Practice Exam - Ohio Life and Health Insurance 100% Accurated(GRADED A+)

Which of these annuities require premium payments that vary from year to year? - ANSWER Flexible Premium Deferred Annuity A limited payment whole life policy provides lifetime protection - ANSWER lifetime protection Which of the following does Coordination of Benefits allow? - ANSWER Which of the following does Coordination of Benefits allow? Allows the secondary payor to reduce their benefit payments so no more than 100% of the claim in paid Which approach predicts a person's earning potential and determines how much of that amount would be devoted to dependants? - ANSWER Human life value approach Kurt is an active duty serviceman who was recently killed in an accident while home on leave. Which military service exclusion clause would pay upon his death? - ANSWER Results Pete the agent recently had his license suspended because he was found to be in violation of a state insurance law. Due to this suspension, Pete - ANSWER May be assessed the administrative costs sustained by the Department The first payment for newborn accident and health coverage is due ______ days after birth. - ANSWER 31 According to the Health Insurance Portability and Accountability Act (HIPPA), when can a group health policy renewal be denied? - ANSWER Participation or contribution rules have been violated All of these are considered forms of advertising EXCEPT - ANSWER An insurer's AM best rating The statement which best describes the relationship between the premiums of a whole life policy and the premium payment period is - ANSWER The shorter the payment period, the higher the premium An agent's license has been suspended for non-renewal. The agent may apply for reinstatement - ANSWER Within 12 months of the license renewal date All of these are considered sources of information that can assist an underwriter in determining whether or not to accept a risk EXCEPT - ANSWER National Association of insurance Underwriters Pat is insured with a life insurance policy and Karen is his primary beneficiary. They are both involved in an automobile accident where Pat dies instantly and Karen dies 5 days later. Which policy provision will protect the rights of the contingent beneficiary to receive the policy benefits? - ANSWER Common disaster clause What percentage of a participant's income are group long-term disability benefit amounts typically limited to? - ANSWER 60% An example of endodontic treatment is a - ANSWER Root canal All of these are responsibilities of the superintendent EXCEPT - ANSWER Endorsing insurers Which of the following is NOT considered advertising? - ANSWER A rating from a service company, such as A. M. Best What happens to the coverage under a children's term rider when that child reaches a certain specified age? - ANSWER coverage is eliminated Which of the following is a legal entity created for the sole purpose of providing affordable group health coverage to its participants? - ANSWER Multiple Employer Welfare Arrangement (MEWA) In contrast to a guaranteed renewable policy, a noncancellable policy - ANSWER may never raise premiums What will the beneficiary receive if an annuitant dies during the accumulation period? - ANSWER The greater of the accumulated cash value or the total premium paid An employee has ____ days after the date of marriage to add a new spouse to a small group health plan. - ANSWER 30 All of the following are examples of pure risk EXCEPT - ANSWER Losing money at a casino A medicare Supplement basic benefit is - ANSWER The first 3 pints of blood per year Medicaid is intended for - ANSWER poverty stricken people Unmarried children who are incapable of self support and have proof of incapacity are included under their parent's health coverage until - ANSWER Policy termination Which of the following is considered to be an event or condition that increases the probability of an insured's loss? - ANSWER Hazard If an employee contributes 50% toward the disability plan premium provided by an employer, what would be considered the taxable income of a $1,000 monthly disability benefit? - ANSWER $500 Andy the annuitant dies before the annuity start date. Which of the following is a TRUE statement? - ANSWER Premiums paid plus interest earned is returned to the beneficiary Which of these factors is NOT taken into consideration when determining the cost of a long-term care policy? - ANSWER Personal income An insurer can exclude coverage for a preexisting condition on a Medicare Supplement policy for up to - ANSWER 6 months A health insurance policy that allows an insurer to change the policyowners premiums, but not cancel the policy is called a(n) - ANSWER Guaranteed renewable policy Small employers who are sponsored by an insurer to provide group benefits to its employees are called - ANSWER MEWA The taxable portion of each annuity payment is calculated using which method? - ANSWER Exclusion ratio Shawn, Mike, and Dave are brothers who have a $100,000 "first to die" joint life policy covering all three of their lives. If Mike dies first, the policy proceeds - ANSWER Will no longer provide insurance protection Coverage for newborns under an accident and health plan MUST include coverage for - ANSWER Birth abnormalities What guarantees that the statement supplied by an insurance applicant are true? - ANSWER Warranty Insurance companies determine risk exposure by which of the following? - ANSWER Law of large numbers and risk pooling All of the following are qualifications for establishing a health coverage savings account (HSA) EXCEPT - ANSWER Enrolled in a health plan with a prescription drug benefit The type of multiple protection coverage that pays on the death of the last person is called a(n) - ANSWER Survivorship life policy