PSI: LIFE, ACCIDENT, AND
HEALTH PRACTICE EXAM
QUESTIONS AND ANSWERS
UPDATED 2026-2027
UnderBtheBmisstatementBofBageBorBgenderBprovision,BwhatBhappensBifBitBisBdetermin
edBatBdeathBthatBtheBinsured'sBageBorBgenderBwasBmisstatedBonBaBlifeBinsuranceBpo
licyBapplication?B-
BAnswerBBenefitsBareBadjustedBtoBanBamountBthatBtheBpremiumBwouldBhaveBpurcha
sedBatBtheBcorrectBageBorBgender.
WhichBofBtheBfollowingBmustBbeBgivenBtoBtheBinsurerBwithinB20BdaysBafterBoccurren
ceBorBcommencementBofBanyBlossBcoveredBbyBtheBpolicy,BorBasBthereafterBasBisBreas
onablyBpossible?B-BAnswerBNoticeBofBclaim.
WhenBwillBaBpolicyBpayBonBaBUCRBbasis?B-
BAnswerBWhenBparticularBbenefitsBareBnotBlistedBonBaBpaymentBschedule.
AllBofBtheBfollowingBareBnon-forfeitureBoptionsBEXCEPTB-
BAnswerBCashBdividendBoption.
WhatBhappensBwhenBtheBlifetimeBmaximumBbenefitBlimitBhasBbeenBreached?B-
BAnswerBTheBinsuredBwillBpayBallBofBtheBremainingBmedialBcostsBforBasBlongBasBthe
BpolicyBisBinBforce.
WhoseBresponsibilityBisBitBtoBmakeBsureBthatBtheBcompanyBisBnotifiedBofBaBdeathBcl
aimBatBtheBearliestBpossibleBopportunityB(inBmostBcases)?B-BAnswerBTheBproducer.
WhatBisBtheBwaiverBofBpremiumBprovision?B-
BAnswerBInBaBlongBtermBcareBcontract,BtheBpremiumBisBwaivedBafterBtheBinsuredBha
sBbeenBconfinedBforBaBspecificBperiodBofBtime.
, AllBofBtheBfollowingBareBcommonBexclusionsBfromBlossBfoundBinBdisabilityBincomeBpol
iciesBEXCEPTBforBthatBincurredBwhile?B-BAnswerBCommittingBaBmisdemeanor
WhichBisBaBdisadvantageBtoBaBflexibleBpremiumBannuity?B-
BAnswerBTheBactualBamountBofBtheBannuityBbenefitBcannotBbeBdeterminedBinBadvan
ce.
WhatBdoesBconinsuranceBmean?B-
BAnswerBTheBinsurerBandBtheBinsuredBshareBexpensesBoverBtheBdeductible.
UnderBnormalBconditionsBwhichBofBtheBfollowingBisBTRUEBforBproofBofBlossBwhenBaB
singleBlossBisBclaimed?B-
BAnswerBTheBinsuredBhasB90BdaysBfromBtheBdateBofBlossBtoBprovideBproofBofBloss.
WhichBoneBofBtheBfollowingBrepresentsBanBadvantageBofBobtainingBaBpolicyBloanBvers
usBaBwithdrawal?B-
BAnswerBTheBloanBisBnotBtaxedBwhileBaBwithdrawalBisBtaxedBforBamountsBaboveBthe
BcontractBcostBbasis.
AllBofBtheBfollowingBstatementsBdefineBpreexistingBconditionsBEXCEPT?B-
BAnswerBAnyBchronicBhealthBconditionBthatBpresentsBsymptomsBandBwhichBwasBunkn
ownBatBtheBtimeBofBapplication.
WhichBisBtheBdifferenceBbetweenBparticipatingBandBnon-participating?B-
BAnswerBParticipatingBpoliciesBpayBdividendsBwhileBnon-participatingBpoliciesBdoBnot.
HowBdoesBtheBperBcaptiaBruleBapplyBtoBproceedsBfromBaBlifeBinsuranceBpolicy?B-
BAnswerBTheBproceedsBareBdividedBequallyBamongBlivingBprimaryBbeneficiaries.
HowBdoesBaBnoncancelableBpolicyBdifferBfromBaBguaranteedBrenewableBpolicy?B-
BAnswerBWithBtheBnoncancelableBpolicyBtheBinsurerBmayBincreaseBpremiumsBonlyBba
sedBonBtheBtermsBofBtheBpolicy.
