GA L&H
To qualify for an original certificate of authority, what minimum capital stock or surplus must an insurer have?
$1.5 million
How long is the grace period for an individual life insurance policy?
1 month
If an insured pays a health insurance premium each month, how long would the grace period be under the policy?
10 days
When a hearing regarding an insurance matter is requested, all parties must receive an advance notice of at least?
15 days
How soon from a receipt of proof of death must an insurer pay death benefits on a life insurance policy?
2 months
According to the time limit of certain defenses provision, statements or misstatements made in the application at the time of issue cannot be contested after the policy has been in force for a minimum of how many years?
2 years
In this state, controlled business must not exceed which portion of a producers transactions during a calendar year?
25%
How many hours of continuing education must licensees complete every renewal period on the subject of ethics?
3 hours
To qualify for small group health insurance, an employer must have what maximum number of employees?
50
Policy loan requests, except for loan requests for payment of due premiums, may be deferred for a period of up to?
6 months
What is the maximum period for a temporary license in this state?
6 months
A distribution from an employer sponsored retirement plan or from an IRA is eligible for a tax free rollover if it is reinvested in an IRA within?
60 days
A disability income policy has a waiting period of 7 days. If the insured is disable for 15 days, how many days of benefits will the policy pay?
8 days
A policy form is deemed to be approved by the commissioner if it has been on file for at least how many days?
90 days
Under the mandatory uniform provision proof of loss, the claimant must submit proof of loss within what time period after the loss?
90 days
Which of the following losses would likely be covered under the Accidental Death rider?
Death caused by a head on collision
Medicare part B covers all of the following except?
Long term care services
The reduction of premium option uses the dividend to reduce?
next years premium
In group insurance, the primary purpose of the coordination of benefits provision is to?
prevent over insurance
Under a group health insurance plan, benefits may be extended to all of the following dependents except?
A 27 year old married daughter who is attending college and lives with her parents
What are premiums from fixed annuities invested?
A general account
What guarantees that the information explained in the insurance contract is true?
A warranty
Which of the following statements is not true regarding health insurance policy provisions?
All additional provisions written by insurers are categorized by their respective states
Which of the following riders pays a beneficiary a death benefit that is double or triple the face amount if the insured's death was caused by an accident as defined in the policy?
An accidental death rider
What is the maximum loan amount a policyowner may withdrawal from a variable universal life insurance polcy?
An amount not exceeding the cash value
All of the following could qualify as a group for the purpose of purchasing group health insurance except?
An association of 35 people
In which of the following cases the insured must consent in writing to the life insurance contract?
An employer is purchasing life insurance on the key employee
Which of the following indicates the person upon whose life the annuity income amount is determined?
Annuitant
Which statement below is incorrect regarding the type of term insurance that fits best with the applicants needs?
Applicants who may require a larger death benefit in the future should buy convertible term insurnace
Which of the following would not trigger the payment of accelerated death benefits?
Being permanently disabled
Which of the following would be true of both the fixer period and fixed amount settlement options?
Both guarantee that the principal and interest will be fully paid out
An applicant gives her agent a completed application and the initial premium. What can the agent issue her that acknowledges the initial premium payment?
Conditional receipt
An insurer mails an insurance policy to a new policyowner. When the insurer relinquishes control of the policy, the policy is considered?
Delivered
Which of the following are considered activities of daily living in most long term care policies?
Eating and dressing
Regarding health insurance premiums, all of the following are tax deductible except?
Employee paid group disability income
The stop loss feature on a major medical policy is intended to?
Establish a maximum amount of out of pocket expense that an insured will have to pay for medical expense in a calendar year
To ensure a health maintenance organization (HMO) fulfills public health need, how often must the commissioner of community health examine the HMOS records?
Every 5 years
An applicant may challenge information discovered as a result of an investigative consumer report under which of the following acts?
Fair credit reporting act
If a producer willfully violates fiduciary responsibility statutes, resulting in misappropriation of more than $1,000, the producer may be found guilty of a?
Felony
J is receiving fixed amount benefit payments from his late wife's insurance policy. He was told that if he dies before all of the benefits are paid, the remaining amount will go to the contingent beneficiary. Which settlement option did J choose?
Fixed amount
Which of the following is a correct statement about annuities?
Fixed annuities do not provide protection against inflation
The guaranteed purchase option is also referred to as the
Future increase option
The guaranteed purchase option is also referred to as the?
Future increase option
According to the fair credit reporting act, all of the following statements are true except?
If declined for an insurance policy, an applicant has no right to the information in the report
Which of the following best describes the difference between and joint and survivor annuity payment options?
In joint life option, the benefits stop after the first death
Which of the following is not true regarding a deferred annuity?
Income payments begin within 1 year from the date of purchase
All of the following must sign an application for health insurance expect the?
Insurer
Which of the following statements describes one of the reasons individuals purchase life insurance?
It creates an immediate estate
How does insurance distribute the financial consequences of individual losses?
It transfers the risk to all persons insured
Which of the following time periods is the general enrollment period for Medicare Part B?
January 1 through March 31 each year
Your client wants to provide retirement income for his elderly parents in case something happens to him. He wants to make sure that both benefits pay an income for life. Which settlement option should this policyowner select?
