Life Insurance
according to Florida law and additional laps, notice must be issued after the standard grace period has expired for policy owners age... a. 21 and under b. 59 1/2 or c. 64 years or older d. 69 or older
c. 64 years or older
An agent must give a prospective insured, an outline of coverage when taking an application for a. A whole life policy. b. A variable annuity. c. A Medicare supplement policy. d. A term life policy.
c. A Medicare supplement policy.
which of the following employer tasks does a professional employer organization normally handle? a. Marketing strategies. b. Setting sales quotas c. Administration tasks d. Hiring staff
c. Administration tasks
If an agent would like to sell variable annuities, which state examination must the agent pass? a. Variable annuities. b. Accident and health insurance. c. Life insurance. d. Life and variable contracts.
d. Life and variable contracts
Donna and Mary were racing bicycles in a store parking lot while being cheered on by fellow employees. Mary ran into John, another employee, who happened to be taking out the garbage. Both Mary and John are injured. Who would most likely be covered under Workers' Compensation? A. John B. Mary C. John and Mary D. Neither of them
A. John
The IRS allows a taxpayer to deduct medical expenses that exceed 7.5% of their adjusted gross income. Which of the following is considered a tax deductible medical expense under this rule? A. Long Term Care insurance premiums B. Dread Disease insurance premiums C. Travel accidental insurance prmeiums D. Individual disability income Insurance premiums
A. Long Term Care insurance premiums
Which of the following is a legal entity created for the sole purpose of providing affordable group health coverage to its participants? A. Multiple Employer Welfare Arrangement (MEWA) B. Multiple Trust Arrangement (MTA) C. Multiple Purchasing Groups (MPG) D. Fraternal Benefit Society
A. Multiple Employer Welfare Arrangement (MEWA)
Which of the following is a requirement for ANY change in an insurance application? A. Change must be initialed by the agent B. Change must be initialed by the applicant C. Change must be approved by the insurer D. Change must be notorized
B. Change must be initialed by the applicant
Which of the following is NOT taken into consideration when determining eligibility for Medicare benefits? A. Chronic kidney disease B. Income C. Age D. Social Security disability
B. Income
Which of the following is considered to be a point of service (POS) plan? A. Preferred provider organization B. Managed care plan C. Protected care provider D. Restricted provider organization
B. Managed care plan
How are premiums paid by the insured for personally owned disability income insurance treated for tax purposes? A. partially tax deductible B. not tax deductible C. fully tax deductible D. tax deferred
B. NOT tax deductible
The gatekeeper's role when used by an HMO is A. establishing out-of-network providers B. obtaining referrals to specialists from primary care physicians C. taking applications for enrollment into an HMO D. processing the subscriber's payments
B. obtaining referrals to specialists from primary care physicians
Which of the following typically does NOT provide a form of managed care?A. Preferred Provider Organization (PPO) B. Point-of-Service (POS) plan C. Major medical indemnity plan D. Health Maintenance Organization (HMO)
C. Major medical indemnity plan
Medicare Part B covers? A. long-term care B. hospital room and board C. doctor's charges D. prescription drugs
C. doctor's charges
An accident and health policy that provides reimbursement benefits makes them payable to the A. provider B. facility providing service C. insured D. insured's spouse
C. insured
Tara the producer is delivering a specified disease insurance policy to a new policyowner. Upon delivery, she may be expected to collect all of the following EXCEPT a(n) A. initial premium B. signed impairment rider acknowledgement C. modified application with a new signature D. good health statement
C. modified application with a new signature
Which of these characteristics of an applicant is NOT taken into consideration when assessing risk for Disability coverage? A. health of applicant B. gender of applicant C. number of children D. occupation of applicant
C. number of children
Pierre is covered by his employer's group major medical plan. His employer pays for 75% of the premium and he pays for 25%. How much would a $10,000 benefit be taxable as income under this plan? A. $10,000 B. $7,500 C. $2,500 D. $0
D. $0
All of the following statements about HIC's are true EXCEPT A. Routine physical examinations usually are covered B. These plans may be established by health care providers C. Benefits include both physician and hospital care D. Benefits usually are provided on a reimbursement basis
D. Benefits usually are provided on a reimbursement basis
Which payment method for a health claim settlement is typically made directly to the provider of the services? A. Settlement B. Fee-for-service C. Premium payment D. Prepaid
D. Prepaid
A long-term care policy must offer a minimum benefit. Period of how many months. a. 12 b. 18 c. 24 d. 30
a. 12
The minimum age at which a person can sign a life insurance application is a. 15 years b. 16 years c. 17 years d. 18 years
a. 15 years
the FL office of financial regulation was created in what year? a. 2003 b.2006 c. 1997 d. 1986
a. 2003
within how many days must a licensee notify the department of financial services of a change in address? a. 30 b. 60 c. 90 d. 120
a. 30
how many days does an insurance company have to reject a reinstatement application before it is automatically reinstated? a. 45 b. 31 c. 120 d. 60
a. 45
A stock life insurance company that issues both participating and non-participating policies is doing business on a. A mixed plan b. A diverse plan c. A multiple plan d. An assorted plan
a. A mixed plan
which of the following employer task does a professional employer organization normally handle? a. Administration tasks b. Setting sales quotas. c. Hiring staff. d. Marketing strategies.
a. Administration tasks
The deeds in actions of a producer indicate what kind of authority? a. Apparent b. Express c. Conditional d. Implied
a. Apparent
in Florida, the underwriting, and issuance of a master group health policy requires that all employees a. Are eligible to participate, regardless of their individual health history. b. Need to be individually approved or decline during the underwriting c. Most contribute toward the group health policy's premiums d. Take a physical examination before the master policy is issued.
a. Are eligible to participate, regardless of their individual health history.
