Life and Health

Subrogation

The transfer of an insured's right to seek damages from a negligent party to the insurer is found in which of the following clauses?

Attained Age

the premium charged for exercising the guaranteed insurability rider is based upon

level fixed

variable life insurance is based on what kind of premium

policy summary

what describes the specific information about a policy

Survivorship Life Policy

A married couple owns a permanent policy which covers both of their lives and pays the death benefit only upon the death of the first insured. Which policy is that?

A benefit for each day the insured is in a hospital.

a hospital indemnity policy will pay

The plan must provide an offset for social security benefits

all of the following are general requirements of a qualified plan except

within how many days of requesting an investigative consumer report must an insurer notify the consumer

3 days

Other insured

A rider attached to a life insurance policy that provides coverage in the insured family members is called

Family

Husband and wife incur expenses that are attributed to a single Major Medical Insurance Deductible, what kind of policy do they have?

The insured may carry over the amount of this year's expenses to next year, which will help satisfy next year's deductibl

Insured Z's health insurance policy year begins in January. His policy contains a carry-over provision. In November, he has a small claim which is less than his deductible. Which of the following is true?

Automatic Premium Loan

What would prevent an insurance company from paying a reimbursement claim to someone other than the policyowner?

31 days

When an employee terminates coverage under a group insurance policy, coverage continues in force

as of the application date

the full premium was submitted with the application for life insurance and the policy was issued 2 weeks later as requested when does the policy coverage become effective

face amount

what does "level" refer to in level term insurance?

Within 3 months of the end of each fiscal year

when do HMOs file reports of their activities to the department

When the insured reaches age 100

when would a 20-pay whole life endow

portfolio

which of the following determines the cash value of a variable life policy

Straight Life

which of the following policies would be classified as a traditional level premium contract

Payor Benefit Rider

Which of the following riders would NOT cause the Death Benefits to increase?

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

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

Lower

All other factors being equal, what would the premium be like in a survivorship life policy as compared to the premium in a joint life policy?

paid up option

An insured has a continuous premium whole life policy. She would like to use the policy dividends to pay off her policy sooner than would have been possible otherwise. What dividend option could she use?

An absolute assignment is a

Transfer of all ownership rights in a policy.

insurance component -cash account

Two Components of Universal Life

A statement that is sufficiently clear to identify the insured and the nature of the claim.

Under the mandatory uniform provision Notice of Claim, the first notice of injury or sickness covered under an accident and health policy must contain

90 Days

Under the uniform required provisions, proof of loss under a health insurance policy normally should be filed within

Disability Buy-Sell

Which agreement specifies how a business will transfer hands when one of the owners dies or becomes disabled?

The insurer may terminate the contract only at renewal for certain conditions.

which of the following is not a feature of a noncancellable policy

Benefits are usually limited to six months. (Business Overhead Expense (BOE) insurance is sold to small business owners for the purpose of reimbursing the policyholder for business overhead expenses during a period of total disability. Premiums are tax-deductible for a business, but any benefits received are not tax-deductible. Overhead expenses, including equipment and employee salaries, are covered by the plan. Salaries and profits of the employer are not protected.)

which of the following policies would be classified as a traditional level premium contract

Applicant

An insurer is attempting to determine the insurability of an applicant and decides to obtain medical information from several different sources. Which entity must be notified of the investigation?

Annuitant

Annuitant person who receives benefits or payments from annuity, whose life expectancy is taken into consideration, and for whom the annuity is written

Diagnostic and Preventitive

an important feature of a dental insurance plan, which is typically not found in a medical expense insurance plan is the inclusion of diagnostic and preventive care. Most dental plans provide coverage for routine preventive procedures such as periodic teeth cleaning and fluoride treatments. An increasing number of dental plans require periodic examinations as a condition for continued coverage

Payment of Claims

which of the following provisions would prevent an insurance company from paying a reimbursement

mode of the premium payment

which of the following will vary the length of the grace period in health insurance policies

Under a Key Person disability income policy, premium payments

Are made by the business and are not tax-deductible.

6 mon to 2 yrs

Benefit periods for individual short-term disability policies will usually continue from

presumptive disability

Certain conditions such as dismemberment or total and permanent blindness will automatically the insured for full disability benefits. Which disability policy does this describe?

Fixed Period

If a beneficiary wanted a guarantee that benefits paid from principal and interest would be paid for a period of 10 years before being exhausted, what option would a beneficiary select?

Broader in general

In comparison to a policy that uses the accidental means definition, a policy that uses the accidental bodily injury definition would provide coverage that is

Entire contract clause

The provision in the health insurance policy that Ensures that the insurer cannot refer to any document that is not contained in the contract is

Cash surrender

Under what non forfeiture option does the company pay the policy's surrender value and have no further obligations to the policyowner?

The insurer is considered to be notified since the notification to agent equals notification to the insurer.

When Linda suffered a broken hip, she notified her agent, in writing, within 12 days of the loss. However, her agent did not notify the insurance company until 60 days after the loss. Which of the following statements correctly explains how this claim would be handled?

Term Rider

Which of the following when attached to a permanent life insurance policy allows the policy owner to customize the policy to provide an additional amount of temporary insurance of the insured, or allows amounts of temporary to cover other family members

Family Term Rider

Which rider when attached to permanent life insurance policy provides an amount of insurance on every family memeber Family term rider

Annually Renewable Term Annually renewable term is the purest form of term insurance. The death benefit remains level, but the premium increases each year with the insured's attained age. In decreasing policies, while the face amount decreases, the premium remains constant throughout the life of the contracts. In level term and increasing term policies, the premium also remains level for the term of the policy. Therefore, in the other types of level policies, the first-year premium would not be different from any other year.

all other factors being equal the least expensive first-year premium payment is found in

annually renewable term

death protection component of universal life insurance is always

Modified Endowment Contract (MEC)

if a life insurance policy develops cash value faster than a seven-pay whole life contract it is

Annuitization period

in an annuity the accumulated money is converted into a stream of income during which time period

Broader in general

in comparsion to a policythat uses teh accidental means definition,a policy that uses the accidental bodily injury defination woud provide a coverage that is

Reduced paid up

which nonforfeiture option has the highest amount of insurance protection

THE MORE LIBERAL "OWN OCCUPATION"

which of the following definitions would make it easier to qualify for total disability benefits

Disability insurance can be written as occupational or nonoccupational

which of the following statements about occupational vs. non occupational coverage is true

surgeon service

which of the following would basic medical expense coverage not cover

Target Preuimin

which of the following would help prevent a universal life policy from lapsing

Time of Payment of Claims Provisi

which provision states that the insurance company must pay claims immediately

ts premium steadily decreases over time, in response to its growing cash value.

which statement is not true regarding a straight life policy

Joint life

win brothers are starting a new business. They know it will take several years to build the business to the point that they can pay off the debt incurred in starting the business. What type of insurance would be the most affordable and still provide a death benefit should one of them die?