Texas life and health stimulated Exam

All of the following are correct about the required provisions of a health insurance policy except

A reinstated policy provides immediate coverage for an illness.

What is a deductible in a health insurance policy

A specified dollar amount that the insured must pay before the insurer pays any policy benefits.

To which of the following situations does the replacement regulations apply

A whole life policy re-issued with reduction in cash value

Not covered under long-term care policies

Acute care

Group health insurance is categorized by all of the following except

Adverse selection

How can a new physician be added to the PPO's approved list

Agree to follow the PPO standards and charge the appropriate fees

Which Medicare supplement policies are the core benefits found

All plans

Which of the following individuals is eligible for a health savings account

Allison is insured by a High Deductible Health Plan (HDHP)

All of the following are true of federal tax advantages of a qualified plan except

At distribution, all amounts received by the employee are tax free.

Premium increases as a result of age

Attained age

Unfair or deceptive acts in connection with the sale of insurance except ?

Attempting to settle a claim in which liability is clear

Occasional visits by which of the following medical professionals will not be covered under the long-term cares home healthcare

Attending physician

What are Usual reasonable and customary changes based on?

Average charge for a given procedure in the specific geographic area

Which of the following is a feature of a variable annuity

Benefit payment amounts are not guaranteed

And insured who has an accidental death and dismemberment policy loses her left arm in an accident what type of benefit will she most likely receive from this policy

Capital amount lump sum

Provisions provide sharing of expenses between the insured and the insurance company

Coininsurance

"Take it or leave it " bases classifies as

Contracts of adhesion

Which of the following is true about credit life insurance

Creditor is the policyowner.

What is another name for interest sensitive whole life insurance

Current assumption life

purpose of seven pay test

Determines of the insurance policy is a MEC

Long-term care coverage may be available as any of the following options except

Endorsement to a health policy

If an insured is not required to pay a deductible what kind of coverage does he or she have

First dollar

In which of the following situations with Social Security disability benefits not cease

The individual son gets a part-time job to help support the family

What is not a feature of a noncancelable policy

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

All of the following are true statements regarding the accumulation of interest option except

The interest is not taxable since it remains inside the insurance policy.

Information concerning the applicants health history

The medical information bureau "MIB"

Which of the following determines the cash value of a variable life insurance policy

The performance of the policy portfolio

Which of the following determines the cash value of variable life policy

The performance of the policy portfolio

Under the accidental death and dismemberment coverage what type of benefit will be paid to the beneficiary in the event of the insures accidental death

The principal sum

Under an extended term nonforfeiture option, the policy cash value is converted to

The same face amount as in the whole life policy

Which of the following is not true regarding partial disability

This is a form of insurance that covers part-time workers.

When insured notifies insurance company he's disabled what provision says claims must be paid immediately upon written proof of loss

Time payment of claims

The purpose of managed care health insurance plans is to

To control health insurance claims expenses

What is the main purpose of the regulation on a life insurance policy illustrations

To help customers make educated decisions in buying life insurance

The paid up addition option uses the dividend

To purchase a smaller amount of the same type of insurance as the original policy.

All of the following are true regarding the convertibility option under a term life insurance policy except

Upon conversion, the death benefit of the permanent policy will be reduced by 50%

What is the name of a clause that is included in a policy that limits or eliminates the death benefit if the insured dies as a result of war or while serving in the military

War or military service

An agent and an applicant for a life insurance policy fill out and sign the application. However, the applicant does not wish to give the agent the initial premium, and no conditional receipt is issued. When will coverage begin?

When the agent delivers the policy, collects the initial premium, and the applicant completes an acceptable Statement of Good Health

A rider that is usually level term

Spouse term rider

Basic surgical expense covers

Surgeons anesthesiologist and operating room

A producer is helping a married couple determine the financial need of their children in the event one or bullshit die what is it called

Survivor protection

Policy called "second to die" ?

Survivorship

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

The amount of premium payment

The initial amount of credit life insurance may not exceed

The amount to be repaid under the contract

Which of the following is not true regarding the Annuitant

The annuitant cannot be the same person as the annuity owner.

The president of a company is starting an annuity and decides that his corporation will be the annuitant which of the following statements is true

The annuitant must be a natural person.

Upon the death of the insured the primary beneficiary discovers that the insured shows the interest only settlement option what does this mean

The beneficiary will only receive payments of interest earned on the death benefit

Labs due to nonpayment of premium within how many days with the policy be automatically reinstated once the outstanding premium is paid

45 days

Insurance commissioner may exam the affairs of an insurer as often as necessary but not less than once every

5 years

No one's license has been revoked can receive another license in Texas for

5 years

And insured has a primary group health plan and an excess plan each covering losses up to $10,000 the insured suffered a loss of $15,000 disregarding any copayments or deductibles how much will the excess plan pay

5,000

Which of the following statements is not true concerning insurable interest as it applies to life insurance

A debtor has an insurable interest in the life of a lender.