an accident and health insurance policies premium requirements are set forth in which of the following provisions? a. Consideration clause b. Insurance clause c. Premium mode d. Entire contract clause Find me a
a. Consideration clause
The 14 day free look period for life insurance policies begins at that a. Date of delivery. b. Date of approval. c. Date of application. d. Date of Physical examination.
a. Date of delivery
A medical provider that accepts Medicare assignment must a. Except payment based upon a defined medical schedule as payment in full. b. Except payment based upon a define medical schedule and Bill, no more than 15% of the excess charges. c. Except payment based upon a defined the medical schedule and negotiate any excess fees. d. Except payment based upon a define medical schedule, and build the insured for any difference
a. Except payment based upon a defined medical schedule as payment in full.
nonprofit insurance providers that are covered by a special section in the Florida insurance code are called a. Fraternal insurance organizations b. Mutual insurers c. Unauthorized insurer's d. Domestic insurance organizations
a. Fraternal insurance organizations
nonprofit life insurance providers that are covered by a special section in the Florida insurance code are called a. Fraternal life insurance organizations. b. Domestic life insurance organizations c. Unauthorized insurer's. d. Mutual life insurance.
a. Fraternal life insurance organizations
A healthcare provider claim may be settled using which of the following payment methods? a. Free for service. b. Prepaid expense. c. Litigation d. Unfair claims settlement.
a. Free for service.
which of the following is NOT included under a health benefit plan? a. Hospital indemnity plan b. Surgical expense policy. c. Basic hospital policy. d. Major medical policy.
a. Hospital indemnity plan
which of the following is INELIGIBLE to participate in a section 125 plan? a. Key employee in a C-Corp b. An S-Corp owner with a greater than 2% share c. Highly compensated employees in an S-Corp d. A C-Corp owner with a greater than 2% share
a. Key employee in a C-Corp
what is involved when a life insurance policy has been backdated? a. Making the policy effective on an earlier date than the present b. Setting a policies, effective date prior to a pre-existing condition c. Redating a policy after it has been issued d. Reinstating a lapsed policy
a. Making the policy effective on an earlier date than the present
The suicide clause of a life insurance policy states that if an insured commits suicide within a stated period from the policies, inception, the insurer will only be liable for a return of premiums paid a. Minus indebtedness and without interest b. During the last 12 months c. Minus indebtedness and with interest d. During the last 6 months
a. Minus indebtedness and without interest
under an individual disability policy in Florida what is the minimum scheduled time in which claims must be made to an insured? a. Monthly b. Annually c. Daily. d. Weekly.
a. Monthly
with a medical discount plan, how often would a person generally pay a free to get discounts on specific services? a. Monthly. b. Quarterly c. Weekly. d. Annually.
a. Monthly
A insurance claim which involves a per capita distribution of policy proceeds, would be payable to the a. Named living, primary beneficiaries b. Estate of the deceased beneficiaries only c. Named contingent beneficiaries only d. Estate of the insured only
a. Named living, primary beneficiaries
A whole life policy option where extended term insurance is selected is called a(n) a. Nonforfeiture option. b. Interest only option. c. Dividend option. d. Settlement option.
a. Nonforfeiture option.
an example of rebating would be a. Offering a client, something of value not stated in the contract and exchange for their business. b. A mutual insurance company paying dividends to its policy owners c. Reducing the premiums across the board for a specific risk class d. Using intimidation in order to restrain or monopolize the business of insurance
a. Offering a client, something of value not stated in the contract and exchange for their business.
upon reaching the limiting age, a handicapped child can extend their health insurance coverage as a dependent a. Only if the child is incapable of employment and chiefly depended on the policy owner. b. For up to an additional 10 years only. c. Only a physically disabled. d. Only if mentally disabled.
a. Only if the child is incapable of employment and chiefly depended on the policy owner.
what is the primary feature of a viatical settlement? a. Reduce death benefit pre-payment. b. Longer contestable period c. No interest on policy loans d. Lower premiums.
a. Reduce death benefit pre-payment.
A long-term care lapse notice must be delivered to both the applicant and a. Secondary addressee b. Beneficiary. c. Personal physician. d. MIB
a. Secondary addressee
Kelly purchases a health insurance policy issued on a conditionally renewable basis. The insurance company has a right to refuse renewal of the policy for a. Specific reason stated in the contract. b. Any reason the insurer sees fit c. Any change in kelly's health d. Profitability reasons.
a. Specific reason stated in the contract
which statement concerning the entire contract provision in a individual accident and health insurance policy is TRUE? a. The agent doesn't have the authority to change the policy or wave it's provisions b. The agent has the authority to change the policy under certain conditions. c. The agent has the authority to waive the policies, provisions under certain conditions. d. The agent can waive policy provisions, and change the policy with the insurance consent.
a. The agent doesn't have the authority to change the policy or wave it's provisions
which of the following parties must provide an insured with proper disclosure concerning the replacement of an insurance company? a. The agent who sells the new insurance policy. b. The agent who sold the existing c. The insurance company that wrote the existing policy. d. The insurance commissioner Director.
a. The agent who sells the new insurance policy
The replacement of life insurance and annuities regulation is designed to protect the interest of a. The policy owner b. The insurance company c. The insurance agent d. The department of insurance
a. The policy owner
according to Florida's life, insurance replacement laws, a policy owner must be provided with a written comparison and summary statement when it's requested by? a. The policy owner b. The insurer c. The chief financial officer d. The financial services commission
a. The policy owner
An outline of coverage for a Medicare supplement policy must be given to the application at which of the following times a. The time of the application b. Not later than the first renewal date. c. On each anniversary date of the policy. d. Only when the applicant requests it
a. The time of the application
Association plans that are designed to provide health benefits to their members are regulated by the state because a. They are insured by an authorized b. They conduct business in Florida. c. They provide a service to their members. d. They require a certain level of member participation.
a. They are insured by an authorized
which type of policy combines the flexibility of a universal life policy with investment choices? a. Variable universal life policy b. Modified universal life policy c. Adjustment universal life policy d. Flexible universal life policy
a. Variable universal life policy
A life insurance policy owner may sell their policy to a___ in order to receive a percentage of the policies, face value a. Viatical settlement provider. b. Broker. c. Viator agent. d. Ensure.
a. Viatical settlement provider.
