contained an accidental death rider, offering a double indemnity benefit. The insured was severely injured in an auto accident, and after 10 weeks of hospitalization, died from the injuries. What amount would his beneficiary receive as a settlement?
Interest Sensitive Whole Life
An insured purchased a Life Insurance policy. The agent told him that depending upon the company's investments and expense factors, the cash values could change from those shown in the policy at issue time. The policy is a/an
Variable Universal Life
An insured's flexible premium is invested into a separate account. What type of insurance product did he purchase
Attending Physician's Statement (APS)
An underwriter is reviewing an application with medical history. Which of the following would give the underwriter a better understanding of how the applicant has been treated for the illness
issuing policies on behalf of the insurer
As an insurer's field underwriter, a producer has all of the following responsibilities except
Nonforfeiture Values
Cash values guarantees in a whole life policy are called
Interest
During partial withdrawal from a universal life policy, which will be taxed
Help individuals save for qualified heath expenses
Heath savings accounts are designed to
1 month
How long is the grace period for an individual life insurance policy
60 days
How soon from the termination of debt under a credit life insurance policy must a creditor provide notice to the insurer
supplementary major medical
If a basic medical insurance plan's benefits are exhausted, what type of plan will then begin covering those losses?
premium is considered earned, so no refund is required
If a credit life policy is terminated upon the payment of the death benefit, what happens to the premium paid in the policy
immediately
If a loan request is for payment of due premiums on policy, how soon must the insurer issue a loan
The underwriters approve the application
If am applicant submits the initial premium with an application, which action constitutes acceptance?
30 days
If an HMO policy is cancelled for nonpayment of the amounts due under contract, how long of a notice must the insurer give the insured
Within 10 days of when the policy was delivered
If an insured is not entirely satisfied with a policy issued, the insured may return it to the insurance company and receive a refund of the entire premium paid, at which of the following time
whole life insurance
In Texas, nonforfeiture law applies to which of the following insurance policies
borrower only
In a credit life insurance, who is responsible for paying the policy premiums
has been active for 5 years min
In order for an alumni association to be eligible to purchases group health insurance for its members, all of these statements must be true except
delivery of policy
In this state owner gets a free look of a specific number of days from
fixed amount
J is receiving fixed amount benefit payments from his late wife's insurance policy. He was told that if he dies before all of the benefits are paid, the remaining amount will go to the contingent beneficiary. Which settlement option did J choose?
40
Joe, age 63, was disabled and can no longer work. He meets the social security of total disability. How many work credits must Joe have accumulated to have the status of fully insured
The face value of the policy is payable to the beneficiary upon the death of the insured.
Life insurance creates an immediate estate. Which best explains that
the beneficiary is then responsible for portion of prescription drug costs
Once the initial benefit limit in Medicare part D is reached, how is the beneficiary affected
Employee Paid Group Disability Income
Regarding health insurance, all of the following are tax deductible except
persons receiving Medicaid are not eligible
Regarding the PPACA health care tax credit, which of the following is true
Simplified Employee Pension (SEP)
S set up an individual retirement account that her employer is now contributing to. Her employer's contribution's are not included in her gross income.
Principal Sum
The amount under an AD&D policy that is payable as a death benefit if death is due to an accident.
a percent of worker's income
The benefits for group disability plans are based on
future increase option
The guaranteed purchase option is also referred to as the
flexible premium
The owner of a deferred annuity pays $100 in premium one month and $130 the next month. Which of the following terms best describes this premium payment
individual tax deduction for premiums paid
The patient protection and affordable care act includes all of the following provisions EXCEPT
establish a max amount of out of pocket expense that an insured will have to pay for medical expense in a calendar year
The stop loss feature on a major medical policy is intended to
6
Under an HMO, child immunization costs cannot be charged for children under what minimum age
nonsurgical services a physician provides
What does basic medical expense cover
Since the insured does not participate in preparing the contract, any ambiguities would be resolved in favor of the insured
What does the application of contract of adhesion mean
Premium payment period
What is the difference between a straight life policy and 20 pay whole life policy
There is no max time period
What is the mac period of time the Commissioner may revoke your agent's license
60 days
What is the max amount of time an insurer may delay payment of a claim without having to pay additional interest
an amount not exceeding the cash value
What is the maximum loan amount a policyowner may withdrawal from a variable universal life insurance policy
controlling costs
What is the purpose of the gatekeeper in an HMO?
