ALABAMA LIFE HEALTH INSURANCE
COMPREHENSIVE UPDATED QUESTIONS AND
ANSWERS SURE A+
✔✔All of the following statements regarding an insurance application are correct,
except: - ✔✔It is not included as part of the contract
Correct:
It is a formal written request by an applicant to an insurer requesting a policy
It is the primary source of information for underwriting purposes
It must be signed by at least the applicant and producer
✔✔If a policy was issued at a higher premium due to a higher risk exposure, all of the
following can be used to reflect the higher risk, except: - ✔✔Declined
✔✔Information about an applicant's work behavior or character gathered from
neighbors or co-workers would be included on an? - ✔✔Inspection Report
,✔✔Timothy owns an individual A&H policy, and in the event of an accident, he is
required to prove only that the injury itself is unforeseen and unintended. Tim's policy is
based on which of the following definitions of accident? - ✔✔Accidental Bodily Injury
✔✔If the insurer issues a health insurance policy without an initial premium, the
producer must obtain a signed: - ✔✔Statement of Good Health
✔✔Comprehensive dental plans usually provide: - ✔✔Routine dental care services
without deductibles or coinsurance
✔✔Which of the following is NOT a common exclusion for a dental expense policy? -
✔✔The preventative care exclusion
Common Exclusions:
The 5-year replacement exclusion
The missing tooth exclusion
The cosmetic exclusion
✔✔Under a credit health policy, what is the maximum amount of any accidental death
benefit included? - ✔✔The amount of outstanding indebtedness at any given time
✔✔Dental policies that limit benefits to specified maximums per procedure, with first
dollar coverage are: - ✔✔Scheduled: policies provide first dollar coverage, but limit
benefits to specified maximums per procedure.
✔✔A policy that pays surgical expense benefits does not schedule the approved benefit
payable for every type of surgery. Instead, surgeries not listed are paid on the basis of a
comparison to one or more types of commonly-performed major surgeries that are
scheduled. Under this arrangement, the unscheduled surgeries are paid on the basis of:
- ✔✔Their relative value
✔✔Which of the following statements is FALSE regarding credit health insurance? -
✔✔Credit health insurance operates like an HMO and provides death benefit protection
regardless of the cause of death
✔✔Which provision allows medical expenses from the last 3 months of a calendar year
to be used during the next calendar year to meet a deductible? - ✔✔Carryover provision
✔✔For nonroutine treatments, a comprehensive policy generally pays: - ✔✔A specified
percentage of the reasonable and customary charges
, ✔✔A certain major medical policy states a maximum number of days for which
convalescent care will be paid as well as a maximum number of X-rays that will be paid
for under any one claim. These are examples of: - ✔✔Inside Limits
The limits sometimes placed on specific coverages in a major medical policy are called
inside or internal limits. These limits resemble scheduled benefits, as to the fact that
they are stated in the policy as either maximum lifetime limits or limits per policy period.
Either way they are stated inside the policy.
✔✔Which of the following is true about a policy that pays for room and board expenses
on a indemnity basis? - ✔✔The policy pays a specified, pre-established amount per day
for a maximum number of days
✔✔Before Cranston was disabled, he was a full time engineer earning about $70,000
annually. Now, two years later, he is able to work part-time, earning about $25,000
annually. It is likely that Cranston would be classified as: - ✔✔Partially Disabled
✔✔As compared to individual disability income policies, group disability income policies
are generally: - ✔✔Less costly and have more liberal provisions
✔✔Which of the following is NOT one of the categories of benefits incorporated by
State Workers' Compensation Laws? - ✔✔Long-term care coverage
All state Workers' Compensation laws incorporate for categories of benefits: disability
(loss of income), benefits, medical bills, survivor (death) benefits, and rehabilitation
benefits. No long-term care coverage applies.
