missed questions

An individual is insured under his employer's group disability income policy. The insured suffers an accident, while on vacation that left him, unable to work for four months. If the disability income policy pays the benefit, which of the following would be true?

Benefits that are attributed to employer contributions are fully taxable the employer is income

what is the contract provision that allows the insurer to nonrenew health coverage if certain events occur?

Conditionally renewable

Which of the following would be considered an illegal inducement to purchase insurance?

Confirming teacher dividends in a life insurance proposal

Which of the following is a key distinction between variable whole life and variable universal life policies?

Variable whole life has a guaranteed death benefit

The benefits for individual disability plans are based on

a flat amount

The insured's health policy only pays for medical costs related to accidents. which type of policy does the insured have?

accident only

If an insurance company makes a statement that its policies are guaranteed by the existence of the Insurance Guaranty Association, that would be considered

an unfair trade practice

what best describes the MIB

anonprofit organization that maintains underwriting information on applicants for life and health insurance

in order for a foreign insurer to do business in another state, they must apply for and obtain

certificate of authority

Producers are responsible to collect and disperse premiums and return premiums or other funds. Which insurance term is associated with this?

fiduciary capacity

Who appoints the commissioner?

governor

A new employee who meets HIPAA eligibility requirements must be issued health coverage on what basis?

guaranteed

what is NOT correct about taxation if disability income benefits

if paid by the individual, the premiums are tax deductible

All advertisements are the responsibility of the

insurer

which entity has the authority to make changes to an insurance policy?

insurer's executive officer

what is NOT correct about Medicare Part B?

it is fully funded by social security taxes

which is true regarding a term health policy?

it is nonrenewable

When a reduced-paid up nonforfeiture option is chosen, what happens to the face amount of the policy?

it is reduced to the amount of what the cash value would buy as a single premium

which rider added to a life insurance policy can pay part of the death benefit to the insured to cover expenses incurred in a nursing or convalescent home?

long-term care

What is the other term for the cash payment settlement option?

lump sum

And insured purchased an insurance policy 5 years ago. Last year she received a dividend check from the insurance company that was not taxable. This year she did not receive a check from the insurer. From what type of ensure did the insured purchase the policy?

mutual insurance

Attempting to determine how much insurance family would require based upon their financial objectives is known as

needs approach

An applicant wants to buy a policy that has a cash value element. What time should she buy?

permanent

if someone wants to buy a life insurance policy that will provide lifetime protection against premature death, what type of insurance policy should they buy?

permanent

which is NOT a supplemental benefit under an HMO plan?

preventive services

Which nonforfeiture option provides coverage for the longest period of time?

reduced paid-up

I'd an insurance policy has an irrevocable beneficiary designation, then...

the beneficiary can only be changed with written permission of the beneficiary

The policy owner of a Universal Life policy may skip paying the premium and the policy will not lapse as long as

the policy contains sufficient cash value to cover the cost of insurance

what is true concerning a buy-sell agreement?

they are normally funded with life a insurance policy

what is the best reason to purchase life insurance rather than annuities?

to create an estate

An insured owns a life insurance policy. To be able to pay some of her medical bills, she withdraws a portion of the policy's cash value. There is a limit for a withdrawal and the insurer charges a fee. What type of policy does the insured most likely have?

universal life

Which type of insurance policy allows the policy owner to pay more or less than the planned premium?

universal life

which policy(s) would have an IRS required corridors or gap between the cash value and the death benefit

universal life option A

what is the civil penalty for violating a cease and desist order of the commissioner?

$10,000

the most the insurance guaranty association will pay for net cash surrender values is

$100,000

What is the civil Pennelly for violating a cease and desist order of the commissioner?

$5000

What is the civil penalty for the first violation of the Pennsylvania insurance fraud prevention act?

$5000

To avoid violations of unfair claims settlement regulations, insurers are required to acknowledge the receipt of a claim within how many days?

10 days

Employers can reduce health plan, cost by coupling a health reimbursement account (HRA)with

A high deductible health plan

The death protection component of universal life insurance is always

Annually renewable term

To comply with Fair Credit Reporting Act, when must a producer notify an applicant that a credit report may be requested?

At the time of application

This policy component decreases in decreasing term insurance

Face amount

The guarantee of insurability option provides a long-term care policyowner the ability to

Increase benefit levels without providing proof of insurability

what is not a difference between individual and group health insurance?

Individual insurance does not require medical exams, while group insurance does require medical exams

what is NOT true regarding a certificate of authority?

It is issued to group insurance participants.

what is true concerning the accidental death report?

It will pay double or triple the face amount

Twin 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?

Joint Life

Which of the following is the most common time for errors and omissions to occur on the part of an insurer?

Policy delivery

A Medicare SELECT policy does all of the following EXCEPT

Prohibit payment for regular covered services provided by non-Netwerk providers

Insurers may change which of the following on a guaranteed renewable health insurance policy?

Rates by Class. (insurer may increase premiums on a class basis only, not on an individual policy)

If an insurer becomes insolvent, which of the following would pay benefits to policyholders?

The Guaranty Association

what is NOT covered under plan A in Medigap insurance?

The Medicare Part A deductible

What happens if a non-member physician is utilized under a point of service plan? !!!!!

The attending physician will be paid a fee for service, but the member patient will have to pay a higher coinsurance amount

what is NOT a feature of a guaranteed renewable provision?

The insurer can increase the policy premium on an individual basis

How does a member of an HMO see a specialist?

The primary care physician refers the member

what best defines target premium in a universal life policy?

The recommended amount to keep the policy in force throughout its lifetime

example of fiduciary duty

The trust clients place in the producer in regard to handling premium

what is NOT correct about Medicare supplement insurance policies?

They cover the cost of extended nursing home care

What is the purpose of coinsurance provision?

To prevent over utilization of plan benefits

what is the purpose of cobra?

To provide continuation of coverage for terminated employees