Joint and survivor
An insured was seriously injured in a skiing accident that required him to be hospitalized for 5 weeks. His medical expense policy covered all of the following except?
Loss of income while hospitalized
Which of the following would not be considered a limited coverage policy?
Major medical expense insurance
According to this states regulating the advertisement of life insurance, advertisement does not include which of the following?
Material prepared by the insurer for training new agents
An insurance agent visits a potential client and explains various types of policies. The customer displays a lack of interest, so the agent as many dividends as he knows would be possible. Which term best describes what the agent has done?
Misrepresentation
Under the affordable care act, when would pregnancy be considered a pre-existing condition?
Never
If an insurance company issues a policy even though some questions on the application were unanswered, when can the insurer get the answers?
Never, the insurer has waived its right to those answers by issuing the policy
Dividends received on participating life insurance policies are
Not taxable because they are a return of unused premiums
Which statement best describes agreement as it relates to insurance contracts?
One party accepts the exact terms of the other partys offer
With respect to the entire contract clause in health policies, who has the authority to make changes to an existing policy?
Only an executive officer of the company
When may HIV-related test results be provided to the MIB?
Only if the individual is not identified
A core Medicare supplement policy (Plan A) will cover all of the following expenses EXCEPT?
Part A Deductible
What is the difference between a straight life policy and a 20-pay whole life policy?
Premium payment period
How do premiums in variable universal life policies vary from those in variable whole life policies?
Premiums are flexible
New individual members of an HMO must choose a?
Primary care physician
Medicare part A services do not include which of the following?
Private duty nursing
All of the following are true of annually renewable term insurance except?
Proof of insurability must be provided at each renewal
What effect will the long term care rider have on the death benefit of a life insurance policy if LTC benefits were paid to the insured?
Reduce the death benefit
Which of the following optional provisions allows insurers to limit benefits to an insured' average income over the last 2 years?
Relation of earnings to insurance
In order to receive a nonresident license is this state, an agent must?
Reside in a state that reciprocates nonresident licensing
HMO are known as what type of plans?
Service
What does the application contract of adhesion mean?
Since the insured does not participate in preparing the contract, any ambiguities would be resolved in favor of the insured
Which of the following is a daily nursing and rehabilitative care that can only be provided by medical personnel, under the direction of a physician?
Skilled care
In contrasting stock insurers with mutual insurers, which statement is true?
Stock insurers are owned by the shareholders and issue nonparticipating policies
Insureds have the right to do which of the following if they have not received the proper claim forms within 15 days of their notice to the insurer in a major medical policy?
Submit the description in their own words on a plain sheet of paper
If a basic medical insurance plan's benefits are exhausted, what type of plan will then begin covering those losses?
Supplementary major medical
Life insurance can provide which of the following?
Survivor protection
Which of the following are characteristics of term life insurance?
Temporary protection, renewability, no cash value
Which of the following policies would not offer a policy loan option?
Term life insurance
An insurer is attempting to determine the insurability of an applicant and decides to obtain medical information from several different sources. Who must be notified of the investigation?
The applicant
All of the following are true about group life insurance expect?
The employer is the beneficiary of
What happens to the face amount of a whole life policy if the insured reaches the age of 100?
The face amount is paid to the insured
With Adjustable Life, the owner can change all of the following EXCEPT?
The insured
Which of the following statements is incorrect?
The insurer does not have the right to conduct an autopsy
All of the following are characteristics of group health insurance plans except?
The parties that hold a group health insurance contract are the employees and the employer
All of the following are characteristics of a group health insurance plans except?
The parties that hold group health insurance contract are the employees and the employer
The elimination period in a disability income policy is better known as?
The period of time an insured must wait after the onset of an illness or injury before benefit pay out
All of the following statements about indexed whole life insurance are correct except?
The policy face amount remains level throughout the life of the policy
According to the Common Disaster clause, if the insured and primary beneficiary are killed in the same accident and it cannot be determined who died first, which of the following will be assumed?
The primary beneficiary died before the insured
Which of the following is true regarding taxation of accelerated benefits paid under a life insurance policy?
They are received tax free
Medicare is a health insurance program for all of the following individuals except?
Those with low income and low assets
An employee is covered under COBRA. His previous premium payment was $100 per month. His employer now collects $102 each month. Why did he collect an extra $2?
To cover the employers administration costs
What is the purpose of a benefit schedule?
To state what and how much is covered in the plan
An aleatory contract is based on what kind of exchange?
Unequal exchange of values
Which of the following services will not be provided by an HMO?
Unlimited coverage for treatment for drug rehabilitation
An insurer used printed advertisements for their life insurance policies in 2020. The insurers next scheduled examination by the insurance department is in 2023. How long must the insurer keep records of the advertisements?
Until 2024
If the policy summary for a life insurance policy is not given when the application is taken, when must the policy summary be given to the policyowner?
When the policy is delivered
Which of the following is not an indicator of a competent party?
business profession
A producer advises a policyholder that he should replace his life insurance policy with another, similar policy. The agent is advising this, however, for the sole purpose of earning a commission. What violation has the agent committed?
churning
When a whole life policy is surrendered for its nonforfeiture value, what is the automatic option?
extended term