Guaranteed Exam
life insurance can provide which of the following
survivor protection
which of the following statements is INCORRECT regarding group health insurance
each individual must be accepted into or rejected by a group policy
an employee has a flexible spending account with a $5,000 annual benefit this years the employee used $3,000 what would be the amount of the benefit available to the employee next year
$5,000
an annuity has accumulated the cash value of $70,000 of which $30,000 is from premium payments, the annuitant dies during the accumulation phase, the beneficiary will receive
$70,000
S set up an individual retirement account that her employer is now contributing to her employers contributions are not included in her gross income what kind of retirement plan does S have
SEP (simplified employee pension)
all of the following are true regarding the federal fair credit reporting act EXCEPT
reports may be sent to anyone who requests one
what is another term for a health insurance policy subscriber
participant
with adjustable life, the owner can change all of the following EXCEPT
the insured
an insurer must notify the consumer in writing that an investigative consumer report has been requested within how many days of the initial request
3 days
policy loan requests except for loan requests for payments of due premiums may be deferred for a period of up to
6 months
which policy rider added to a disability income policy may requires that a benefit be paid as a "capital" sum
accidental death and dismemberment
what is it called when a doctor accepts the Medicare approved amount
assignment
what must insurance institutions agents and insurancee-dipport organizations implement to ensure the security and confidentiality of policyholder information
comprehensive written information security programs
what advantage does the "recurrent disability" provision provide to the insured under a disability income policy
it eliminates the imposition of a second elimination period for the same disability
what is the difference between a straight life policy and a 20-pay whole life policy
premium payment period
the Guaranteed Insurability Rider allows the owner to purchase additional amounts of life insurance without proof of insurability at all of the following EXCEPT
purchase of a new home
who must keep the records pertaining to insurance transaction for a mandated period of time
the agent or broker
who does the spendthrift clause in a life insurance policy protect
the beneficiary
what happens to the face amount of a whole life policy if the insured reaches the age 100
the face amount is paid to the insured
outlines of coverage delivered upon a Medicare supplement policy application must include all of the following EXCEPT
copy of the insurability clause
which of the following meets the insured's personal needs, and is provided by nonmusical personnel
custodial care
when a whole life policy is surrendered for its nonforfeiture value what is the automatic option
extended term
a married couple wants to include the entire family in their whole life policy under one rider which of the following riders will help them achieve that goal
family term
an insured has a routine exam, blood work, and a follow-up appointment with a specialist. the insured received a bill for each service provided. what type of plan does the insured have
fee of service
which of the following is a correct statement about annuities?
fixed annuities do not provide protection against inflation
an agent holding which of the following types of license will be requires to complete 24 hours of continuing education
health and casualty
which of the following is NOT a component of an insurance policy premium
number of beneficiaries
which dividend option will increase the death benefit
paid-up additions
annuities certain limit the amount paid by the annuity to a certain fixed
period or fixed amount
an employee is covered under COBRA. his previous premium payment was $100 per month. His employer now collect $102 each month. why does the employer collect an extra $2
to cover the employer's administration costs
what is the purpose of a benefit schedule
to state what and how much is covered in the plan
an insurer moved into a new house 10 days ago how many more days does he have to report the address change to the Commission
20
all of the following are reasons for group insurance termination for dependents EXCEPT
the dependent reaches age 21
when the owner of a participating whole life policy uses the dividend to provide more life insurance coverage which of the following dividend options is being used
paid-up addition
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
an insurance agent visits a potential client and explains various types of policies. the customer displays a lack of interest so the agent guarantees higher dividends than he knows would be possible. which term describes what the agent has done
misrepresentation
which of the following is an agreement by a charitable organization to make period payments in fixed dollar amounts payable over one or two lives
charitable gift annuity
an insured bought an insurance policy that requires him to pay $150 in premium on the 15th of each month he then takes an extended vacation and forgets to pay the premium ten days later his policy is still in effect and has not lapsed which policy provision allowed for this
grace period
if the annuitant dies before the annuity start date which of the following is true
the interest is taxable
how often must a vatical settlement broker's license be renewed?
annually
an adjustable life policy can assume the from of
either term or permanent insurance
medicare part B covers all of the following EXCEPT
long-term care services
the human life value approach to determining life insurance needs is based upon which of the following ideas
loss of the breadwinner's income
a new homebuyer wants to purchase a life insurance policy that would protect his family against losing the home should he die before the mortgage was paid. the most inexpensive type of policy that would accomplish this need would be
decreasing term
the Commission may examine all of the following EXCEPT
a life insurance applicant who at any time held a product's license
a whole life policy is surrender for a reduce-paid up policy the cash value in the new policy will
continue to increase
an individual buys a disability policy May 1 with a waiver or premium rider the insured becomes disabled june 1 it is determined the insured is permanently totally disabled on july 1 and he receives his first benefit payment on july 15 when does the waiver of premium provision start
june 1
in order to reinstate a life insurance policy the insured must do all of the following EXCEPT
pay next year's premium in advance
once the initial benefit limit in Medicare Part D is reached how is the beneficiary affected
the beneficiary is then responsible for a portion of prescription drug cost
which of the following is NOT a characteristic of a managed care plan
risk retention
what does the application of contract of adhesion mean
since the insured does not participate in preparing the contract any ambiguities would be resolved in favor of the insured
a limited health insurance policy that will pay a lump sum to an insured diagnosed with a heart attack stroke or renal failure is known as
critical illness insurance
regarding health insurance all of the following are tax-deductible EXCEPT
employee paid group disability income
what type of an interest rate is guaranteed in universal life policies
contract interest rate
all of the following are true of a non qualified deferred compensation plan EXCEPT
contributions are tax deductible
all of the following statements are goals of TRICARE EXCEPT
create a more limited system of health care
all of the following health insurance disability benefits are income tax free EXCEPT
employer-paid group disability
which of the following used to be called Medicare + Choice plans
medicare advantage plans
cash value guarantees in a whole life policy are called
nonforfeiture values
which entity has the option of including optional provisions in a health insurance policy
the insurer
under the mandatory uniform provision "notice of claim" written notice of a claim must be submitted to the insurer within what time parameters
within 20 days
an employee dies having 6 quarters of coverage during the previous 13-quarter period. what status of coverage does the employee have under Social Security
currently insured
which of the following statement is incorrect
Medicare and Medigap policies provide coverage for long-term custodial or nursing home care
Medicare Part A service do NOT include which of the following
Private duty nursing
which of the following statements is NOT true regarding health insurance policy provisions
all additional provisions written by insurers are cataloged by their respective states
life insurance creates an immediate estate. which of the following best explains this statement
the face value of the policy is payable to beneficiary upon the death of the insured
an employee that becomes ineligible for group coverage because of termination of employment or change in status must exercise extension of benefits under COBRA
within 60 days