Maryland Health and Life Insurance Exam
Which of these is NOT an Unfair Claims Settlement Practice?
Offering to settle a claim by arbitration
Which of the following is NOT a condition that must be met for an accidental death benefit to be paid?
Cause of death must be from a job-related injury
Which of these is NOT considered a Federal punishment for unfair and deceptive insurance practices?
Community service
Which report contains information regarding an individual's general reputation and credit standing?
Consumer report
The "Notice to buyer" on the first page of each long-term care policy delivered in Maryland
Explains that some long-term care costs may not be covered
Which statement concerning a decreasing term life policy is accurate?
Face amount decreases over the policy period
A condition that increases the possibility of financial loss is called a(n)
Hazard
Some standard Medicare Supplement policies include which benefit?
Hospice care
Which of the following best describes the purpose of HIPAA?
To reduce a pre-existing condition waiting period when coverage is sought for a new medical plan
Under which circumstance is the interest rate guaranteed within a market value adjusted annuity?
When the contract has been held for the period specified in the policy
An individual who purchases a modified life insurance policy expects
an improvement in future income
A single-life annuity only has ONE
annuitant
All Medicare supplement policies sold during the open enrollment period MUST
be issued regardless of health statusThe
An appointed producer's implied authority is derived from
express authority
Death proceeds from a life insurance policy are typically included in a deceased insured's gross estate
for federal income tax reasons
The ____________________ is required to notify the Commissioner in the event of appointment termination.
insurer
A health insurer MUST provide a proof of loss form
within 15 days of receipt of the notice of loss
The contractual rights which allow the owner of a deferred annuity to surrender the cash value several years before the annuity date are called
nonforfeiture options
A Guaranteed Renewable provision allows
premiums which can only be increased per rate class
Which of the following can be defined as a cause of a loss?
Peril
If an individual would like to enroll in Medicare or seek public information about Medicare, which federal agency handles this?
Social Security Administration
Greg had recently been terminated from his job that covered him for group life insurance. How long does he have to convert his coverage to an individual policy?
31 days
Which of the following combinations best describe a universal life insurance policy?
A flexible premium deposit fund and a monthly renewable term insurance policy
How many days notice must a producer be given prior to a scheduled hearing?
10 days
Under HIPAA requirements, eligibility for the pre-existing conditions exclusion waiver under new coverage is lost ifN
there is a break in coverage of more than 63 days
What is the minimum age required for open enrollment in Medicare Supplement insurance?
No minimum age required
In what situation could an insurance policy's coverage be modified?
Applicant is a substandard risk
Which of the following situations would a medical exam NOT be required for an individual health insurance applicant?
Applicant's family members have a history of cancer
Major medical plans typically exclude coverage for which of the following benefits?
Custodial care
Who is eligible for health coverage under a group policy issued to a labor union?
Every member of that union
Which of the following are used by most insurers when determining the premiums for large groups?
Experience rating
What are premiums for group credit life insurance based on?
Flat rate unrelated to the borrower's age
A large corporation pension plan purchased an accumulation annuity contract where all of the participating employees received certificates of participation. What is this contract called?
Group deferred annuity
A family counseling benefit is typically offered under which of these coverages?
Hospice care
Which of the following is NOT subject to the promise to pay in an insuring clause?
How the premium is calculated
All of these are duties that a producer may be required to perform when delivering an insurance policy EXCEPT
Leave a conditional receipt with client
Wyatt is shopping for life insurance and is mainly concerned with the policy's death benefit. Which index should he be looking at when making comparisons?
Net payment cost index
Which of the following disability income provisions allows two periods of disability to be counted as one?
Recurrent disability
How do benefit payments fluctuate over time in a variable life annuity?
Reflects changes in the market value of assets in a separate account
An insured, age 67, is covered under a disability income policy. What will the insurer normally require in order for the insured to continue coverage?
The insured must be actively at work for a specified number of hours per week
Which of these is a typical result of a concurrent review?
The length of time spent in the hospital is monitored
Pete is covered by a group health insurance plan which covers employees in multiple states. This plan is governed by the laws of which state?
Where the master contract was issued
The IRS has a "minimum coverage" rule regarding qualified retirement plans. This rule states that each qualified plan is required to
benefit a broad cross-section of employees
Scott has a life insurance policy in which the dividends are left with the insurance company. This particular policy may be paid up when the cash value plus accumulated dividends
equal the net single premium for the same face amount at the insured's attained age
A signed good health statement may be requested by a life producer at the time of
policy delivery
The interest paid during an annuity's payout period is considered
taxable as ordinary income
An insurance company's failure to enforce a contract's provision is called a(n)
waiver
