Florida 2-15 Insurance License Exam Questions and Answers.
Accumulation units are converted into annuity units: Answer - at the time of annuity payout.
A group life insurance plan in which the employer pays the entire premium is known as a ________________ plan. Answer - noncontributory
If a disabled worker covered under Social Security disability benefits recovers and then is disabled again within five years, a new waiting period is required before benefits begin again. Answer - FALSE
Robert had an accident and qualified for Social Security disability. Given the waiting period, when will Robert begin to receive benefits? Answer - After 5 months
The Insuring Clause includes all of the following EXCEPT the Answer - beneficiary
Mutualization occurs when a stock company turns to a __________ company. Answer - mutual
To provide a safeguard for insureds, most major medical policies contain a ____________ feature that limits the insured's out-of-pocket expenses. Answer - stop-
loss
Tom is a newly appointed life, health and variable annuity agent with Acme Insurance Agency. He is writing his first insurance policy on his brother-in-law's life. Who does Tom legally represent in this transaction? Answer - Acme Insurance Agency
An insurance clause is a distinct article in a formal document that establishes the rules in the contract that _____________________ must adhere to. Answer - both the insurer
and the insured
"ACC" refers to the type of disability that prevents someone from performing the job he was performing prior to the disability. Answer - FALSE Which statement is CORRECT about the Department of Financial Services' right to examine an agent's records? Answer - An examination can be conducted at any time to discover any unfair trade practices.
Bill gives Jim a couple of tickets to a Florida Gators game to thank him for purchasing a policy. This is an example of: Answer - rebating
____________ term insurance provides a level amount of protection for a specified period, after which the policy expires. Answer - Level
Business overhead expense (B.O.E.) insurance does not provide benefits to cover the business owner's salary. Answer - TRUE
Level, decreasing, and increasing insurance are all basic forms of ____________ insurance. Answer - term
Hospice services are covered under Medicare Part A. Answer - TRUE
Under Florida law, group health insurers must offer mental and nervous disorder insurance to policyowners. Answer - TRUE
Deductibles under a group major medical plan usually run from $250 to $500; whereas individual health plans usually run from: Answer - $1,000 plus.
Every HMO subscriber must receive a benefits package that includes a copy of the HMO contract and certificate, and: Answer - a member's handbook.
A life insurance policy will not be reinstated if it has been: Answer - surrendered for its cash value.
Which of the following is NOT a type of permanent life insurance? Answer - Term Life
In Florida, a ______________ must sign for and on behalf of a minor purchasing life insurance. Answer - parent or legal guardian
When an agent spreads a false story that damages a competing agent's reputation, the offense is called: Answer - defamation
__________ is when policy values of an insurance policy are used to purchase another policy with the same insurer for the sole purpose of earning additional premiums or commissions. Answer - Churning
Once an organization has filed an application to conduct insurance business, the Office of Insurance Regulation will begin its review for issuing a(n): Answer - Certificate of Authority
Accumulation units are converted into annuity units: Answer - at the time of annuity payout.
A group life insurance plan in which the employer pays the entire premium is known as a ________________ plan. Answer - noncontributory
If a disabled worker covered under Social Security disability benefits recovers and then is disabled again within five years, a new waiting period is required before benefits begin again. Answer - FALSE
Robert had an accident and qualified for Social Security disability. Given the waiting period, when will Robert begin to receive benefits? Answer - After 5 months
The Insuring Clause includes all of the following EXCEPT the Answer - beneficiary
Mutualization occurs when a stock company turns to a __________ company. Answer - mutual
To provide a safeguard for insureds, most major medical policies contain a ____________ feature that limits the insured's out-of-pocket expenses. Answer - stop-
loss
Tom is a newly appointed life, health and variable annuity agent with Acme Insurance Agency. He is writing his first insurance policy on his brother-in-law's life. Who does Tom legally represent in this transaction? Answer - Acme Insurance Agency
An insurance clause is a distinct article in a formal document that establishes the rules in the contract that _____________________ must adhere to. Answer - both the insurer
and the insured
"ACC" refers to the type of disability that prevents someone from performing the job he was performing prior to the disability. Answer - FALSE Which statement is CORRECT about the Department of Financial Services' right to examine an agent's records? Answer - An examination can be conducted at any time to discover any unfair trade practices.
Bill gives Jim a couple of tickets to a Florida Gators game to thank him for purchasing a policy. This is an example of: Answer - rebating
____________ term insurance provides a level amount of protection for a specified period, after which the policy expires. Answer - Level
Business overhead expense (B.O.E.) insurance does not provide benefits to cover the business owner's salary. Answer - TRUE
Level, decreasing, and increasing insurance are all basic forms of ____________ insurance. Answer - term
Hospice services are covered under Medicare Part A. Answer - TRUE
Under Florida law, group health insurers must offer mental and nervous disorder insurance to policyowners. Answer - TRUE
Deductibles under a group major medical plan usually run from $250 to $500; whereas individual health plans usually run from: Answer - $1,000 plus.
Every HMO subscriber must receive a benefits package that includes a copy of the HMO contract and certificate, and: Answer - a member's handbook.
A life insurance policy will not be reinstated if it has been: Answer - surrendered for its cash value.
Which of the following is NOT a type of permanent life insurance? Answer - Term Life
In Florida, a ______________ must sign for and on behalf of a minor purchasing life insurance. Answer - parent or legal guardian
When an agent spreads a false story that damages a competing agent's reputation, the offense is called: Answer - defamation
__________ is when policy values of an insurance policy are used to purchase another policy with the same insurer for the sole purpose of earning additional premiums or commissions. Answer - Churning
Once an organization has filed an application to conduct insurance business, the Office of Insurance Regulation will begin its review for issuing a(n): Answer - Certificate of Authority
