Stimulate your exam

In order to maintain coverage under COBRA, how soon from termination of employment must an employee exercise extension of benefits?

- 60 days Under COBRA, terminated employees must exercise extension of benefits within 60 days of separation from employment.

How long must insurers keep records related to advertisement of insurance policies?

3 years

After an insurance company examination, the Commissioner or the examiner appointed by the Commissioner must file a written report of the examination within

60 days The report relating to the examination must be filed no later than 60 days after the examination is complete

Which of the following would best describe total disability?

A person's ability to work is significantly reduced or eliminated for the rest of his/her life.

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

A reinstate policy provides immediate coverage for an illness

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

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

All of the following would be considered rebating EXCEPT

An agent misrepresents policy benefits to convince a policyowner to replace policies.

All of the following qualify for Medicare Part A EXCEPT

Anyone who is willing to pay a premium.

What is the maximum period of time during which an insurer may contest fraudulent misstatements made in a health insurance application?

As long as the policy is in force An insurer can contest a fraudulent misstatement as long as the policy is in force. No other statement or misstatement made in the application at the time of issue will be used to deny a claim after the policy has been in force for 2 years.

What coverage, written in conjunction with hospital expense policies, covers surgeons' fees, anesthesiologist, and the operating room?

Basic Surgical Expense

How is the Commissioner of Commerce chosen to serve?

By appointment of the Governor

Health service benefits for the treatment of emotionally handicapped children must be provided in a residential treatment facility that is licensed by

Commissioner of Human Services

When a producer was reviewing a potential customer's coverage written by another company, the producer made several remarks that were maliciously critical of that other insurer. The producer could be found guilty of

Defamation. A producer or broker who makes oral or written statements intended to injure another producer or insurer is guilty of the unfair trade practice of defamation.

Which of the following will NOT be considered unfair discrimination by insurers?

Discriminating in benefits and coverages based on the insured's habits and lifestyle

'In a disability policy, the probationary period refers to the time

During which illness-related disabilities are excluded from coverage

Items stipulated in the contract that the insurer will not provide coverage for are found in the

Exclusions

Dangers that are carried onto the worksite by employees are known as

Imported.

All of the following are differences between individual and group health insurance EXCEPT

Individual insurance does not require medical examinations, while group insurance does require medical examinations.

Which is true regarding HMO coverage?.

It is divided into geographic territories

To sign up for a Medicare prescription drug plan, individuals must first be enrolled in

Medicare Part A

Which of the following statements pertaining to Medicare Part A is correct?

Medicare Part A is automatically provided when an individual qualifies for Social Security benefits at age 65.

A corporation that contracts for health services for subscribers in exchange for the periodic payment by or on behalf of the subscribers, and that does not bill the subscriber directly, but bills the service plan, is classified as a

Nonprofit health service plan corporation

Dangers that are carried onto the worksite by employees are known as

Occupational.

Which of the following applies to partial disability benefits?

Payment is limited to a certain period of time

According to the PPACA metal levels classification, if a health plan is expected to cover 90% of the cost for an average population, and the participants would cover the remaining 10%, what type of plan is that?

Platinum

What type of care is Respite care?

Relief for a Major Care Giver Respite Care is designed to provide relief to the family care giver, and can include a service such as someone coming to the home while the care giver takes a nap or goes out for a while. Adult day care centers also provide this type of relief for the caregiver.

Which of the following is an example of a producer being involved in an unfair trade practice of rebating?

Telling a client that his first premium will be waived if he purchased the insurance policy today

Which of the following is an example of a producer being involved in an unfair trade practice of rebating?

Telling a client that his first premium will be waived if he purchases the insurance policy today

In a disability policy, the elimination (or waiting) period refers to the period between

The first day of disability and the day the insured starts receiving benefits

In order for an insured under Medicare Part A to receive benefits for care in a skilled nursing facility, which of the following conditions must be met?

The insured must have first been hospitalized for 3 consecutive days

Liability insurance would pay for losses caused by

The insured.

If a business wants to buy a disability income policy on a key employee, which of the following is considered the beneficiary?

employer

Which of the following commercial property coverage forms is used to insure businesses that cannot afford to be closed for repairs?

Extra expense

Which of the following is NOT a feature of a noncancellable policy?

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

A policy with a 31-day grace period implies

The policy will not lapse for 31 days if the premium is not paid when due

A policyowner names his five children as primary beneficiaries and his wife as a contingent beneficiary. If the policyowner and one of his children die, who would receive policy benefits?

The remaining 4 primary beneficiaries