New Jersey Life and Health Final Exam
Questions and Guide Answers
100% Verified Graded A+
1. Which type of long-term care benefit would be most appropriate for a stroke
victim who requires speech therapy administered at her home?
Answer: Home health care
2. Which of the following is NOT a federal requirement of a qualified plan?
Answer: Em- ployee must be able to make unlimited contributions
3. Why are dividends from a mutual insurer not subject to taxation?
Answer: Because dividends are considered to be a return of premium
4. The treasurer of XYZ Insurance Company discovers that the treasurer's
company is being investigated by the Banking and Insurance Commission-
er...
Answer: Making false financial statements
,5. Which type of rider will waive the premium on a child's life insurance policy
if the parent paying the premium dies?
Answer: Payor benefit
6. Which of these premium payment frequencies is not typically available to a
policy owner?
Answer: Bi-weekly
7. Maria the agent would like to advertise an annuity product on a highway
billboard. Which of the following must be included in the advertisement?
Answer: Her name
8. Which disability policy provision would address any concerns of the value of
the benefits decreasing over time?
Answer: Cost of living benefit
9. Which of these is NOT a characteristic of the Accelerated Death Benefit
option?
Answer: The benefit can be ottered as a rider at a specific extra cost or may be at no cost
10. All of the following are included as part of a contract in the entire contract
provision EXCEPT the
Answer: Changes made by the producer
,11. The power given to an individual producer that is not specifically addressed
in his/her contract is considered what type of authority?
Answer: Implied
12. Pat is insured with a life insurance policy and Karen is his primary beneficia-
ry. They are both involved in an automobile accident where Pat dies instantly
and Karen dies 5 days later...
Answer: Common disaster clause
13. Key Person Disability Insurance pays benefits to the
Answer: Employer
14. Under a disability income policy, which provision would be payable if the
cause of an injury is unexpected and accidental?
Answer: Accidental bodily injury provision
15. What will the beneficiary receive if an annuitant dies during the accumula-
tion period?
Answer: The greater of the accumulated cash value or the total premium paid
, 16. Written notice for a health claim must be given to the insurer days after
the occurrence of the loss.
Answer: 20
17. Craig submits a $500 claim for medical expenses. With a past due premium
of $100, the insurer pays $400. Which of the Uniform Optional Provisions
covers this situation?
Answer: Unpaid premium
18. How many employees must an employer have for a terminated employee
to be eligible for COBRA?
Answer: 20
19. A licensed producer is required to file notice of any change of address within
how many days?
Answer: 30
20. Advertising material for a life insurance policy does NOT need to contain
which of the following?
Answer: Agent's commission rate
21. What is the maximum fine for a producer violating a New Jersey Insurance
law for the first time?
Questions and Guide Answers
100% Verified Graded A+
1. Which type of long-term care benefit would be most appropriate for a stroke
victim who requires speech therapy administered at her home?
Answer: Home health care
2. Which of the following is NOT a federal requirement of a qualified plan?
Answer: Em- ployee must be able to make unlimited contributions
3. Why are dividends from a mutual insurer not subject to taxation?
Answer: Because dividends are considered to be a return of premium
4. The treasurer of XYZ Insurance Company discovers that the treasurer's
company is being investigated by the Banking and Insurance Commission-
er...
Answer: Making false financial statements
,5. Which type of rider will waive the premium on a child's life insurance policy
if the parent paying the premium dies?
Answer: Payor benefit
6. Which of these premium payment frequencies is not typically available to a
policy owner?
Answer: Bi-weekly
7. Maria the agent would like to advertise an annuity product on a highway
billboard. Which of the following must be included in the advertisement?
Answer: Her name
8. Which disability policy provision would address any concerns of the value of
the benefits decreasing over time?
Answer: Cost of living benefit
9. Which of these is NOT a characteristic of the Accelerated Death Benefit
option?
Answer: The benefit can be ottered as a rider at a specific extra cost or may be at no cost
10. All of the following are included as part of a contract in the entire contract
provision EXCEPT the
Answer: Changes made by the producer
,11. The power given to an individual producer that is not specifically addressed
in his/her contract is considered what type of authority?
Answer: Implied
12. Pat is insured with a life insurance policy and Karen is his primary beneficia-
ry. They are both involved in an automobile accident where Pat dies instantly
and Karen dies 5 days later...
Answer: Common disaster clause
13. Key Person Disability Insurance pays benefits to the
Answer: Employer
14. Under a disability income policy, which provision would be payable if the
cause of an injury is unexpected and accidental?
Answer: Accidental bodily injury provision
15. What will the beneficiary receive if an annuitant dies during the accumula-
tion period?
Answer: The greater of the accumulated cash value or the total premium paid
, 16. Written notice for a health claim must be given to the insurer days after
the occurrence of the loss.
Answer: 20
17. Craig submits a $500 claim for medical expenses. With a past due premium
of $100, the insurer pays $400. Which of the Uniform Optional Provisions
covers this situation?
Answer: Unpaid premium
18. How many employees must an employer have for a terminated employee
to be eligible for COBRA?
Answer: 20
19. A licensed producer is required to file notice of any change of address within
how many days?
Answer: 30
20. Advertising material for a life insurance policy does NOT need to contain
which of the following?
Answer: Agent's commission rate
21. What is the maximum fine for a producer violating a New Jersey Insurance
law for the first time?
