HEALTH INSURANCE FLORIDA 2-40 EXAM QUESTIONS 1
UPDATED ACTUAL QUESTIONS AND CORRECT
ANSWERS
Question:
1. Which of the following laws requires an insurer to notify an applicant in writing that an investigative
consumer report may be made on the applicant?
A. -Uniform Provisions Law.
B. -Freedom of Information Act.
C. -Medical Information Bureau Disclosure Act
D. -Fair Credit Reporting Act (Insurance Information and Privacy Protection Act)
Answer:
Fair Credit Reporting Act (Insurance Information and Privacy Protection Act)
Question:
2. Group health insurance specifies that what percentage of eligible individuals MUST be offered coverage
under a noncontributory plan?
A. -25
B. -50
C. -75
D. -100
Answer:
100
Question:
3. Under an Accidental Death and Dismemberment (AD&D) policy, insurable interest must exist at which
of the following times?
A. -When a change of beneficiary is requested
B. -At the inception of the policy
C. -When a beneficiary other than a relative is named
D. -At the time a claim is submitted
Answer:
At the inception of the policy
Question:
4. When periodic claim payments are required under a long-term disability income policy, an insurer
MUST make payments to an insured at least once every:
A. -month
B. -three months
C. -six months
D. -year
Answer:
month
, Question:
5. M and N own a small interior design studio that employs six people. The owners are concerned about
the financial continuation of the business if either of them should become permanently disabled. In this
situation, a producer would MOST likely recommend which of the following types of contracts?
A. -Basic Hospital
B. -Disability Buy-Out
C. -Comprehensive Major Medical
D. -Short-Term Disability Income
Answer:
Disability Buy-Out
Question:
6. Which of the following health policies requires a beneficiary designation?
A. -Travel Accident
B. -Medicare Supplement
C. -Blanket
D. -Long Term Care
Answer:
Travel Accident
Question:
7. Suicide, pre-existing conditions and self-inflicted injuries are dealt with in which of the following policy
features?
A. -Extensions of coverage
B. -Benefits clause
C. -Riders
D. -Exclusions
Answer:
Exclusions
Question:
8. An insured whose Disability Income policy contains a Change of Occupation clause takes a new job in a
more hazardous occupation and fails to notify the insurer of the change. One year later, the insured
becomes disabled. The insurer will most likely take which of the following actions?
A. -Cancel the policy and refund one year's premiums
B. -Settle the claim according to what the premiums would have purchased under the more hazardous
occupation
C. -Pay the claim in full and then cancel the policy
D. -Pay the claim after deducting an extra one-year premium payment
Answer:
Settle the claim according to what the premiums would have purchased under the more hazardous
occupation
UPDATED ACTUAL QUESTIONS AND CORRECT
ANSWERS
Question:
1. Which of the following laws requires an insurer to notify an applicant in writing that an investigative
consumer report may be made on the applicant?
A. -Uniform Provisions Law.
B. -Freedom of Information Act.
C. -Medical Information Bureau Disclosure Act
D. -Fair Credit Reporting Act (Insurance Information and Privacy Protection Act)
Answer:
Fair Credit Reporting Act (Insurance Information and Privacy Protection Act)
Question:
2. Group health insurance specifies that what percentage of eligible individuals MUST be offered coverage
under a noncontributory plan?
A. -25
B. -50
C. -75
D. -100
Answer:
100
Question:
3. Under an Accidental Death and Dismemberment (AD&D) policy, insurable interest must exist at which
of the following times?
A. -When a change of beneficiary is requested
B. -At the inception of the policy
C. -When a beneficiary other than a relative is named
D. -At the time a claim is submitted
Answer:
At the inception of the policy
Question:
4. When periodic claim payments are required under a long-term disability income policy, an insurer
MUST make payments to an insured at least once every:
A. -month
B. -three months
C. -six months
D. -year
Answer:
month
, Question:
5. M and N own a small interior design studio that employs six people. The owners are concerned about
the financial continuation of the business if either of them should become permanently disabled. In this
situation, a producer would MOST likely recommend which of the following types of contracts?
A. -Basic Hospital
B. -Disability Buy-Out
C. -Comprehensive Major Medical
D. -Short-Term Disability Income
Answer:
Disability Buy-Out
Question:
6. Which of the following health policies requires a beneficiary designation?
A. -Travel Accident
B. -Medicare Supplement
C. -Blanket
D. -Long Term Care
Answer:
Travel Accident
Question:
7. Suicide, pre-existing conditions and self-inflicted injuries are dealt with in which of the following policy
features?
A. -Extensions of coverage
B. -Benefits clause
C. -Riders
D. -Exclusions
Answer:
Exclusions
Question:
8. An insured whose Disability Income policy contains a Change of Occupation clause takes a new job in a
more hazardous occupation and fails to notify the insurer of the change. One year later, the insured
becomes disabled. The insurer will most likely take which of the following actions?
A. -Cancel the policy and refund one year's premiums
B. -Settle the claim according to what the premiums would have purchased under the more hazardous
occupation
C. -Pay the claim in full and then cancel the policy
D. -Pay the claim after deducting an extra one-year premium payment
Answer:
Settle the claim according to what the premiums would have purchased under the more hazardous
occupation