A provision in a whole life policy that allows a policy owner to terminate the policy in return for a reduced paid up policy of the same type is called a a. nonforfeiture provision b. Reinstatement provision. c. Insuring clause. d. Payor provision.
a. nonforfeiture provision
The waiting period for a pre-existing condition under a Medicare supplement policy may NOT go beyond a. 12 months b. 6 months c. 1 month d. 3 months
b. 6 months
how soon can a benefit payments begin with a deferred annuity? a. Anytime after date of purchase. b. A minimum of 12 months after date of purchase. c. Anytime within 12 months after date of purchase. d. A minimum of six months after date of purchase.
b. A minimum of 12 months after date of purchase.
periodic health claim payments MUST be made at least a. Monthly. b. Annually. c. Daily. d. Weekly.
b. Annually
The difference between a long-term care partnership plan and a non-partnership plan is which of the following? a. Level of benefits. b. Asset protection. c. Pre-existing conditions. d. Elimination period
b. Assets protection
which of these factors is NOT taken into account when determining an applicant life insurance need? a. Savings b. Automobile c. Pension. d. Social Security.
b. Automobile
The change of occupation provision in a disability income policy states that in the event, the insured changes to a less hazardous occupation, which of the following may apply? a. Premiums cannot be adjusted. b. Benefits can be increased in the event of a covered claim. c. Benefits can be reduced in the event of a covered claim. d. Benefits will remain the same in the event of a covered claim.
b. Benefits can be increased in the event of a covered claim.
which of the following areas of state regulation is not protected by the savings clause in ERISA a. Insurance b. Commerce c. Banking d. Securities
b. Commerce
an applicant who pays the initial premium at the time of application is typically given a a. Certified receipt b. Conditional receipt c. Official receipt. d. Binding receipt.
b. Conditional receipt
which of these is NOT subject to income taxation modified endowment contract? a. Policy dividend b. Death benefit. c. Policy withdraw. d. Loan against the cash value.
b. Death benefit
an insurance company incorporated under the laws of the state in which is home office is located is called a ___ company a. Alien. b. Domestic. c. Authorized. d. Foreign.
b. Domestic.
The and, Florida employee health care, access act was established to make a. Individual health insurance available to all Floridians. b. Group health insurance available to employers with up to 50 employees c. Health insurance affordable to retired individuals. d. Health insurance affordable for families with children.
b. Group health insurance available to employers with up to 50 employees
Mike has inherited his fathers, traditional, IRA. As beneficiary he will pay ___ taxes on any money withdrawn a. Estate b. Income c. Probate d. No
b. Income
A foreign insurance company doing business in Florida a. It's not subject to Florida insurance laws. b. Is a company that was formed under the laws of another state. c. Is a company that was formed under the laws of another country. d. Is only authorized for a business outside the United States.
b. Is a company that was formed under the laws of another state.
The time limit for filing claim dispute is addressed in which provision of an accident and health policy? a. Payment of claims b. Legal actions c. Time of payment of claims d. Entire contract
b. Legal actions
A guaranteed issue insurance policy has no a. Initial premium requirement b. Medical underwriting c. Waiting period d. Incontestable period
b. Medical underwriting
which unfair trade practice involves an agent, telling a prospective client that a policies dividends are guaranteed a. Fraud b. Misrepresentation c. Coercion d. Sliding.
b. Misrepresentation
mortality is calculated by using a large risk pole of a. Insurance companies and agents b. People and time. c. Family history and geographical area. d. Hobbies and time.
b. People and time.
which of these is considered to be a document that describes the critical segments of a life insurance policy? a. Consumer report. b. Policy summary. c. Buyer summary. d. Buyers guide.
b. Policy summary.
The insured's consideration given for a health insurance policy a. The initial premium and an investigative report. b. The first premium payment and the application. c. The initial premium payment only. d. The application.
b. The first premium payment and the application.
A health insurer MUST provide a proof of loss form a. Within 10 days of receipt of the notice of loss. b. Within 15 days of receipt of the notice of loss. c. Within 10 days of the actual loss. d. Within 15 days of the actual loss.
b. Within 15 days of receipt of the notice of loss.
The power given to an individual producer, that is not specifically addressed in his or her contract is considered what type of authority? a. Discreet b. Implied. c. Expresd d. Apparent
b.Implied
an individual covered under a group life insurance policy is considered to be a. An annuitant b. A policy owner c. A certificate holder d. A contingent
c. A certificate holder
An agent selling Medicare supplement policies must provide every applicant with a. An MIB form b. A cobra form. c. A suitability form. d. A signed consent form.
c. A suitability form.
which dividend option would an insurer invest the policy owners money, and I had any interest earnings as the dividends accrue? a. Cash dividend option b. Paid up additions option. c. Accumulation of interest option. d. One year term dividend option.
c. Accumulation of interest option.
an example of an unfair trade practice is a. replacing an old insurance policy with a new one. b. denying payment of a claim within a reasonable time after proof of loss statements were provided c. An agent making a material misrepresentation to the insured d. An agent rating less than 50% of their total sales from controlled business.
c. An agent making a material misrepresentation to the insured
which of the following is a requirement for ANY change in an insurance application? a. change must be initialed by the agent b. Change must be approved by the insurer c. Change must be initiated by the applicant d. Change must be notarized
c. Change must be initiated by the applicant
an example of sliding would be a. Replacing an existing Sharon's policy with a new one. b. Speaking maliciously of an insurer, intending to harm. c. Charging for an additional product without the applicants consent. d. Inducing an applicant to purchase an insurance policy by returning some of the premium.
c. Charging for an additional product without the applicants consent.