to exclude coverage for a specific impairment
What is the purpose of the impairment rider in a health insurance policy?
They are tax free to terminally ill insured
What is true regarding taxation of accelerated benefits under a life insurance policy?
cash value
What type of life polices requires a nonforfeiture provision
at the time of policy solicication
When are agents required to provided the outline of coverage to an application for individual long term care policy
at the time of the policy socialization
When are the agent required to provide the outline of coverage to an applicant for individual long term care policy
Estate Conservation
When life insurance is used to pay inheritance taxes and federal estate taxes
Only if the individual is not identified
When may HIV-related test results be provided to the MIB?
general account
Where are premiums from fixed annuities invested
paid up additions
Which dividend option will increase the death benefit?
insurer
Which entity has the option of including optional provisions in a health insurance policy
the insurer
Which entity has the option of including optional provisions in a health insurance policy
adult day care
Which of the following could be provided at a community center
15-day waiting period/ 10- year benefit period
Which of the following disability income policies would have the highest premium?
premium rates
Which of the following does not have to be included on the first page of medicare
It is temporary protection
Which of the following is TRUE of level term insurance
Premiums are not tax-deductible as a business expense
Which of the following is correct concerning the taxation of premiums in a key- person life insurance policy
child day care
Which of the following is not a type type of long term coverage
probationary perid
Which of the following is not mandatory under the uniform provisions law as applied to accident and health policies
The annuitant cannot be the same person as the annuity owner.
Which of the following is not true regarding the annuitant
benefits provided must be the same as for any other physical illness
Which of the following is true regarding coverage for chemical dependency treatment in group health insurance policies issued in this state
annual
Which of the following premium modes would result in the lowest premium
All additional provisions written by insurers are cataloged by their respective states.
Which of the following statements is NOT true regarding health insurance policy provisions
Benefits are usually limited to six months
Which of the following statements regarding Business Overhead Expense policies is NOT true?
Being permanently disabled
Which of the following would NOT trigger the payment of Accelerated Death Benefits?
Converting group coverage to individual coverage
Which of the following would not constitute a policy replacement
converting group coverage to individual coverage
Which of the following would not constitute a policy replacement
Relation of Earnings to Insurance
Which provision is an Optional provision allows insurers to limit benefits to an insured average income over the last 2 years
One party accepts the exact terms of the other party's offer
Which statement best describes an agreement as it relates to insurance contracts
family
a husband and wife both incur expenses that are attributed to a single major medical insurance deductible. Which type of deductible do they have in their policy?
employer paid group disability income
all of the following health insurance disability benefits are income tax free except
cash
an IRA contribution can be made from which of the following
within 60 days
an employee that becomes ineligible for group coverage because of termination of employment or change in status must excessive extension of benefits under COBRA
life insurance illustration
an illustration used in the sale of a life insurance policy must include a label statign
following the grace period
at what point would an automatic premium loan be generated
The underwriter approve application
if the application submits the initial premium with an application, which actions constitutes acceptance
after 3 policy years
in an individual life insurance policy, when must the nonforfeiture benefits begin
pay the death benefit to the estate of the insured
key person insurance can provide protection for all of the following economic losses to a business except
person's receiving Medicaid are not eligible
regarding the PPACA health care tax credit, which of the following is true
extended term
when a whole life policy is surrendered for its nonforfeiture value, what is the automatics option
specific information about the policy
which of the following is not included in buyers guide