Test your life & health knowledge
The maximum obligation of the Oklahoma life & health insurance guaranty association for all cash surrender values under life insurance policies covering any one life is
$100,000
life insurance
20 days
Which of the following can the OK Insurance Dept impose
License revocation
Dividend options in a participating life insurance policy include al of the following except
Straight life
Who takes the investment risk on a fixed annuity?
The insurance company
All of the following are ordinary life insurance dividend options except
a return of excess premium
In order for an insurer to transact business in Oklahoma, it must have which of the following?
certificate of authority
The MAX obligation of the Oklahoma Life & Health Insurance Guaranty Association for all life insurance death benefits applicable to any one life is
$300,000
Medicare free look
10 days
health insurance
10 days
Regarding a thirty five year old applicant for life insurance which of the following permanent life insurance policies would have the most annual premium outlay?
10 pay whole life
Medicare has
10 plans
Under the uniform policy provisions, one of the minimum standards is notice of a claim. What is the period of time an insured is obligated to notify the insurance company after a claim
20 days
Long term care free look
30 days
Which of the following is NOT a penalty for acting as a licensee after losing a license?
5 years of community service
When group insurance is written on a contributory basis, the minimum participation requirement is
75%
Under uniform Policy Provisions, one of the minimum standards is proof of loss. How many days is the insured obligated to file a proof of loss
90 days
All of the following are true regarding the insurance code except?
A hearing is held within 30 days after the insurance department receives the demand of the hearing
Which of the following policies would be subject to the policy replacement law?
Allowing a whole life policy to lapse to purchase another whole life policy.
The funds provided by the Oklahoma Life & Health Insurance Guaranty Association:
Are assessed to the member insurers
Which of the following is NOT a risk management technique?
Ascertain the risk
The practice of the OK Life & Health Guaranty Association charging members in order to pay contractual obligations for an insolvent insurer is called
Assessment
Several producers agree to control the market share of ZBEST Mutual Ins Comp
Boycott
Under the OS Title 36 the Oklahoma Insurance Commissioner has the authority to do all of the following EXCEPT?
Charge the court costs of a hearing to he state of oklahoma
A legally acceptable attempt by the existing insurance company to retain the business after a replacement form has been received is called?
Conservaton
A legally binding contract requires that each party give something of value to the other; this essential element is called:
Consideration
The insurance company writes the insurance policy and the insured must comply with the contract terms without negotiation the courts will interpret any ambiguity in favor of the insured. What is the name of this unique contractual feature?
Contract of adhesion
The OK Ins Code places a restriction on the amount of business a producer can write on an annual basis. This type of business restriction is called:
Controlled business
Which of the following non-forfeiture values has the highest death benefit?
Extended term
Scott is age 45 and wants a tax deferred savings plan for retirement. Scott can afford to make $200 per month payments and plans to retire at age 62. What should the producer recommend?
Flex premium deferred annuity
Which of the following statement is NOT true concerning a controlled business under the Oklahoma Insurance code?
If a producer has obtained a license for the purpose of writing controlled business, the insurance department will invalidate all controlled business
Speculative risk involves all of the following except?
Insurance
Which of the following is not true regarding a speculative risk?
Insurance can be written on speculative risk
Which of the following is not true regarding insurance?
Insurance is a device for handling speculative risk
All of the following are true regarding the Oklahoma Life & Health Insurance Guaranty Association except
Is an association of only domestic insurers that promote the insurance industry
Paisley has $500,000 accumulated annuity. Which annuity option could pay Paisley's beneficiary when Paisley dies?
Life income period certain
Disadvantages of replacing an older life insurance policy would include all of the following except?
Lower premium due to premiums being based on attained age
An Oklahoma Insurance producer is required to keep business records and client file information for a minimum period of:
One year
Mutual Insurer
Owned by policy owners
The Oklahoma Insurance Department has all of the following authority EXCEPT?
Pass laws relating to insurance
Which of the following is false about stock insurance company
Policy owners have voting rights
Policy replacement regulations would govern which of the following?
Replacing a whole life policy with a different company
Regarding a replacement transaction all of the following are duties of the insurance company, EXCEPT?
Report the replacement situation to the life & health guarantee association
The OK Life & Health Insurance Guaranty Association:
Requires all authorized insurers in the state be members of the association
Risk Management
Retain Avoid Reduce
Which of the following situations is subject to replacement regulations?
Sale of an individual life policy that causes an existing individual life policy to be lapsed.
All of the following are essential elements of a legal binding contract, EXCEPT?
Signatures
Which of the following policies would be the most expensive initial premium?
Single premium whole life
All of the following are true regarding the national association of insurance commissioners except?
State mandated organization
All of the following are sources of regulation of the insurance business EXCEPT?
Unilateral practice
All of the following are dividend options except?
accelerated death benefit
A unique feature of an insurance contact where one party can benefit more than the other based on the occurrence of a uncertain event is referred to as
aleatory contract
The life & health Guaranty Association would cover policies issued by which of the following types of insurers?
alien insurer
When one party constructs the contract and the other party has no input it is known as an
contract of adhesion
When an employee terminates membership in an insured group plan, the group life conversion privilege provides which of the following
convert to individual policy without evidence of insurability
Which of the following is NOT a characteristic of straight life policy
increasing death benefit
The cash surrender value on a paid up at 65 whole life policy will equal the face amount of coverage when
insured reaches age 100
non-forfeiture options in life insurance include all of the following except?
interest only
Which whole life policy would have the least annual premium outlay for an insured 20 year old
ordinary whole life
The portion of the rate which I projected to be paid out in insurance benefits is called
prospective lost cost
When the policy cash value on a whole life policy is used to purchase a lesser amount of the same type of insurance, what is the name of the non-forfeiture option used?
reduced paid up
Statements made on an application of insurance are considered
representations
Dividends paid by a mutual insurance company on participating polices are
tax exempt
All of the following are true regarding the annuity options except
the annuitant can outlive the benefits in the life income with a refund option
A 20-pay whole life policy endow when?
the insured reaches age 100
Which of the following is true regarding non forfeiture values?
the purpose is to protect the policy owner investment