which type of life insurance policy pays the face amount at the end of the specified period if the insured is still alive? a. adjustable life policy. b. Universal life policy. c. Endowment policy. d. Modified life policy.
c. Endowment policy.
purchasing a life insurance policy in order to avoid the for sale of assets upon death is called a. Capital withholding b. Estate funding. c. Estate conversation. d. Capital gains.
c. Estate conversation.
which of these is NOT a qualifying event for Medicare? a. Age 65 or older b. Kidney failure c. Falling below the federal poverty level d. On Social Security disability for over 2 years
c. Falling below the federal poverty level
A tax free section 1035 exchange of a life insurance policy to a different policy is permitted if it occurs a. Within the 12 month period b. In the same state as the original transaction c. From insure to insurer and no cash is received by the policy owner d. From agent agent, as long as the agents are licensed in the same line
c. From insure to insurer and no cash is received by the policy owner
Tom has a home healthcare benefit and is confined to his home. Which of these benefits is NOT typically covered? a. Physical therapy b. Home health aides c. Full-time nursing care. d. Part time nursing care.
c. Full-time nursing care.
A life insurance policy that has premiums fully paid up within a stated time period is called a. Stated modified insurance. b. Limited universal insurance. c. Limited payment insurance. d. Stated payment insurance.
c. Limited payment insurance.
Shirley has a Medigap policy, which is designed to pay cost associated with a. Medicare part D. b. Medicare part C. c. Medicare part A and B. d. Medicare advantage.
c. Medicare part A and B
The automatic premium loan provision authorizes an insurer to withdraw from my policies, cash value the amount of a. Any interest payable from an outstanding policy loan balance b. The outstanding policy loan balance. c. Past due premiums that have not been paid by the end of the grace period d. Any surrender charges owed by the policy owner
c. Past due premiums that have not been paid by the end of the grace period
what is the purpose of the insurance guaranty fund association? a. Enforces Florida's insurance regulations. b. Under rights high risk insurance applicants. c. Protects policy owners against insolvent insurance companies d. Establishes underwriting guidelines for admitted insurer's.
c. Protects policy owners against insolvent insurance companies
The two major actions required for a policyholder to comply with the reinstatement clause are a. Provide evidence of insurability, agreed to a new incontestable period b. Pay past due premiums, agree to a new incontestable period c. Provide evidence of insurability, pay past due premiums. d. Pay past due premiums, agree to a reduction in coverage.
c. Provide evidence of insurability, pay past due premiums.
The role of the federal government was expanded when Medicaid was established by allowing the state to a. Purchase health insurance from the federal government b. Form a large PPO on a state wide level c. Receive matching funds to expand public assistant programs. d. Defer all cost to the federal government for public assistance programs.
c. Receive matching funds to expand public assistant programs.
A life insurance policy owner does NOT have the right to a. Take out a policy loan b. Select a beneficiary c. Revoke an absolute assignment d. Change of beneficiary
c. Revoke an absolute assignment
in an insurance contract, the applicants " consideration" is the a. Premium only. b. Statements made in the application only c. Statements made in the application and the premium. d. Offer and acceptance.
c. Statements made in the application and the premium.
A mutual insurance company and a stock insurance company have one main difference between them. What is this major contrast? a. Stock company is owned by its policyholders. Mutual company is owned by its shareholders b. Stock company is considered an authorized insurer. Mutual company is considered an unauthorized insurer. c. Stock company is owned by shareholders. Mutual company is owned by its policy holders. d. Stock company is regulated by the state where its incorporated. Mutual company is regulated by its policy holders.
c. Stock company is owned by shareholders. Mutual company is owned by its policy holders.
this mandatory health policy provision states that the policy, including endorsements and attach papers constitutes a. The partial insurance contract between the parties. b. The legal purpose of the contract. c. The entire insurance contract between the parties. d. The conformity of state statutes
c. The entire insurance contract between the parties.
under a life insurance policy what does the insuring clause state? a. The insures obligation to return all premiums upon an approval death claim b. The agents obligation to provide the proper amount of coverage. c. The insurers obligation to pay a death benefit upon an approved death claim. d. The agents obligation to pay death benefit upon an approved death claim.
c. The insurers obligation to pay a death benefit upon an approved death claim.
Group life policies in Florida are required to contain a conversion privilege that allows for conversion a. only if the premiums are paid by the employer. b. To an individual policy at any time. c. To an individual policy for a stated period of time. d. With evidence of insurability.
c. To an individual policy for a stated period of time.
T is an employee covered under a group life policy. If T's employment is terminated, the conversion privilege gives T the right to convert. a. To an individual policy only by providing evidence of insurability. b. To an individual policy only if the employer pays the premiums. c. To an individual policy upon employment termination. d. To an individual policy with a higher amount of coverage.
c. To an individual policy upon employment termination.
when does a life insurance policy typically become effective? a. When the application is completed and signed. b. When the completed application is signed and initial premium is collected. c. When initial premium is collected, and policy is issued. d. When the policy is issued
c. When initial premium is collected, and policy is issued.
in Florida, insure domiciled Incorporation in this state is called... a. An alien company b. An admitted company c. A domestic company d. A foreign company
c. a domestic company
all of the following are elements of an insurance policy, EXCEPT a. Definitions. b. Conditions. c. Claim forms. d. Other insurance.
c. claim forms.
according to Florida law, which of the following information does not need to be obtained by an agent recommending an annuity purchase a. annual income. b. Age. c. Marital status. d. Financial objectives.
c. marital status
A writer that insurance premiums will be paid on a juvenile policy until the child reaches a specific age is called a. automatic premium loan rider b. juvenile waiver rider c. payor rider d. waiver of premium rider
c. payor rider
every resident agent must have and maintain at their place of business, the usual and customary records pertaining to transactions under their license for at least, how long? a. 3 years. b. 1 year c. 7 years d. 5 years
d. 5 years
how much does Medicare part B pay for physician fees? a. 60% b. 40% c. 100%. d. 80%
d. 80%
what do families pay that are covered by the Florida healthy kids corporation? a. Full premium b. Nothing c. The first initial premium d. A portion of the premium
d. A portion of the premium
which of the following is NOT a required provision in an accident and health insurance policy? a. Legal actions b. Reinstatement. c. Grace period. d. Change of occupation.
d. Change of occupation.