✔✔Under Workers' Compensation, a disability that is a permanent physical impairment
leaving the individual incapable of performing the previous regular occupation, but
capable of performing some other type of work, is a: - ✔✔Permanent partial disability
✔✔What type of disability income policies are most likely used to cover only
nonoccupational disability as opposed to both occupational and nonoccupational? -
✔✔Short-term disability policies
✔✔Social Security disability benefits become available to eligible workers after a waiting
period of: - ✔✔5 months
✔✔In Individual Disability Income underwriting, the single most important rating factor
from an underwriting standpoint is the applicant's: - ✔✔Occupation
✔✔Under a Key Employee Disability Income Policy, the employer is the: - ✔✔Policy
Owner
COMPREHENSIVE UPDATED QUESTIONS AND
ANSWERS SURE A+
✔✔All of the following statements regarding an insurance application are correct,
except: - ✔✔It is not included as part of the contract
Correct:
It is a formal written request by an applicant to an insurer requesting a policy
It is the primary source of information for underwriting purposes
It must be signed by at least the applicant and producer
✔✔If a policy was issued at a higher premium due to a higher risk exposure, all of the
following can be used to reflect the higher risk, except: - ✔✔Declined
✔✔Information about an applicant's work behavior or character gathered from
neighbors or co-workers would be included on an? - ✔✔Inspection Report
,✔✔Timothy owns an individual A&H policy, and in the event of an accident, he is
required to prove only that the injury itself is unforeseen and unintended. Tim's policy is
based on which of the following definitions of accident? - ✔✔Accidental Bodily Injury
✔✔If the insurer issues a health insurance policy without an initial premium, the
producer must obtain a signed: - ✔✔Statement of Good Health
✔✔Comprehensive dental plans usually provide: - ✔✔Routine dental care services
without deductibles or coinsurance
✔✔Which of the following is NOT a common exclusion for a dental expense policy? -
✔✔The preventative care exclusion
Common Exclusions:
The 5-year replacement exclusion
The missing tooth exclusion
The cosmetic exclusion
✔✔Under a credit health policy, what is the maximum amount of any accidental death
benefit included? - ✔✔The amount of outstanding indebtedness at any given time
✔✔Dental policies that limit benefits to specified maximums per procedure, with first
dollar coverage are: - ✔✔Scheduled: policies provide first dollar coverage, but limit
benefits to specified maximums per procedure.
✔✔A policy that pays surgical expense benefits does not schedule the approved benefit
payable for every type of surgery. Instead, surgeries not listed are paid on the basis of a
comparison to one or more types of commonly-performed major surgeries that are
scheduled. Under this arrangement, the unscheduled surgeries are paid on the basis of:
- ✔✔Their relative value
✔✔Which of the following statements is FALSE regarding credit health insurance? -
✔✔Credit health insurance operates like an HMO and provides death benefit protection
regardless of the cause of death
✔✔Which provision allows medical expenses from the last 3 months of a calendar year
to be used during the next calendar year to meet a deductible? - ✔✔Carryover provision
✔✔For nonroutine treatments, a comprehensive policy generally pays: - ✔✔A specified
percentage of the reasonable and customary charges
, ✔✔A certain major medical policy states a maximum number of days for which
convalescent care will be paid as well as a maximum number of X-rays that will be paid
for under any one claim. These are examples of: - ✔✔Inside Limits
The limits sometimes placed on specific coverages in a major medical policy are called
inside or internal limits. These limits resemble scheduled benefits, as to the fact that
they are stated in the policy as either maximum lifetime limits or limits per policy period.
Either way they are stated inside the policy.
✔✔Which of the following is true about a policy that pays for room and board expenses
on a indemnity basis? - ✔✔The policy pays a specified, pre-established amount per day
for a maximum number of days
✔✔Before Cranston was disabled, he was a full time engineer earning about $70,000
annually. Now, two years later, he is able to work part-time, earning about $25,000
annually. It is likely that Cranston would be classified as: - ✔✔Partially Disabled
✔✔As compared to individual disability income policies, group disability income policies
are generally: - ✔✔Less costly and have more liberal provisions
✔✔Which of the following is NOT one of the categories of benefits incorporated by
State Workers' Compensation Laws? - ✔✔Long-term care coverage
All state Workers' Compensation laws incorporate for categories of benefits: disability
(loss of income), benefits, medical bills, survivor (death) benefits, and rehabilitation
benefits. No long-term care coverage applies.
✔✔Under Workers' Compensation, a disability that is a permanent physical impairment
leaving the individual incapable of performing the previous regular occupation, but
capable of performing some other type of work, is a: - ✔✔Permanent partial disability
✔✔What type of disability income policies are most likely used to cover only
nonoccupational disability as opposed to both occupational and nonoccupational? -
✔✔Short-term disability policies
✔✔Social Security disability benefits become available to eligible workers after a waiting
period of: - ✔✔5 months
✔✔In Individual Disability Income underwriting, the single most important rating factor
from an underwriting standpoint is the applicant's: - ✔✔Occupation
✔✔Under a Key Employee Disability Income Policy, the employer is the: - ✔✔Policy
Owner