HEALTH PRACTICE EXAM
QUESTIONS AND ANSWERS
UPDATED 2026-2027
UnderBtheBmisstatementBofBageBorBgenderBprovision,BwhatBhappensBifBitBisBdetermin
edBatBdeathBthatBtheBinsured'sBageBorBgenderBwasBmisstatedBonBaBlifeBinsuranceBpo
licyBapplication?B-
BAnswerBBenefitsBareBadjustedBtoBanBamountBthatBtheBpremiumBwouldBhaveBpurcha
sedBatBtheBcorrectBageBorBgender.
WhichBofBtheBfollowingBmustBbeBgivenBtoBtheBinsurerBwithinB20BdaysBafterBoccurren
ceBorBcommencementBofBanyBlossBcoveredBbyBtheBpolicy,BorBasBthereafterBasBisBreas
onablyBpossible?B-BAnswerBNoticeBofBclaim.
WhenBwillBaBpolicyBpayBonBaBUCRBbasis?B-
BAnswerBWhenBparticularBbenefitsBareBnotBlistedBonBaBpaymentBschedule.
AllBofBtheBfollowingBareBnon-forfeitureBoptionsBEXCEPTB-
BAnswerBCashBdividendBoption.
WhatBhappensBwhenBtheBlifetimeBmaximumBbenefitBlimitBhasBbeenBreached?B-
BAnswerBTheBinsuredBwillBpayBallBofBtheBremainingBmedialBcostsBforBasBlongBasBthe
BpolicyBisBinBforce.
WhoseBresponsibilityBisBitBtoBmakeBsureBthatBtheBcompanyBisBnotifiedBofBaBdeathBcl
aimBatBtheBearliestBpossibleBopportunityB(inBmostBcases)?B-BAnswerBTheBproducer.
WhatBisBtheBwaiverBofBpremiumBprovision?B-
BAnswerBInBaBlongBtermBcareBcontract,BtheBpremiumBisBwaivedBafterBtheBinsuredBha
sBbeenBconfinedBforBaBspecificBperiodBofBtime.
, AllBofBtheBfollowingBareBcommonBexclusionsBfromBlossBfoundBinBdisabilityBincomeBpol
iciesBEXCEPTBforBthatBincurredBwhile?B-BAnswerBCommittingBaBmisdemeanor
WhichBisBaBdisadvantageBtoBaBflexibleBpremiumBannuity?B-
BAnswerBTheBactualBamountBofBtheBannuityBbenefitBcannotBbeBdeterminedBinBadvan
ce.
WhatBdoesBconinsuranceBmean?B-
BAnswerBTheBinsurerBandBtheBinsuredBshareBexpensesBoverBtheBdeductible.
UnderBnormalBconditionsBwhichBofBtheBfollowingBisBTRUEBforBproofBofBlossBwhenBaB
singleBlossBisBclaimed?B-
BAnswerBTheBinsuredBhasB90BdaysBfromBtheBdateBofBlossBtoBprovideBproofBofBloss.
WhichBoneBofBtheBfollowingBrepresentsBanBadvantageBofBobtainingBaBpolicyBloanBvers
usBaBwithdrawal?B-
BAnswerBTheBloanBisBnotBtaxedBwhileBaBwithdrawalBisBtaxedBforBamountsBaboveBthe
BcontractBcostBbasis.
AllBofBtheBfollowingBstatementsBdefineBpreexistingBconditionsBEXCEPT?B-
BAnswerBAnyBchronicBhealthBconditionBthatBpresentsBsymptomsBandBwhichBwasBunkn
ownBatBtheBtimeBofBapplication.
WhichBisBtheBdifferenceBbetweenBparticipatingBandBnon-participating?B-
BAnswerBParticipatingBpoliciesBpayBdividendsBwhileBnon-participatingBpoliciesBdoBnot.
HowBdoesBtheBperBcaptiaBruleBapplyBtoBproceedsBfromBaBlifeBinsuranceBpolicy?B-
BAnswerBTheBproceedsBareBdividedBequallyBamongBlivingBprimaryBbeneficiaries.
HowBdoesBaBnoncancelableBpolicyBdifferBfromBaBguaranteedBrenewableBpolicy?B-
BAnswerBWithBtheBnoncancelableBpolicyBtheBinsurerBmayBincreaseBpremiumsBonlyBba
sedBonBtheBtermsBofBtheBpolicy.