One definition of replacement is " the act of replacing an existing insurance policy with another." replacement is. a. Allowed only if the policy originated outside the state of Florida. b. Legal and requires no disclosure. c. Not legal in the state of Florida. d. Closely regulated and requires full disclosure.
d. Closely regulated and requires full disclosure.
which of the following unfair trade practices involves an agent who makes malicious about another person's financial condition? a. Boycotting b. Misrepresentation c. Unfair discrimination d. Defamation
d. Defamation
which of these would limit a companies liability to provide insurance coverage? a. Provision b. Rider c. Waiver d. Exclusion
d. Exclusion
under a nonqualified annuity interest is tax after the a. Deposit has been made. b. Death of the annuitant c. Distribution of payments. d. Exclusion ratio has been calculated.
d. Exclusion ratio has been calculated.
when the principal gives the agent authority in writing, it's referred to as a. Imposed authority b. Implied authority c. Apparent authority d. Express authority
d. Express authority
A Medicare supplement plan can be canceled by the ensure a. After the probation period b. Anytime. c. For any changes in the insured's health. d. For nonpayment of premiums
d. For nonpayment of premiums
The conversion privilege under a group life plan allows an employee to convert to a(n) a. Individual plan with another ensure that has better rates b. Family plan with another insurer c. Individual policy in the spouses name d. Individual plan upon employment termination
d. Individual plan upon employment termination
which health policy clause specifies the amount of benefits to be paid? a. Consideration b. Payment mode. c. Free look. d. Insuring
d. Insuring
which settlement option involves having the proceeds remain with the Ensure and earnings paid on a monthly basis to the beneficiary? a. Extended interest in b. Dividends only c. Fixed period d. Interest only
d. Interest only
The difference between precertification and concurrent review is that precertification a. It's considered a cost containment measure. b. Cost more to the patient. c. Cost less to the patient. d. Occurs before the treatment is provided.
d. Occurs before the treatment is provided
an example of unfair discrimination would be a. Offering the same terms of coverage, two different policy owners in the same risk classification b. Declining in insurance applicant because of involvement in a hazardous occupation c. Issuing a policy at a sub standard rate because of poor health d. Offering different terms of coverage for different policy owners having the same risk classification
d. Offering different terms of coverage for different policy owners having the same risk classification
decreasing term life insurance is often used to a. Accumulate cash value b. Provide retirement funds c. Provide coverage for estate taxes d. Provide coverage for a home mortgage
d. Provide coverage for a home mortgage
The department of financial services serves as the receiver of any ensure placed into a. Foreclosure. b. Bankruptcy. c. Indebtedness d. Receivership.
d. Receivership.
what is old age in survivors health insurance also known as? a. FICA b. Medicare. c. Medicaid. d. Social Security.
d. Social Security.
which type of multiple protection policy pays on the death of the last person? a. Joint life policy. b. Multiple life policy. c. Dual life policy. d. Survivorship life policy.
d. Survivorship life policy.
pat owns a 20 pay life policy with a paid up dividend option. Which of the following statements is true? a. The policy may be paid up early by using accumulated cash values. b. The policies, cash value steadily decrease after 20 years. c. The policies premiums will increase after 20 years. d. The policy may be paid up early by using policy dividends.
d. The policy may be paid up early by using policy dividends.
under a traditional IRA interest earned is taxed a. According to the capital gains rate. b. Only if withdrawn prior to the age 59 1/2. c. During the accumulation phase. d. Upon distribution.
d. Upon distribution.
all of the following riders can increase the death benefit amount accept a. Accidental death rider. b. Cost of living. c. Guaranteed insurability. d. Waiver of premium.
d. Waiver of premium.
an individual can enroll in a part C Medicare advantage plan at what time? a. Age 59 1/2 b. At age of retirement c. When becoming eligible for Medicaid d. When becoming eligible for Medicare.
d. When becoming eligible for Medicare.
which approach predicts a persons earning potential and determines how much of that amount would be devoted to dependents a. future value approach b. needs approach c. earnings approach d. human life value approach
d. human life value approach
which of these is considered a major tax advantage of life insurance? a. Annual earnings are tax free b. Tax credits are available for life insurance premiums paid c. Premiums are tax deductible by an employee if paid for by an employer d. income tax is typically not owed on proceeds paid directly to a beneficiary
d. income tax is typically not owed on proceeds paid directly to a beneficiary
an annuitant dies during the distribution period. What kind of annuity will return to a beneficiary the difference between the annuity value and the income payments already made? a. Return annuity. b. Variable annuity. c. Rebate annuity. d. Refund annuity.
d. refund annuity.
The purpose of the guaranty fund is to a. Ensure that claim is filed against insulted insurance companies will be paid. b. Ensure that premium rates are uniform throughout this day. c. Approve disability policy forms. d. Protect the public from fraudulent insurance company, marketing practices.
a. Ensure that claim is filed against insulted insurance companies will be paid.
