WebCE Test 1 All Possible Questions and Answers with complete solution

Abby lives in Ohio, where she is licensed as an insurance producer. She wants to apply for a nonresident license in Pennsylvania. Which of the following conditions must she satisfy? She must move to Pennsylvania. She must surrender her Ohio license. She must be sponsored by a producer licensed in Pennsylvania. She must show her Ohio license is in good standing. - she must show her Ohio license is in good standing An annuity settlement option with a life contingency is one that: pays annuity benefits for a specified period of time whether the annuitant lives or dies during that period. terminates annuity benefit payments if the annuitant is alive upon reaching his or her life expectancy continues annuity benefit payments for as long as the annuitant lives, even if it surpasses the annuitant's life expectancy requires there to be two or more annuitants who will receive annuity benefit payments before annuitization is permitted - continues annuity benefit payments for as long as the annuitant lives, even if it surpasses the annuitants life expectancy Which group health plan gives employers the most flexibility in designing and arranging the plan's benefits? experience-rated plans community-rated plans government issue plans participating plans - experience-rated plans An insurer typically considers all of the following during the underwriting process EXCEPT:medical history educational background medical exams lab tests - educational background Before delivering a health insurance policy to a client, the producer alters the insuring clause in a way that he believes will benefit the insurance company. Which of the following statements is correct regarding this alteration? It is required of a diligent producer. It is prohibited by the entire contract provision. It is permitted only when it is in the insurer's best interests. It is prohibited unless the insured agrees to it in writing. - it is prohibited by the entire contract provision Terry, Bella, Raul, and Paulina each own a whole life insurance policy. Which person would not be able to accelerate the benefits under their policy? Terry, who has cancer and a six-month life expectancy Bella, who has multiple sclerosis Raul, who became permanently disabled following a work accident Paulina, who was injured in a car accident but is expected to return to work in a month - Paulina, who was injured in a car accident but is expected to return to work in a month Horace buys a Medicare supplement insurance policy but decides not to keep it. How many days does he have to return it for a full refund of the premium? 10 14 2130 - 30 Medicare has a free-look period of 30 days All of the following statements about annuities are generally correct, EXCEPT: Annuities are not life insurance. Annuities are sold by life insurance agents and are issued by life insurance companies. The historic purpose of annuities is to create estates over a certain period. An annuity converts a sum of money into a series of income payments. - the historic purpose of annuities is to create estates over a certain period