health insurance
How many hours of CE must be completed every 2 years?
24 total hours, including 8 hours approved for the line of license that the producer holds in the line of license.
a producer moved into a new house 5 days ago. how much more time does he have the address change to the DOI?
25 days
Within how many days of requesting an investigative consumer report must an insurer notify the consumer in writing that the report will be obtained?
3 days
Once the director issues a cease-and-desist order, how soon must an insurer comply with the order?
30 Days
how soon must nonresident producers notify this state's director of change of address?
30 days
the sole proprietor of a business makes a total salary of 50000 a year. this year, his medical expenses have reached a total of 75000. what amount may the sole proprietor deduct in regards to his medical expenses?
50000
unreimbursed medical expenses paid for the insured may be claimed as deductions if the expenses exceed what percentage of the adjusted gross income?
7.5
before being issued a license, applicants must submit which of the following to the director as part of background check?
A complete set of fingerprints
an insured is the recipient of an accidental death and dismemberment (ad&d) policy purchased by his employer. the policy pays triple indemnity in case of accidental death. if the insured died as a result of an accident stipulated in the policy, how will the benefits paid be taxed?
Benefits received are considered income tax free.
an insurance company assures its new policyholders that their premium costs will not increase for a period of at least five years. However, due to increasing financial strain, they plan to raise premiums costs for all insureds by 10% over the next two years. what best describes this act
Fraud
Under the Fair Credit Reporting Act, individuals rejected for insurance due to information contained in a consumer report
Must be informed of the source of the report
All of the following are true of the insurance fraud act EXCEPT
Requires reports of insurance fraud to be available for public inspection.
In forming an insurance contract when does acceptance usually occur?
When an insurer's underwriter approves coverage
an individual producer license must contain all of the following EXCEPT
any punitive measures taken against the licensee
how can LTC benefits be received tax free by an individual?
in any case, benefits are received tax free
in an individual long-term insurance plan, the insured is able to deduct the premiums from taxes. what income taxation will be imposed on the benefits received?
no tax
premium for personally-owned disability income are
not tax deductible
which of the following is correct regarding the taxation of group medical expense premiums and benefits?
premiums are tax deductible and benefits are not taxed
what percentage of individually-owned disability income benefits is taxable
0%
For group medical and dental expense insurance, what percentage of premium paid by the employer is deductible as a business expense?
100%
S is a sole business proprietor who owns a medical expense plan. What percentage of the cost of the plan may he deduct?
100%
what is the minimum age requirement for an insurance producer in this state?
18
If a consumer requests additional information concerning an investigative consumer report, how long does the insurer or reporting agency have to comply?
5 days
Avoidance
A risk control technique that involves ceasing or never undertaking an activity so that the possibility of a future loss occurring from that activity is eliminated.
The concept that the insured pays a small amount of premium for a large amount of risk on the park of the insurance company?
Aleatory
if an insurance company wishes to order wishes to order a consumer report on an applicant in the underwriting process, and if a notice of insurance information practices has been provided, the report may contain all of the following information EXECPT the applicant's
Ancestry
Who is an insurance producer?
Any person licensed to sell, solicit or negotiate insurance
all of the following are minimum requirements to be licensed as producer in South Carolina EXCEPT
Be registered voter in South Carolina
The authorities that an agent can hold?
Express and implied
The authority granted to an agent through the agent's contract is referred to as
Express authority
An applicant is denied insurance because of information found on a consumer report. Which of the following requires that the insurance company supply the applicant with the name and address of the consumer reporting company?
Fair credit reporting act
Adhesion
Insurance policies that are not drawn up through negotiations, and an insured has little to say about its provisions.
What is the major difference between a stock company and a mutual company?
Ownership. Mutual companies are owned by policyholders Stock are owned by stockholders
which of the following describes taxation of individual disability income insurance premiums and benefits?
Premiums are not tax deductible, and benefits are not taxable.
an insurance producer has not been appointed to an insurance company. who is the producer considered to represent?
The client
Another term for authorized insurer
admitted
under which condition would an employee group medical benefits be exempt from income tax?
an employee's group medical benefit are generally exempt from taxation as income
concerning group medical and dental insurance which of the following statements is INCORRECT
employee benefits are tax deductible the year in which they were received
which of the following is true regarding the taxation of the premium in group accidental death and dismemberment policies?
it is deductible as an ordinary business expense
When may an insured deduct unreimbursed medical expenses paid under a long-term care policy?
when the expenses exceed a certain percentage of the insured's adjusted gross income.
which of the following determines whether disability insurance benefits are taxed?
whether the premiums were tax deductible