The Florida employee healthcare access act was established to make a. Group health insurance available to employers with up to 50 employees b. Health insurance affordable for families with children. c. Individual health insurance available to all Floridians. d. Health insurance affordable to retired individuals
a. Group health insurance available to employers with up to 50 employees
which policy is exempt from replacement regulations a. Group life policy b. Annuity policy. c. Whole life policy. d. Universal life policy.
a. Group life policy
all of the following statements about health coverage for physically, handicapped dependence of insurance, are correct, except that the dependent must a. Have been over 10 years of age when the handicap was incurred. b. I've been covered under the insurance policy at the time the handicap was incurred. c. Will I chiefly on the policy owner for and maintenance d. Agree to periodic medical examinations at the request of the insurance company.
a. Have been over 10 years of age when the handicap was incurred.
which of the following situations are not subject to Florida life insurance laws? a. Insurance companies, day-to-day operations b. Insurance companies, life policy replacement requirements. c. Insurance companies setting of life insurance policy rates. d. Insurance companies guidelines for paying a life insurance claim.
a. Insurance companies, day-to-day operations
what are adjustable rates for life policy loans in Florida based on a. Moodys corporate bond index. b. 90 day treasury bill rate. c. National average of other states variable rate. d. Prime lending rate.
a. Moodys corporate bond index.
which of the following statements is correct if an insured converts his life policy to paid up insurance and buys new insurance? a. The transaction is considered replacement. b. The premium paying. For the new policy will increase. c. The beneficiary named in the existing policy must be changed. d. The new policies, face amount must be equal to the former coverage.
a. The transaction is considered replacement
A life insurance policy owner may sell their policy to an ____ in order to receive a percentage of the policies face value. a. Viatical settlement provider b. Broker c. Insurer d. Viator agent
a. Viatical settlement provider
The coordination of benefits provision exists in order to a. avoid duplication of benefit payments. b. Avoid excessive hospitalization. c. Lower insurance premiums. d. Maximize patient care.
a. avoid duplication of benefit payments.
The financial services commission may hold hearings... a. for any reason deemed necessary. b. Only want a felony is involved. c. One approved by the NAIC d. Only if there is a complaint filed
a. for any reason deemed necessary
According to Florida law, which of the following statements accurately describes an admitted mail, order insurance company? a. it may solicit insurance business by mail without the assistance of a license b. It may solicit insurance business by mail only with the assistance of a licensed Florida c. Admitted mail order insurance companies are illegal in Florida. d. Admitted mail order insurance companies cannot solicit insurance business outside the state of Florida.
a. it may solicit insurance business by mail without the assistance of a licensed agent
all of the following entries are classified under the four principle areas of Florida insurance law EXCEPT: a. an agents commission b. policy owners rights. c. policy provisions. d. an agents licensing requirements
a.an agents commission
What is the maximum percentage of controlled business an agent may produce? a. 30% b. 40% c. 50% d. 60%
c. 50%
In Florida most life insurance policies have a contestability period of a. 1 year b. 2 years c. 3 years d. 4 years
b. 2 years
individual Medicare supplement policies must allow an insured a minimum of how many days after policy delivery to return the policy and receive a refund of premium a. 20 b. 30 c. 60 d. 90
b. 30
A group plan was recently terminated in Florida. How many days are covered individuals guaranteed coverage after a group plans termination? a. 14 days b. 31 days c. 45 days d. 60 days
b. 31 days
The conversion period For a terminated employee to convert group live coverage to an individual plan is. a. 30 days b. 31 days c. 45 days d. 60 days
b. 31 days
What do families pay that are covered by the Florida healthy kids corporation? a. Full premium. b. A portion of the premium. c. First initial premium d. Nothing
b. A portion of the premium.
Replacement is involved in all of the following situations, except when: a. An ordinary life insurance policy is terminated and a new policies purchased with a different insurance company. b. A return policy is converted to a permanent plan with the same insurance company. c. An ordinary policy is surrendered for its cash value which is been used to purchase a new universal life policy. d. A policy is changed to a reduced paid up basis, and a term policy is issued.
b. A return policy is converted to a permanent plan with the same insurance company.
A written agreement to provide a life insurance policy holder, immediate cash in exchange for the sale and transfer of a life insurance policy is a. A variable life policy. b. A viatical settlement. c. An equity index annuity. d. the healthcare savings account
b. A viatical settlement
Jay owns a business and has a group life policy covering her employees. Jay decides to cancel the policy by letting it lapse on the renewal date. What action must be taken: a. J must cover the group with another policy cancellation b. All of the employees must be notified of a cancellation either by the insurance company or through J. c. The insurance company must replace the existing in today's liking d. No obligation is required from either the insurance company nor J.
b. All of the employees must be notified of a cancellation either by the insurance company or through J.
When is a group health policy required to provide coverage for a newborn child? a. When the policy owner notifies the insurance company b. At the moment of birth. c. When the required additional premium is paid. d. No more than 10 days after date of birth.
b. At the moment of birth
A variable life insurance agent must be licensed and appointed as a life and variable contract agent, as well as a. Accredited agent. b. Broker dealer. c. Certified variable dealer. d. A registered managing agent.
b. Broker dealer
which two entities regulate variable immunities? a. National Association of insurance commissioners and department of financial se b. Department of financial services in securities exchange commission. c. National Association of insurance and financial advisors and securities exchange commission. d. Financial industry, regulatory authority and department of financial services.
b. Department of financial services in securities exchange commission.
M completes an application for health insurance, but does not pay the initial premium. All of these actions must occur before M's policy goes into effect, except. a. policy is delivered. b. Free look period has expired c. Insurance company issues d. Initial premium is collected.
b. Free look period has expired
Which of the following best describes credit life insurance a. Insurance purchased on a mandatory bases with money borrowed from a bank or other credit institution. b. Insurance issued on a debtor to cover outstanding balances on installment loans c. Insurance that allows an insurer to use a policies, cash value to pay outstanding debts d. Low cost insurance issued through the mail by credit card companies
b. Insurance issued on a debtor to cover outstanding balances on installment loans
K is an agent who made an improper sale of an annuity to a client. which of the following corrective actions with the department of financial services likely order K to take a. sell the client a more appropriate annuity b. Pay monetary restitution to the client. c. Provide a written apology letter. d. Pay a penalty of three times the clients loss.
b. Pay monetary restitution to the client
Which of these is not a legal entity for selling life insurance in Florida? a. independent agency system. b. Risk management advisors. c. Career agency system d. Personal producing General agency.
b. Risk management advisors.