A straight life policy has what type of premium

A level annual premium for the life of the insured

Brain surgeon develops tremors in right arm which disability income policy will cover her for all losses

"Own occupation less restrictive " than other definitions

Ensures long-term care policy is scheduled to pay a fixed amount of coverage of 120 per day the long-term care facility only charged $100 per day how much will the insurance company pay

120 a day

An insurer must acknowledge receipt of notice of claim within how many days

15 days

What is a penalty tax for non-qualified distributions from a health savings account

20%

If an HMO policy is canceled for nonpayment of the amount due under the contract , how long of a notice must the insurer give the insured?

30 days

The commissioner of insurance issues a cease and desist order to an agent the agent wishes to contest the chargers in court how many days after the order was issued does the agent have to make the request?

30 days

Conversion to an individual whole life policy is permit without evidence of insurability within how many days of the termination of employment

31 days

How long must a producer maintain records of continuing education course completion

4 years

Non-qualified Retirement Plan

Split - dollar plan

And individuals purchasing a permanent life insurance policy with face value of 25,000 he wants to be sure that the additional coverage will be available in the future which of the following will be included in the

Guaranteed insurability option

Stranger oriented life insurance policies are in direct opposition to the principle of

Insurable interest

A life insurance policy has a legal purpose of both of which of the following elements exist

Insurable interest and consent

Y was issued a conditional receipt on August 14 August 22 Y died

Issue the policy and pay the face value to the beneficiary

Which of the following best describes a misrepresentations

Issuing sales material with exaggerated statements about policy benefits

Why is an equity indexed annuity considered to be a fixed annuity

It has a guaranteed minimum interest rate.

What is the benefit of choosing extended term as a non-forfeiture option ?

It has the highest amount of insurance protection

Which of the following is not true regarding a certificate of authority

It is issued to group insurance participants.

Which of the following best describes annually renewable term insurance

It is level term insurance

Which statement is not true regarding straight life policy

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

The type of settlement option which pays throughout the lifetimes of two or more beneficiaries is called

Joint and survivor

An individual covered under group life insurance policy may convert the policy to any of the following except

Level term

Example of limited pay life policy

Life Paid-up at Age 65

All of the following statements concerning Medicaid are correct except

Medicaid is a state funded program that provides health care to persons over age 65, only

If a dental plan is integrated it is combined with what type of plan

Medical

All of the following are grounds for cancellation of an HMO plan except

Misstatement of age in the application

The Medicare part a deductible

Not covered under plan A in Medigap

Premiums are taxed or non-taxed

Not tax

Traditional IRA contributions are tax deductible based on which of the following

Owner's income

Probation period and group health

Period of time that labs before employees eligible for health coverage

A guaranteed renewable health insurance policy allows the

Policyholder to renew the policy to a stated age, with the company having the right to increase premiums on the entire class.

Which of the following is correct concerning the taxation of premiums in a key person life insurance policy

Premiums are not tax deductible as a business expense.

Taxation of premiums in a key person life insurance policy are

Premiums are not tax-deductible as business expense

What is the initial period of time specified in a disability income policy that must pass after the policy is enforced before a loss can be covered

Probationary period

The paid up option uses the dividend to

Purchase a smaller amount of the same type of insurance as the original policy

And insured pays 1200 annually for her life insurance premium the insured applies this year's $300 worth of accumulated dividends to the next year's premium that's reducing it to 900 what option does this describe

Reduction of premium

Todd has a hernia 2000 of a surgery will be covered what system is Todd's insurance company using

Relative value

What health policy provisions describe the insurance right to cancel coverage

Renewability provision

The regulations regarding replacement apply to which of the following

Renewable term

An insured wants to name her husband as the beneficiary of her health policy. She also wishes to retain all of the rights of ownership. The insured should have her husband named as what type of beneficiary?

Revocable

Stop loss limited is

Specific dollar amount beyond which the insured no longer participates in the sharing of expenses

A universal life insurance policy is best described as an

annually renewable term policy with a cash value account

Because an insurance policy is a legal contract, it must conform to the state laws governing contracts which require all of the following elements EXCEPT

conditions

A health insurance policy that pays a lump sum if the insured suffers a heart attack or stroke is known as

critical illness

The dividend option in which the policy owner uses dividends to purchase a term policy for one year is referred to as

one-year term option

An insured committed suicide one year after his life insurance policy was issued. The insurer will

refund the premiums paid

Interest earned on policy dividends is

taxable

All of the following are true regarding a decreasing term policy except

the payable premium amount steadily declines throughout the duration of the contract