Life and Health Insurance License prep questions with verified solutions

Life and Health Insurance License prep questions with verified solutions Which of the following statements is true regarding accident and health insurance claims that reimburse on an idemnity basis? Claims can be sent directly to the insured. Tom the agent negotiates an agreement that unreasonably restrains the business of insurance. He has likely commited a violation of insurance law that falls under Boycott, coercion, and intimidation Viatical settlement proceeds may be subject to the claims of creditors Once an insured notifies an insurer of a claim, what must the insurer do? Send out a claim form What action may the Bureau of Insurance take when it finds that a license applicant is not competent or untrustworthy? decline to issue the license In a long-term care policy issued in Virginia, any provision limiting preexisting conditions may not exceed 6 months aministrative actions taken against an agent must be reported to the State Corporation Commission within how many days of the final disposition 30 In Virginia, once a life insurance policy has been in force for how many years, it becomes incontestable 2 Mentally or physically handicapped dependent children MUST be covered under an individual health insurance policy until they become self supportive Carlos' agent license has been suspended due to non-renewal. He may apply for the reinstatement within the ---month period following the date when the license should have been renewed 12 If a life insurance applicant is shown future premiums are to be paid out of non-guaranteed values, the illustration used in the sales presentation MUST disclose that premium payments may need to be resumed depending on actual results Which of these is NOT an Unfair Claims Settlement Practice? Refusing to pay persons bringing false or fraudulent claims A prosepective client was intimidated by an agent to purchase an insurance contract. The agent could be found guilty of coercion The maxiumum prison sentense given under federal law for unfair and deceptive insurance practices is 15 years When replacing an individual Accident and Health policy in Virginia, the required replacement notice to the applicant must include Notice that the prior conditions may not be covered In Virgina, a small employer is comprised of 2-50 Paul is an agent who is licensed in Virginia but a resident of Maryland. P is consedered to be an what agent? nonresident In VA what records are not required to be maintained by the agent? Premium quotes for policies not accepted An insurance company is marketing a health insurance policy in Virginia which contains a provision that is in conflict with Virginia insurance law. What remedy must be taken by the insurer? The provision must be amended to conform to the minimum statutory requirements. A long-term care policy in Virginia must be issued on which of the following basis? Guaranteed renewable Before an individual is permitted to act as an insurance agent, he/she must hold a valid insurance license and be -----by an authoried insurer Appointed In Virginia, an insurer must file a written notice of appointment with the State Corporation Commission within 30 days If a Medicare Supplement policy is cancelled by the insurer, which of these circumstances does NOT require prior approval by the State Corporation Commission? non payment of premium Once a child is born and covered under an accident and health insurance plan, any reduction in benefits on the newborn is strictly prohibited A