What is required in the Florida employee, healthcare access act? a. Small group benefit plans are to be issued unconditionally issue basis. b. Small group benefit plans are to be issued on a guaranteed issue basis c. All small group benefit plans have a 60 day grace period. d. All small group benefit plans have no lifetime benefit limits.
b. Small group benefit plans are to be issued on a guaranteed issue basis
Disclosure standards require that which of the following be delivered with a Medicare supplement policy a. Proof of loss forms. b. The outline of coverage. c. Medicare contact information. d. The insurance companies policy, laws, ratio
b. The outline of coverage.
The free look provision of any health policy begins the date a. The producer receives the policy. b. The policy is delivered to the insured. c. The policy is issued. d. The insured reviews the policy.
b. The policy is delivered to the insured.
when replacing or exchanging an annuity, the agent must disclose to the annuitant a. The commissions to be paid as a result of the transaction. b. The possible tax ramifications as a result of the transaction. c. The insurance a.m. best rating. d. Proof of appointment by the agent.
b. The possible tax ramifications as a result of the transaction.
According to Florida law, in which of the following situations would a dependent handicapped child not be covered under a family health policy a. The handicapped child has reached the limiting age. b. The premiums for the handicapped child or not paid. c. The handicapped child becomes a full-time student. d. The family moves outside the provider net work.
b. The premiums for the handicapped child or not paid.
Who is a mutual insurance company owned by? a. It's Board of Directors. b. Its policyholders c. The state of Florida d. Its employees
b. it's policyholders
A stock insurance company is owned by a. It's directors. b. Its stockholders. c. It's agents. d. It's insurance.
b. it's stockholders
The bureau of unclaimed property is overseen by? a. The unclaimed property commissioner b. The chief financial officer c. the governor d. the insurance department
b. the chief financial officer
The waiting period for a pre-existing condition under a Medicare supplement policy may not go beyond a. 1 month b. 3 months c. 6 months d. 12 months
c. 6 months
An insurance company can Contesta life insurance contract application, fraud within a. 60 days b. 1 year c. 2 years d. 3 years
c. 2 years
employers, with less than blank employees are affected by Florida's health insurance, coverage, continuation act a. 40 b. 30 c. 20 d. 10
c. 20
agents that have been licensed for less than six years must complete ____hours of continuing education every two years a. 8 b. 20 c. 24 d. 36
c. 24
Florida requires an insurance agent must complete _____ hours of continuing education on the subject of law and ethics every two years. a. 3 b. 4 c. 5 d. 6
c. 5
according to Florida's rules on disclosure, a life insurance applicant is expected to be provided with a. A certificate of coverage and buyers guide. b. A summary statement and buyers guide. c. Buyers guide and policy summary. d. A written comparison, and policy summary.
c. Buyers guide and policy summary.
all of the following statements about health coverage for newborns are correct except a. Coverage begins and benefits are payable from the moment of birth b. Coverage includes necessary, care and treatment of congenital defects. c. Coverage during the first year is limited to congenital defects. d. Continued coverage after the first 31 days is dependent on notification.
c. Coverage during the first year is limited to congenital defects.
individual life insurance proceeds, are exempt from creditors claims when they are payable to any of the following entities except the insureds a. Children b. Spouse c. Estate d. Business partner
c. Estate
all of the following provisions must be included in life, insurance policies, except a. Incontestability b. Entire contract. c. Extended term. d. Misstatement of age.
c. Extended term
In Florida and element of an insurance transaction would be... a. Ordering an MIB report. b. Setting up the sales appointment. c. Issuing an insurance contract. d. Determining how much coverage is needed.
c. Issuing an insurance contract.
Which of the following statements is correct about the replacement of one insurance policy with another? a. it is almost always in the best interest of the client. b. Policy owner is entitled to all invested premium in the replaced policy if the policy owner decides to drop the new policy within two years. c. It is strictly regulated and requires full disclosure by both the agent and the replacing insurance company. d. The practice is illegal and not permitted in some states.
c. It is strictly regulated and requires full disclosure by both the agent and the replacing insurance company.
The rules and regulations of the life and health insurance guaranty association apply to a. Policies under which risk is borne by the policyholder. b. Contracts of reinsurance that are sold in that particular state. c. Life and health policies issued by companies authorized in that particular state. d. Life and health insurance coverage issued under as self funded multiple employer, welfare arrangement.
c. Life and health policies issued by companies authorized in that particular state.
In which of the following professional organizations has its code of ethics incorporated into Florida law? a. Financial industry regulatory agency. b. National Association of insurance commissioners. c. National Association of insurance and financial advisors. d. The American College of life insurance.
c. National Association of insurance and financial advisors.
under Florida law, a variable annuity policy owner must be notified of the accumulated value of the contract a. Only when requested by the policy owner b. Once each month. c. Once each year. d. Twice each year.
c. Once each year
replacement regulations apply to which of the following types of contract a. Groups life b. Credit life c. Ordinary life d. Group annuities
c. Ordinary life
if, at the time of an insured's death, the insurance company discovers that the insurance agent was missed stated on the application for life insurance the company will most likely a. Denies a claim for policy proceeds on the basis of fraud. b. Collect the correct premiums and pay the claim. c. Pay the policy proceeds in the amount, the premiums would have purchased at the insured's actual age. d. Pay the policy proceeds less a penalty not to exceed 12% of those proceeds.
c. Pay the policy proceeds in the amount, the premiums would have purchased at the insured's actual age.
which action could result in a human being ordered by the department of financial services? a. Representing a foreign insure. b. Sharing permissions with another licensed agent c. Performing insurance transactions without a license. d. Conducting insurance business in the state while being a resident of another
c. Performing insurance transactions without a license.
