NJ Health and Accident Exam Review
Questions with 100% Correct Answers
Verified by Experts A+ GRADE
1. In what form do disability income policies typically pay benefits
Answer: Periodic income
2. The Mandatory health policy provision states that the policy, including en-
dorsements and attached papers, constitutes
Answer: The entire insurance contract between the parties
3. The entire contract includes the actual policy and the
Answer: application
4. employer sponsored group health insurance provides coverage for which of
the following
Answer: Alcoholism
5. The term which describes the fact that both parties of a contract may not
receive the same value is referred to as
,Answer: Aleatory
6. Tom has a home health care benefit and is confined to his home. Which of
these is NOT typically covered
Answer: Full-time nursing care
7. A Medicare Supplement policy can be cancelled by the insurer for
Answer: Nonpayment
8. Credit Accident and Health plans are designed to
Answer: help pay ott existing loans during periods of disability
9. A payment system for health care in which the provider is paid for each
service given is called
Answer: fee-for-service
10. An insurance company ONLY pay a sales commission to
Answer: individuals licensed by the state
11. Ken is a producer who has obtained Consumer Information Reports under
false pretenses. Under the Fair Credit Reporting Act, what is the maximum
penalty that may be imposed on Ken?
Answer: $5000 and 1 year imprisonment
12. A closed network plan offers a primary physician copay of $25. If a sub-
, scriber chooses a primary care physician outside of the network, the sub-
scriber will likely pay
Answer: 100% of the billed amount
13. What is the maximum fine for a producer violating an NJ insurance law for
the first time?
Answer: $5000
14. A licensed producer is required to file notice to any changes of address
within how many days
Answer: 30 days
15. Jonas has disability insurance through his employer. The employer pays
75% of the premium, and Jonas pays the other 25%. What is Jonas's tax liability
for any benefits paid from the disability plan?
Answer: Taxes must be paid on 75% of the benefits received
Questions with 100% Correct Answers
Verified by Experts A+ GRADE
1. In what form do disability income policies typically pay benefits
Answer: Periodic income
2. The Mandatory health policy provision states that the policy, including en-
dorsements and attached papers, constitutes
Answer: The entire insurance contract between the parties
3. The entire contract includes the actual policy and the
Answer: application
4. employer sponsored group health insurance provides coverage for which of
the following
Answer: Alcoholism
5. The term which describes the fact that both parties of a contract may not
receive the same value is referred to as
,Answer: Aleatory
6. Tom has a home health care benefit and is confined to his home. Which of
these is NOT typically covered
Answer: Full-time nursing care
7. A Medicare Supplement policy can be cancelled by the insurer for
Answer: Nonpayment
8. Credit Accident and Health plans are designed to
Answer: help pay ott existing loans during periods of disability
9. A payment system for health care in which the provider is paid for each
service given is called
Answer: fee-for-service
10. An insurance company ONLY pay a sales commission to
Answer: individuals licensed by the state
11. Ken is a producer who has obtained Consumer Information Reports under
false pretenses. Under the Fair Credit Reporting Act, what is the maximum
penalty that may be imposed on Ken?
Answer: $5000 and 1 year imprisonment
12. A closed network plan offers a primary physician copay of $25. If a sub-
, scriber chooses a primary care physician outside of the network, the sub-
scriber will likely pay
Answer: 100% of the billed amount
13. What is the maximum fine for a producer violating an NJ insurance law for
the first time?
Answer: $5000
14. A licensed producer is required to file notice to any changes of address
within how many days
Answer: 30 days
15. Jonas has disability insurance through his employer. The employer pays
75% of the premium, and Jonas pays the other 25%. What is Jonas's tax liability
for any benefits paid from the disability plan?
Answer: Taxes must be paid on 75% of the benefits received
