Final Exam - South Carolina Life and
Health Questions and Answers Updated
Spring 2023\2024
The branch of dentistry which deals with the replacement of missing parts is called
Endodontics
Periodontics
Orthodontics
Prosthodontics - ANSWER-Prosthodontics
How many months can a life insurance policy normally be backdated from the date of
application?
3
6
9
12 - ANSWER-6
HIPAA considers which of the following as "individually identifiable health information"?
- ANSWER-A person's health claim information
Which of the following is NOT taken into consideration when determining eligibility for
Medicare benefits? - ANSWER-Income
What is the primary factor that determines the benefits paid under a disability income
policy? - ANSWER-wages
All of the following are functions of an insuring clause EXCEPT - ANSWER-Primarily
describes the free-look period
The Fair Credit and Reporting Act's main purpose is to - ANSWER-protect consumers
with guidelines regarding credit reporting and distribution
What is known as the immediate specific event causing loss and giving rise to risk? -
ANSWER-Peril
Mary is issued an initial producer's license on April 29, 2012. Her birthdate is March 14,
1980. When does her license renew? - ANSWER-March 31, 2014
Which approach predicts a person's earning potential and determines how much of that
amount would be devoted to dependents? - ANSWER-Human life value approach
In South Carolina, which of the following statements is TRUE regarding a licensed
individual changing his or her legal name? - ANSWER-The producer must notify the
Department upon changing his or her legal name
Which settlement option involves having the proceeds remain with the insurer and
earnings paid on a monthly basis to the beneficiary? - ANSWER-interest only
What would happen if a life insurance applicant is given a conditional receipt from an
insurance agent and then dies the next day? - ANSWER-Claim will be paid if application
is approved
, In South Carolina, what is the MAXIMUM length of time an insurer can defer payment of
a cash surrender value of an annuity? - ANSWER-6 months
Which of these is affected by the frequency of an insurance policy's premium
payments? - ANSWER-Cost
In an insurance contract, the insurer is the only party legally obligated to perform.
Because of this, an insurance contract is considered - ANSWER-unilateral
Which of these licensees MUST be appointed in order to conduct insurance business? -
ANSWER-Producer
A master contract and certificate of coverage can be found in which type of policy? -
ANSWER-Group
Jonas is a whole life insurance policyowner and would like to add coverage for his two
children. Which of the following products would allow him to accomplish this? -
ANSWER-Child term rider
The MAXIMUM time period that an eligible employee can be excluded from coverage
under a group health policy as a late enrollee is - ANSWER-18 months
A Medicare Supplement policy must NOT contain benefits which - ANSWER-duplicate
Medicare benefits
In what form do disability income policies typically pay benefits? - ANSWER-Periodic
income
How long can an insurer exclude coverage for a preexisting condition on a Medicare
Supplement Policy? - ANSWER-6 months
All of the following are elements of an insurance policy EXCEPT - ANSWER-Claim
Forms
A Pre-existing Condition Provision applies to a covered person if the previous creditable
coverage was continuous to a date NOT more than how many days prior to the
enrollment date of the new coverage? - ANSWER-63 days
Which type of rider will waive the premium on a child's life insurance policy if the parent
paying the premium dies? - ANSWER-Payor benefit
Which of these gaps in Medicare coverage is addressed with Medicare Supplemental
Insurance? - ANSWER-Medicare in-hospital deductible
States that have "no loss no gain" laws require a replacing policy to - ANSWER-pay for
ongoing claims under the policy it replaces
Which of the following is present when an applicant stands to lose value if the insured
dies? - ANSWER-Insurable interest
Which of the following is NOT an illegal inducement? - ANSWER-Giving the insured an
article of merchandise printed with the producer's name costing $5
Under the Consolidated Omnibus Budget Reconciliation Act (COBRA), a terminated
employee's benefits must - ANSWER-be the same and the premium cannot exceed
102%
A waiver of premium rider allows an insured to waive premium payments if the insured
is - ANSWER-completely and permanently disabled
When calculating the amount of life insurance needed for an income earner, what has to
be determined when using the Needs Approach? - ANSWER-The family's financial
objectives if the income earner were to die or become disabled
A Medicare Supplement Policy is - ANSWER-designed to fill in the gaps of Part A and
Part B Medicare
Health Questions and Answers Updated
Spring 2023\2024
The branch of dentistry which deals with the replacement of missing parts is called
Endodontics
Periodontics
Orthodontics
Prosthodontics - ANSWER-Prosthodontics
How many months can a life insurance policy normally be backdated from the date of
application?