Q applied for life insurance and submitted the initial premium on January 1. The policy was issued February 1 but it was not delivered by the agent until February 7. He was dissatisfied and returns the policy February 13. How will the insurer handle this situation a. Premium will be fully refunded minus a surrender charge. b. Policy was not returned. Within the free look period premium will not be refunded. c. Policy was returned within the free look period premium will be fully refunded. d. Premium will be fully refunded minus a prorated amount for the period of February 7 to February 13.
c. Policy was returned within the free look period premium will be fully refunded.
Which of the following is not required in the outline of coverage for a health insurance policy? a. Explanation of the policies, benefits. b. Listing of the policies exclusions and limitations c. Projection of the policies, future costs d. Explanation of the policies, renewal and cancellation provisions.
c. Projection of the policies, future costs
One of the stated purposes of the life and health insurance guaranty association is... a. To guarantee interest rates on life and annuity policies b. To provide to all companies a guaranteed number of prospects each year. c. To assist in the prevention of insure insolvencies. d. To provide legal services for suits filed against insolvent companies.
c. To assist in the prevention of insure insolvencies.
A life policy loan in Florida cannot charge a fixed rate of interest higher than a. 7% b. 8% c. 9% d. 10%
d. 10%
What percentage of eligible persons must a policy cover in a non-contributory group a. 25% b. 50% c. 75% d. 100%
d. 100%
Florida requires that coverage for newborns, begins from the moment of birth and continues for a. 31 days. b. 6 months. c. 12 months d. 18 months
d. 18 months
A licensed agent must be appointed by an insurance company to solicit insurance in Florida. The agents license will terminate if a certain period of time... Without being appointed, how long is this period of time? a. 12months b. 24 months c. 36 months d. 48 months
d. 48 months
All of the following provisions are required in a group life policy, except a. A grace period provision. b. An incontestable period c. A conversion provision. d. An accidental death, and dismemberment provision.
d. An accidental death, and dismemberment provision.
which of the following situations does not apply to the Florida replacement rule a. an existing policy is re-issued with a reduction in cash value. b. A new policy is issued while an existing one I surrender. c. An existing policy is subject to extensive borrowing. d. An existing policyholder purchases an additional policy from the same insurer.
d. An existing policyholder purchases an additional policy from the same insurer.
The life and health insurance guarantee association is funded by a. The insurance commissioners, directors office. b. The board of risk and insurance management. c. General revenue bonds. d. Assessments on member companies.
d. Assessments on member companies
Under a long-term care policy, which of the following is considered an activity of daily living a. Cooking b. Nursing care. c. Learning d. Dressing
d. Dressing
The life insurance and annuity replacement regulation, defines replacement as a. Cash surrendering an existing policy. b. Reducing the face value of an existing c. Excepting a reduced paid up policy. d. Exchanging an existing policy for a new policy.
d. Exchanging an existing policy for a new policy.
Which of the following employees may not be excluded from a group life plan? a. Part-time employees. b. Seasonal workers. c. Full-time employees before the probationary. Period. d. Full time employees after the probationary. Period.
d. Full time employees after the probationary. Period.
which of the following is a standard provision of the conversion privileges in a group life policy a. Group live coverage can only be converted if the employer pays for the individual policy. b. Group live coverage can normally be converted to an individual policy within six months. c. Group life coverage can only be converted by providing evidence of insurability. d. Group life coverage can be converted to an individual policy at regular rate on an attained age basis.
d. Group life coverage can be converted to an individual policy at regular rate on an attained age basis.
A multiple employer welfare arrangement provides what type of benefits a. Unemployment b. Banking c. Retirement. d. Insurance
d. Insurance
The fund that insurance policy holders payment of benefits on life and health policies if the company is insolvent at the time of the claim is called the a. Health insurance, portability, and accountability act. b. Employees, retirement, income, security act. c. National Association of insurance commissioners. d. Life and health insurance guaranty association.
d. Life and health insurance guaranty association.
Under Florida law, which of the following provisions is not required in a Medicare supplement policy a. Suitability form. b. Guaranteed issue. c. Free look period of 30 days. d. Limitation on pre-existing conditions for up to 12 months.
d. Limitation on pre-existing conditions for up to 12 months.
Which type of insurance company allows the policy owner to elected governing body a. Stock b. Mixed c. Admitted d. Mutual
d. Mutual
in Florida which of the following practitioners normally do not receive payment from health insurance policies a. Optometrists. b. Pediatricians. c. Dentists d. Naturopaths
d. Naturopaths
when an existing life insurance policy is being re-issued with a reduction in cash value, the agent must sign the a. Policy summary b. Buyers guide c. Life insurance surrender cost index d. Notice regarding replacement of life insurance or annuity
d. Notice regarding replacement of life insurance or annuity
In Florida agents are allowed to engage in rebating if a. The amount rebated stays below a maximum percentage of annual premium. b. The transaction is reported to the IRS for tax purposes. c. Insured gives his or her written consent. d. Offered to all insureds in the same actuarial class.
d. Offered to all insureds in the same actuarial class.
which entity approves the insurance policy forms used in Florida? a. National Association of insurance commissioners. b. Department of financial services. c. Financial services commission d. Office of insurance regulation
d. Office of insurance regulation
According to Florida law group, life insurance conversion privileges must not: a. Allow the converted policy to 75% of the original group life and now. b. Our time. To convert group live coverage to an individual life policy. c. Require a rate increase. d. Require evidence of insurability.
d. Require evidence of insurability.
Group life policies must include all of the following provisions, except a. Ownership b. Beneficiary designation. c. Conversion privilege. d. Right to loan proceeds.
d. Right to loan proceeds
In Florida when agents recommend changes be made for existing coverage, the agent must follow established procedures. The name of this rule is called the. a. Gramm leach, Bliley act. b. Florida solicitation law. c. Existing covering statute. d. Florida replacement rule
d. florida replacement rule