Life insurance

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Under the family, infant, toddler program insurers must provide coverage for children for the first

3 years

The maximum amount that can be contributed to an MSA is what percentage of the family Deductible for those with family coverage?

75%

If a small employer carrier decided to discontinue all plans under a certain class of business, those carriers must provide notice to all insureds and the superintendent within how many days before termination?

90 days

A Straight Life policy has what type of premium?

A level annual premium for the life of the insured

According to the law of agency, a principal is represented by an

Agent

The minimum interest rate on an equity indexed annuity is often based on

An index like standard & poor's 500

Which of the following is not applied toward the deductible under a nonscheduled plan?

Annual dental exam

What must accompany an application for an agents license?

Appointment by insurer

All of the following are requirements of eligibility for social sexually disability income benefits except

Being age 65

In comparison to a policy that uses the accidental means definition. A policy that uses the accidental bodily injury definition would provide a coverage that is

Broader in general

A producer who fails to segregate premium monies from his own personal funds is guilty of?

Commmingling

All of the following actions can be described as twisting except

Explaining to client the advantages of permanent insurance over term and suggesting changing policies

Life insurance death proceeds are

Generally not taxed as income

The death benefit under the universal Life Option B

Gradually increases each year by the amount the the cash value increases

An insured has a modified endowment contract. He wants to withdraw some money in order to pay medical bills. Which of the following is true?

He will have to pay a penalty if he is younger than 59 1/2

Withdrawals from an IRA taken before the applicant reaches age 59 1/2 are subject to

Income taxation and a penalty

All of the following are differences between individual and group health insurance except

Individual insurance does not require medical examinations while group insurance does require medical examinations

What is the benefit of experience rating?

It allows employers with low claims experience to get lower premiums

In modified life policies what happens to the premium?

It is level at the beginning and increases after the first few years

Which of the following is not true regarding the accumulation period of an annuity?

It would not occur in a deferred annuity

The premium of a survivorship policy compared with that of a joint life policy would be

Lower

Which of the following statements doesn't not accurately describe an insurance broker?

None of the above. All are true

An insured has a life insurance policy from a participating company and receives quarterly dividends. He has instructed the company to apply the policy dividends to increase the death benefit. The dividend option that the insured has chosen is called

Paid-up additions

With respect to the consideration clause, which of the following would be considered consideration on the part of the applicant for insurance?

Payment of premium

When an employee is covered under a health reimbursement account changed employers, the HRA

Stays with employer

an association could buy group insurance for its member if it meets all of the following requirements except

The group has at least 50 members

All of the following regulate variable life policies except

The guaranty association

All of the following are true statements regarding the accumulation at interest option except

The interest is not taxable since it remains inside the insurance policy

All of the following are true about variable products except

The premiums are invested in the insurers general account

An HSA holder who is 65 years old decides to use the money in the account for non-health expense. WHich of the following is true?

There will be a tax

Which of the following is not true regarding partial disability?

This is a form of insurance that covers part time workers

An insured is admitted to the hospital for surgery on a herniated disk. The insurance company monitors the treatment and progress in order to make sure that everything proceeds according to the insurer's schedule. This is called

concurrent review

If an insured changes his payment plan from monthly to annually, what happens to the total premium?

decreases

When doing business in this state, an insurance company that is formed under the laws of another state is known as which type of insurer?

foreign

Under the accidental death and dismemberment (AD&D) coverage, what type of benefit will be paid to the beneficiary in the event of the insureds accidental death?

principal sum

For how many days of skilled nursing facility care will medicare pay benefits

100

Which of the following annuity features make it a suitable source of retirement income?

Annuities may provide income the annuitant cannot outlive

In an annuity, the accumulated money is converted into a stream of income during which time period?

Annuitization period

Under which of the following employer provided plans are the benefits taxable to an employee in proportion to the amount of premium paid

Disability income

With the cash refund option, when the annuitant dies, what would the beneficiary receive?

The refund of the original amount minus payments already made

What type of insurance would be used for a return of premium rider?

increasing term

Premium payments for personally owned disability income policies are

not tax deductible

Which of the following types of insurance policies is most commonly used in credit life insurance

Decreasing term

Group disability income insurance premiums paid by the employer are

Deductible by the employer as an ordinary business expense

Which agreement specifies how a business will transfer hands when one of the owners dies or becomes disabled?

Disability Buy-Sell

The purpose of the life and health insurance guaranty association is to

Help to protect policy owners and beneficiaries against financial loss caused by the insolvency of an insurance company

How many days notice must an insurer provide before terminating the appointment of an independent agent?

I80

Which of the following statement regarding HIV testing for life insurance purposes is not true

Insurers are barred from requesting HIV testing

With regard to genetic testing, which of the following is not true?

Insurers cannot use an applicants DNA for underwriting purposes.

A couple receives a set amount of income from their annuity. When the wife dies, the husband no longer receives annuity payments. What type of annuity did the couple buy?

Joint Life

What is the name of the clause that is included in the policy that limits or eliminates the death benefit if the insured dies as a result of war

Military service or war

An insurer wants to obtain information from investigators regarding an applicant for insurance. What must the insurer do in order to legally acquire this information?

Present the insured with a Disclosure authorization notice

Under the accidental death (AD&D) coverage what type of benefit will be paid to the beneficiary in the event of the insured death

Principal sum

An employer has sponsored a qualified retirement plan for its employees where the employer will contribute money whenever a profit is realized. What is this called?

Profit sharing plan

Under which provision can a physician submit claim information prior to providing treatment?

Prospective review

An insured committed suicide one year after his life insurance policy was issued. The insurer will

Refund the premiums paid

In major medical insurance policies, when the insurers share of co insurance reaches a certain amount. The insured is no longer obligated to pay it. This is known as

Stop loss

Which of the following is not covered under plan A in medigap insurance?

The Medicare Part A deductible

All of the following are general requirements for a qualified plan except

The plan must provide an an offset for social security benefits


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