XCEL Chapter 5

A non-contributory health insurance plan helps the insurer avoid? A. adverse selection B. state compliance C. the underwriting process D. tax deductions

adverse selection

What does the Group Life underwriting risk selection process help protect insurance companies from? A. Risk aversion B. Natural selection C. Adverse selection D. Risk management

Adverse selection

All of the following are characteristics of a Group Life Insurance Plan EXCEPT? A. Group underwriting B. Master contract C. Individual underwriting D. Probationary period

Individual underwriting

Under a group life policy, the insurer will issue an individual _____ to the policyowner for delivery to each person insured. A. policy B. certificate C. application D. rider

certificate

The conversion privilege under a group life plan allows an employee to convert to a(n)? A. family plan with another insurer B. individual plan with another insurer that has better rates C. individual plan upon employment termination D. individual policy in the spouse's name

individual plan upon employment termination

The coverage, conditions, and limitations in the master policy of a group contract can be found in which document? A. Certificate of Authority B. Consumer report C. Coverage document D. Certificate of coverage and benefits

Certificate of coverage and benefits

Which of these factors would an insurer consider when determining whether to accept a group life plan? A. Number of dependents B. Incontestable period C. Average age D. Grace period

Average Age

A type of group that has a constitution and bylaws and has been organized for purposes other than obtaining insurance is called a(n)? A. employer group B. employee group C. association or labor group D. multiple coalition

association or labor group

Converting a group plan to permanent life insurance requires? A. submitting proof of insurability B. paying a lower premium C. converting to term life insurance D. the conversion being applied for within 31 days of termination

the conversion being applied for within 31 days of termination

An employee under a group insurance policy has the right to name a beneficiary and the right to? A. remain on the group plan in the event of employment termination B. cash surrender the existing policy C. change the policy provisions D. convert to an individual policy in the event of employment termination

convert to an individual policy in the event of employment termination

Tim is covered under a group plan and would like to change his group coverage to an individual policy with the same insurer because of employment termination. Which of these describes the change that will take place? A. Coordination of benefits B. Conversion C. Extension of benefits D. Rollover

Conversion