PSI exam
When shall an individual certificate be deemed to be "individualized" within the meaning of the CIC?
only if it contains the full legal name of the person covered
if it contains either the name of the person covered or some other means of identifying to the individual
covered that it is his individual certificate
if there is an attached statement from the insurance company stating that the certificate provides
coverage to that individual
if it contains the name of the person covered along with at least two other types of identifying
information - correct answer if it contains either the name of the person covered or some other means
of identifying to the individual covered that it is his individual certificate
ALL of the following are TRUE regarding the process to change the California Code of Regulations EXCEPT
1.
the Office of Administrative Law (OAL) may substitute its own judgment for that of the rulemaking
agency.
2.
the Administrative Procedure Act requires a minimum of 45 days for comments regarding the proposed
changes.
3.
the Agency may decide to change its initial proposal in response to public comments or on its own
initiative after the initial public comment period.
4.
the Emergency Rulemaking Process and the Regular Rulemaking Process are separate requiring different
standards and procedures for proposed changes. - correct answer the Office of Administrative Law (OAL)
may substitute its own judgment for that of the rulemaking agency.
The California Life and Health Insurance Guarantee Act provides coverage for all of the following EXCEPT
a stop-loss insurance plan.
a major medical insurance plan.
,a surgical insurance plan.
a long term care insurance plan. - correct answer a stop-loss insurance plan
How long does an employee in a group insurance policy have to exercise the conversion privilege after
employment is terminated?
0 days with no eligible coverage once the employment is terminated
31 days to use the conversion privilege and begin an individual life insurance policy.
90 days to convert to an individual policy equal to the coverage under the group policy
6 months to exercise the conversion privilege after termination if the employee was ill-treated - correct
answer 31 days to use the conversion privilege and begin an individual life insurance policy.
When may a licensee surrender for cancellation any license under which they are permitted to act?
upon renewal of the license
within 60 days of renewal of their license
at any time
when they no longer have any clients with policies in force - correct answer at any time
Which statement describes the intent of the California Financial Information Privacy Act?
1.
It enables and authorizes the Gramm-Leach-Bliley Act into California legal system.
2.
It permits civil lawsuits against financial institutions who violate the Gramm-Leach-Bliley Act.
3.
It provides greater privacy protections than those provided in the federal Gramm-Leach-Bliley Act.
4.
, It permits greater flexibility to financial institutions than privacy protections enacted in Gramm-Leach-
Bliley Act. - correct answer It provides greater privacy protections than those provided in the federal
Gramm-Leach-Bliley Act.
Which is NOT a requirement of a Medicare Supplement provider?
1.
Establishing auditable procedures for maintaining compliance.
2.
Establishing marketing procedures to make sure excessive insurance is not sold or issued.
3.
Displaying prominently on the first page of the policy the disclosure that the policy "will cover all of the
medical expenses."
4.
Inquiring and making every reasonable effort to discover if the prospective applicant already has health
insurance, and the types and amounts of that insurance. - correct answer
If fiduciary funds are received by any licensee, the funds shall be maintained in any of the following
EXCEPT
bonds issued in all 50 states of the United States.
United States government bonds and treasury certificates.
certificates of deposit of banks or savings and loan associations licensed by any state.
repurchase agreements collateralized by securities issued by the United States government. - correct
answer bonds issued in all 50 states of the United States
When can a person act as an agent of the insurer?
1.
when the agent participates in an insurer workshop
2.
When shall an individual certificate be deemed to be "individualized" within the meaning of the CIC?
only if it contains the full legal name of the person covered
if it contains either the name of the person covered or some other means of identifying to the individual
covered that it is his individual certificate
if there is an attached statement from the insurance company stating that the certificate provides
coverage to that individual
if it contains the name of the person covered along with at least two other types of identifying
information - correct answer if it contains either the name of the person covered or some other means
of identifying to the individual covered that it is his individual certificate
ALL of the following are TRUE regarding the process to change the California Code of Regulations EXCEPT
1.
the Office of Administrative Law (OAL) may substitute its own judgment for that of the rulemaking
agency.
2.
the Administrative Procedure Act requires a minimum of 45 days for comments regarding the proposed
changes.
3.
the Agency may decide to change its initial proposal in response to public comments or on its own
initiative after the initial public comment period.
4.
the Emergency Rulemaking Process and the Regular Rulemaking Process are separate requiring different
standards and procedures for proposed changes. - correct answer the Office of Administrative Law (OAL)
may substitute its own judgment for that of the rulemaking agency.
The California Life and Health Insurance Guarantee Act provides coverage for all of the following EXCEPT
a stop-loss insurance plan.
a major medical insurance plan.
,a surgical insurance plan.
a long term care insurance plan. - correct answer a stop-loss insurance plan
How long does an employee in a group insurance policy have to exercise the conversion privilege after
employment is terminated?
0 days with no eligible coverage once the employment is terminated
31 days to use the conversion privilege and begin an individual life insurance policy.
90 days to convert to an individual policy equal to the coverage under the group policy
6 months to exercise the conversion privilege after termination if the employee was ill-treated - correct
answer 31 days to use the conversion privilege and begin an individual life insurance policy.
When may a licensee surrender for cancellation any license under which they are permitted to act?
upon renewal of the license
within 60 days of renewal of their license
at any time
when they no longer have any clients with policies in force - correct answer at any time
Which statement describes the intent of the California Financial Information Privacy Act?
1.
It enables and authorizes the Gramm-Leach-Bliley Act into California legal system.
2.
It permits civil lawsuits against financial institutions who violate the Gramm-Leach-Bliley Act.
3.
It provides greater privacy protections than those provided in the federal Gramm-Leach-Bliley Act.
4.
, It permits greater flexibility to financial institutions than privacy protections enacted in Gramm-Leach-
Bliley Act. - correct answer It provides greater privacy protections than those provided in the federal
Gramm-Leach-Bliley Act.
Which is NOT a requirement of a Medicare Supplement provider?
1.
Establishing auditable procedures for maintaining compliance.
2.
Establishing marketing procedures to make sure excessive insurance is not sold or issued.
3.
Displaying prominently on the first page of the policy the disclosure that the policy "will cover all of the
medical expenses."
4.
Inquiring and making every reasonable effort to discover if the prospective applicant already has health
insurance, and the types and amounts of that insurance. - correct answer
If fiduciary funds are received by any licensee, the funds shall be maintained in any of the following
EXCEPT
bonds issued in all 50 states of the United States.
United States government bonds and treasury certificates.
certificates of deposit of banks or savings and loan associations licensed by any state.
repurchase agreements collateralized by securities issued by the United States government. - correct
answer bonds issued in all 50 states of the United States
When can a person act as an agent of the insurer?
1.
when the agent participates in an insurer workshop
2.