3
6
9
12 - ANSWER-6
HIPAA considers which of the following as "individually identifiable health information"?
- ANSWER-A person's health claim information
Which of the following is NOT taken into consideration when determining eligibility for
Medicare benefits? - ANSWER-Income
What is the primary factor that determines the benefits paid under a disability income
policy? - ANSWER-wages
All of the following are functions of an insuring clause EXCEPT - ANSWER-Primarily
describes the free-look period
The Fair Credit and Reporting Act's main purpose is to - ANSWER-protect consumers
with guidelines regarding credit reporting and distribution
What is known as the immediate specific event causing loss and giving rise to risk? -
ANSWER-Peril
Mary is issued an initial producer's license on April 29, 2012. Her birthdate is March 14,
1980. When does her license renew? - ANSWER-March 31, 2014
Which approach predicts a person's earning potential and determines how much of that
amount would be devoted to dependents? - ANSWER-Human life value approach
In South Carolina, which of the following statements is TRUE regarding a licensed
individual changing his or her legal name? - ANSWER-The producer must notify the
Department upon changing his or her legal name
Which settlement option involves having the proceeds remain with the insurer and
earnings paid on a monthly basis to the beneficiary? - ANSWER-interest only
What would happen if a life insurance applicant is given a conditional receipt from an
insurance agent and then dies the next day? - ANSWER-Claim will be paid if application
is approved
, In South Carolina, what is the MAXIMUM length of time an insurer can defer payment of
a cash surrender value of an annuity? - ANSWER-6 months
Which of these is affected by the frequency of an insurance policy's premium
payments? - ANSWER-Cost
In an insurance contract, the insurer is the only party legally obligated to perform.
Because of this, an insurance contract is considered - ANSWER-unilateral
Which of these licensees MUST be appointed in order to conduct insurance business? -
ANSWER-Producer
A master contract and certificate of coverage can be found in which type of policy? -
ANSWER-Group
Jonas is a whole life insurance policyowner and would like to add coverage for his two
children. Which of the following products would allow him to accomplish this? -
ANSWER-Child term rider
The MAXIMUM time period that an eligible employee can be excluded from coverage
under a group health policy as a late enrollee is - ANSWER-18 months
A Medicare Supplement policy must NOT contain benefits which - ANSWER-duplicate
Medicare benefits
In what form do disability income policies typically pay benefits? - ANSWER-Periodic
income
How long can an insurer exclude coverage for a preexisting condition on a Medicare
Supplement Policy? - ANSWER-6 months
All of the following are elements of an insurance policy EXCEPT - ANSWER-Claim
Forms
A Pre-existing Condition Provision applies to a covered person if the previous creditable
coverage was continuous to a date NOT more than how many days prior to the
enrollment date of the new coverage? - ANSWER-63 days
Which type of rider will waive the premium on a child's life insurance policy if the parent
paying the premium dies? - ANSWER-Payor benefit
Which of these gaps in Medicare coverage is addressed with Medicare Supplemental
Insurance? - ANSWER-Medicare in-hospital deductible
States that have "no loss no gain" laws require a replacing policy to - ANSWER-pay for
ongoing claims under the policy it replaces
Which of the following is present when an applicant stands to lose value if the insured
dies? - ANSWER-Insurable interest
Which of the following is NOT an illegal inducement? - ANSWER-Giving the insured an
article of merchandise printed with the producer's name costing $5
Under the Consolidated Omnibus Budget Reconciliation Act (COBRA), a terminated
employee's benefits must - ANSWER-be the same and the premium cannot exceed
102%
A waiver of premium rider allows an insured to waive premium payments if the insured
is - ANSWER-completely and permanently disabled
When calculating the amount of life insurance needed for an income earner, what has to
be determined when using the Needs Approach? - ANSWER-The family's financial
objectives if the income earner were to die or become disabled
A Medicare Supplement Policy is - ANSWER-designed to fill in the gaps of Part A and
Part B Medicare
