, Michigan Life and Health EXAM
QUESTIONS AND ANSWERS 100%
CORRECT!
insurable interest does NOT occur in which of the following relationships? - ANSWER
business owner and business client
an applicant intentionally lying to an insurance company on an application in order to
obtain a cheaper premium is an example of? - ANSWER fraud
under which circumstance may a deferred insurance commission be paid to an
individual - ANSWER individual was licensed producer at the time of the sale
An annuitant dies during the distribution period. What kind of annuity will return to a
beneficiary the difference between the annuity value and the income payments already
made? - ANSWER refund annuity
Tonya has replaced her whole life policy with an annuity without incurring a tax penalty.
This transaction is called a(n) - ANSWER 1035 exchange
a life insurance application may be backdated to - ANSWER save on premiums
Newborn coverage under health insurance policies MUST include coverage for -
ANSWER birth abnormalities
When a preferred provider organization (PPO) insured goes out-of-network, which of
the following actions occur? - ANSWER the insurer will pay a reduced amount
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 baby is born to a husband and wife covered under a family accident and health
insurance policy. If the newborn is covered at birth, the first payment for the additional
coverage would become due in days. - ANSWER 31 days
QUESTIONS AND ANSWERS 100%
CORRECT!
insurable interest does NOT occur in which of the following relationships? - ANSWER
business owner and business client
an applicant intentionally lying to an insurance company on an application in order to
obtain a cheaper premium is an example of? - ANSWER fraud
under which circumstance may a deferred insurance commission be paid to an
individual - ANSWER individual was licensed producer at the time of the sale
An annuitant dies during the distribution period. What kind of annuity will return to a
beneficiary the difference between the annuity value and the income payments already
made? - ANSWER refund annuity
Tonya has replaced her whole life policy with an annuity without incurring a tax penalty.
This transaction is called a(n) - ANSWER 1035 exchange
a life insurance application may be backdated to - ANSWER save on premiums
Newborn coverage under health insurance policies MUST include coverage for -
ANSWER birth abnormalities
When a preferred provider organization (PPO) insured goes out-of-network, which of
the following actions occur? - ANSWER the insurer will pay a reduced amount
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 baby is born to a husband and wife covered under a family accident and health
insurance policy. If the newborn is covered at birth, the first payment for the additional
coverage would become due in days. - ANSWER 31 days
