NY LAH EXAM Q&A
The type of policy that can be changed from one that does not accumulate cash value
to the one that does is a... - ANSWER -Convertible Term Policy
What type of policy contains a coverage that is only activated upon the insured's losses
reaching a certain level? - ANSWER -Partially funded plan
An independent adjuster may include which of the following? - ANSWER -A firm who
acts on behalf of the insurer
In a shared-care policy, the benefits of 2 LTC policies.... - ANSWER -Are split between
the couple who signed the contract
Under the Fair Credit Reporting Act, if a consumer challenges the accuracy of the
information contained in a consumer or investigative report, the reporting agency must -
ANSWER -Respond to the consumer's complaint.
Health plan metal classes - ANSWER -Platinum = 90%
Gold = 80%
Silver = 70%
Bronze = 60%
Which of the following is NOT true regarding the needs approach method of determining
the value of an individual's life? - ANSWER -Need is predicted using the number of
years until the insured's retirement
If an applicant for a life insurance policy and person to be insured by the policy are two
different people, the underwriter would be concerned about - ANSWER -Whether an
insurable interest exists between the individuals
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? -
ANSWER -Profit sharing plan
An insured carries health insurance with two different providers and is covered on an
expense incurred basis. He has an appendectomy and files the claims to both insurers.
Neither company is notified in advance that the insurer has other coverage. What
should each insurer pay? - ANSWER -A proportionate amount
OBRA requires which disease to be covered by an employer for 30 months before
Medicare becomes the primary mode of coverage? - ANSWER -End-stage renal failure
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? - ANSWER -Foreign
, An individual purchased a Medicare supplement policy in March and decided to replace
it 2 months later. His history of coronary artery disease is considered a pre-existing
condition. Which of the following is true? - ANSWER -The pre-existing condition waiting
period fulfilled in the old policy will be transferred to the new policy, the new one picking
up where the old one left off.
If a hearing is scheduled for a producer who has violated regulations regarding unfair
trade practices, the Superintendent must send a prior notice within how many days of
the hearing? - ANSWER -10 days
Which of the following is TRUE regarding variable annuities? - ANSWER -The funds are
invested in the company's general account
When must an IRA be completely distributed when a beneficiary is not named? -
ANSWER -December 31 of the year that contains the fifth anniversary of the owner's
death
Which state has jurisdiction over a group policy that covers individuals that reside in
more than one state? - ANSWER -The state in which the policy was delivered
In which of the following scenarios will repayment of funds take place per the Medicaid
Estate Recovery Act? - ANSWER -Before her death, a 23-year-old was living in a long-
term nursing facility paid for with Medicaid funds
If a contract provides a set amount of income for two or more persons with the income
stopping upon the first death of the insured, it is called a... - ANSWER -Joint life annuity
Under a 20-pay whole life policy, in order for the policy to pay the death benefit to a
beneficiary, the premiums must be paid - ANSWER -For 20 vears or until death,
whichever occurs first
The type of insurance sold to a debtor and designed to pay the amount due on a loan if
the debtor dies before the loan is repaid is called - ANSWER -Credit life
A small business owner is the insured under a disability policy that funds a buy-sell
agreement. If the owner dies or becomes disabled, the policy would provide which of
the following? - ANSWER -Cash to the owner's business partner to accomplish a buyout
A policyowner is reading a statement on the first page of his health insurance policy,
which says "this is a limited policy." What is the name of this statement? - ANSWER -
Limited Policy Notice
In which Medicare supplemental policies are the core benefits found? - ANSWER -All
plans
The type of policy that can be changed from one that does not accumulate cash value
to the one that does is a... - ANSWER -Convertible Term Policy
What type of policy contains a coverage that is only activated upon the insured's losses
reaching a certain level? - ANSWER -Partially funded plan
An independent adjuster may include which of the following? - ANSWER -A firm who
acts on behalf of the insurer
In a shared-care policy, the benefits of 2 LTC policies.... - ANSWER -Are split between
the couple who signed the contract
Under the Fair Credit Reporting Act, if a consumer challenges the accuracy of the
information contained in a consumer or investigative report, the reporting agency must -
ANSWER -Respond to the consumer's complaint.
Health plan metal classes - ANSWER -Platinum = 90%
Gold = 80%
Silver = 70%
Bronze = 60%
Which of the following is NOT true regarding the needs approach method of determining
the value of an individual's life? - ANSWER -Need is predicted using the number of
years until the insured's retirement
If an applicant for a life insurance policy and person to be insured by the policy are two
different people, the underwriter would be concerned about - ANSWER -Whether an
insurable interest exists between the individuals
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? -
ANSWER -Profit sharing plan
An insured carries health insurance with two different providers and is covered on an
expense incurred basis. He has an appendectomy and files the claims to both insurers.
Neither company is notified in advance that the insurer has other coverage. What
should each insurer pay? - ANSWER -A proportionate amount
OBRA requires which disease to be covered by an employer for 30 months before
Medicare becomes the primary mode of coverage? - ANSWER -End-stage renal failure
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? - ANSWER -Foreign
, An individual purchased a Medicare supplement policy in March and decided to replace
it 2 months later. His history of coronary artery disease is considered a pre-existing
condition. Which of the following is true? - ANSWER -The pre-existing condition waiting
period fulfilled in the old policy will be transferred to the new policy, the new one picking
up where the old one left off.
If a hearing is scheduled for a producer who has violated regulations regarding unfair
trade practices, the Superintendent must send a prior notice within how many days of
the hearing? - ANSWER -10 days
Which of the following is TRUE regarding variable annuities? - ANSWER -The funds are
invested in the company's general account
When must an IRA be completely distributed when a beneficiary is not named? -
ANSWER -December 31 of the year that contains the fifth anniversary of the owner's
death
Which state has jurisdiction over a group policy that covers individuals that reside in
more than one state? - ANSWER -The state in which the policy was delivered
In which of the following scenarios will repayment of funds take place per the Medicaid
Estate Recovery Act? - ANSWER -Before her death, a 23-year-old was living in a long-
term nursing facility paid for with Medicaid funds
If a contract provides a set amount of income for two or more persons with the income
stopping upon the first death of the insured, it is called a... - ANSWER -Joint life annuity
Under a 20-pay whole life policy, in order for the policy to pay the death benefit to a
beneficiary, the premiums must be paid - ANSWER -For 20 vears or until death,
whichever occurs first
The type of insurance sold to a debtor and designed to pay the amount due on a loan if
the debtor dies before the loan is repaid is called - ANSWER -Credit life
A small business owner is the insured under a disability policy that funds a buy-sell
agreement. If the owner dies or becomes disabled, the policy would provide which of
the following? - ANSWER -Cash to the owner's business partner to accomplish a buyout
A policyowner is reading a statement on the first page of his health insurance policy,
which says "this is a limited policy." What is the name of this statement? - ANSWER -
Limited Policy Notice
In which Medicare supplemental policies are the core benefits found? - ANSWER -All
plans
