Texas Life and Health Insurance
Questions and Answers 100% Correct
For how long is an insurance company allowed to defer policy requests? -ANSWER- 6
months
Which of the following is NOT a feature of a guaranteed renewable provision? -
ANSWER- The insurer can increase the policy premium on an individual basis
The main difference between immediate and deferred annuities is: -ANSWER- When
the income payments begin
A hospital indemnity policy will pay: -ANSWER- A benefit for each day the insured is in
a hospital
The insured's health policy only pays for medical costs related to accidents. Which or
the following types of policies does the insured have? -ANSWER- Accident-only
If the annuitant dies before the accumulation period, who will receive the annuity
benefits? -ANSWER- The beneficiary
An applicant for a health insurance policy returns a completed application to her agent,
along with a check for the first premium. She receives a conditional receipt two weeks
later. Which of the following has the insurer done by this point? -ANSWER- Neither
approved the application nor issued the policy
An applicant is discussing his options for Medicare supplement coverage with his agent.
The applicant is 65 years old and has just enrolled in Medicare part a and part B. What
is the insurance company obligated to do? -ANSWER- Offer the supplement policy on a
guaranteed issue basis
Untrue statements on the application unintentionally made by the insureds that, if
discovered, would alter the underwriting decision of the insurance company, are called:
-ANSWER- Material misrepresentations
Which of the following allows the insurer to relieve a minor insured from premium
payments if the minor's parents have died or become disabled? -ANSWER- Payor
Benefit
And insured owns a $50,000 whole life policy. At age 47, the insured decides to cancel
his policy and exercise the extended term option for the policies cash value, which is
currently $20,000. What would be the face amount of the new term policy? -ANSWER-
$50,000
, Who can make a fully deductible contribution to a traditional IRA? -ANSWER- An
individual not covered by an employer-sponsored plan who has earned income
And insured under a life insurance policy has been diagnosed with a terminal illness
and has six months to live. The insured knows that his financial state will worsen even
more with the upcoming medical expenses. What option could the insured utilize? -
ANSWER- Viatical settlement
Which statement accurately describes the Change of Beneficiary provision?
A.) changing beneficiaries requires the consent of the original beneficiary.
B.) any policy that has a death benefit must also have a change of beneficiary provision.
C.) spouses are automatically irrevocable beneficiary, with the exception of divorce or
death.
D.) beneficiaries can only be changed in the event of divorce, death, or severe
psychiatric disorders. -ANSWER- B.) Any policy that has a death benefit must also have
a change of beneficiary provision
How long is a newborn covered without notification to the insurer? -ANSWER- From the
moment of birth, and the insurer must be notified within 31 days.
The regulations regarding replacement apply to which of the following?
A.) replacement of existing policy by the same insurer
B.) Credit life
C.) Group Life
D.) Renewable term -ANSWER- D.) Renewable term
All of the following are unfair claims settlement practices EXCEPT:
A.) suggesting negotiations and settling the claim.
B.) refusing to pay claims without conducting a reasonable investigation.
C.) failing to adopt an implement reasonable standards for settling claims.
D.) failing to acknowledge pertinent communication pertaining to a claim. -ANSWER-
A.) suggesting negotiations and settling the claim.
Under the ACA, health insurance can no longer be underwritten based on which of the
following factors?
A.) The applicant's tobacco use
B.) The applicant's health condition
C.) The applicant's family composition
D.) The applicant's age -ANSWER- B.) The applicant's health condition
An agent completed a CE course in 2019. Until what year was the agent keep the
records of completion? -ANSWER- 2023! Producers must maintain records of
completion of continuing education courses for four years from the date of the course
completion.
In which of the following locations would skilled care most likely be provided?
Questions and Answers 100% Correct
For how long is an insurance company allowed to defer policy requests? -ANSWER- 6
months
Which of the following is NOT a feature of a guaranteed renewable provision? -
ANSWER- The insurer can increase the policy premium on an individual basis
The main difference between immediate and deferred annuities is: -ANSWER- When
the income payments begin
A hospital indemnity policy will pay: -ANSWER- A benefit for each day the insured is in
a hospital
The insured's health policy only pays for medical costs related to accidents. Which or
the following types of policies does the insured have? -ANSWER- Accident-only
If the annuitant dies before the accumulation period, who will receive the annuity
benefits? -ANSWER- The beneficiary
An applicant for a health insurance policy returns a completed application to her agent,
along with a check for the first premium. She receives a conditional receipt two weeks
later. Which of the following has the insurer done by this point? -ANSWER- Neither
approved the application nor issued the policy
An applicant is discussing his options for Medicare supplement coverage with his agent.
The applicant is 65 years old and has just enrolled in Medicare part a and part B. What
is the insurance company obligated to do? -ANSWER- Offer the supplement policy on a
guaranteed issue basis
Untrue statements on the application unintentionally made by the insureds that, if
discovered, would alter the underwriting decision of the insurance company, are called:
-ANSWER- Material misrepresentations
Which of the following allows the insurer to relieve a minor insured from premium
payments if the minor's parents have died or become disabled? -ANSWER- Payor
Benefit
And insured owns a $50,000 whole life policy. At age 47, the insured decides to cancel
his policy and exercise the extended term option for the policies cash value, which is
currently $20,000. What would be the face amount of the new term policy? -ANSWER-
$50,000
, Who can make a fully deductible contribution to a traditional IRA? -ANSWER- An
individual not covered by an employer-sponsored plan who has earned income
And insured under a life insurance policy has been diagnosed with a terminal illness
and has six months to live. The insured knows that his financial state will worsen even
more with the upcoming medical expenses. What option could the insured utilize? -
ANSWER- Viatical settlement
Which statement accurately describes the Change of Beneficiary provision?
A.) changing beneficiaries requires the consent of the original beneficiary.
B.) any policy that has a death benefit must also have a change of beneficiary provision.
C.) spouses are automatically irrevocable beneficiary, with the exception of divorce or
death.
D.) beneficiaries can only be changed in the event of divorce, death, or severe
psychiatric disorders. -ANSWER- B.) Any policy that has a death benefit must also have
a change of beneficiary provision
How long is a newborn covered without notification to the insurer? -ANSWER- From the
moment of birth, and the insurer must be notified within 31 days.
The regulations regarding replacement apply to which of the following?
A.) replacement of existing policy by the same insurer
B.) Credit life
C.) Group Life
D.) Renewable term -ANSWER- D.) Renewable term
All of the following are unfair claims settlement practices EXCEPT:
A.) suggesting negotiations and settling the claim.
B.) refusing to pay claims without conducting a reasonable investigation.
C.) failing to adopt an implement reasonable standards for settling claims.
D.) failing to acknowledge pertinent communication pertaining to a claim. -ANSWER-
A.) suggesting negotiations and settling the claim.
Under the ACA, health insurance can no longer be underwritten based on which of the
following factors?
A.) The applicant's tobacco use
B.) The applicant's health condition
C.) The applicant's family composition
D.) The applicant's age -ANSWER- B.) The applicant's health condition
An agent completed a CE course in 2019. Until what year was the agent keep the
records of completion? -ANSWER- 2023! Producers must maintain records of
completion of continuing education courses for four years from the date of the course
completion.
In which of the following locations would skilled care most likely be provided?
