Indiana Life and Health Insurance State Exam (Part
2)
$720 (4400 deductible + 20% of remaining medical bill) - ANS-C was injured while deep sea
diving and requires a hospital stay. C has a Major Medical policy with a 80/20 coinsurance
clause and a $400 deductible. What is the MAXIMUM C will pay if the covered medical
expenses are $2000?
10 years - ANS-G purchased a Family Income policy at age 40, The policy has a 20-year rider
period. If G were to die at age 50, how long would G's family receive an income?
20-pay life - ANS-J is 35 years old and looking to purchase a whole life insurance policy. Which
of the following types of policies will provide the most rapid growth of cash value?
20% is withheld for income taxes - ANS-An individual participant personally received eligible
rollover funds from a profit-sharing plan. What is the income tax withholding requirements for
this transaction?
26 - ANS-The Affordable Care act (ACA) provides health coverage to dependents up to the age
of:
30 - ANS-ABC Insurance Company fails to pay death proceeds after satisfactory proof of loss
was submitted. ABC must begin paying interest on the death proceeds after ____ days of
receiving proof of loss.
31 - ANS-An insured pays premiums on an annual basis for an individual health insurance
policy. What is the MINIMUM number of days for the Grace Period provision?
ABC is the policyowner, C is the insured, and ABC is the beneficiary - ANS-C is a key employee
at ABC Incorporated. If a Key Employee life policy is purchased on her life, which of these
statements would be true?
Are lower during the policy's early years - ANS-Under a graded premium Policy, the premiums
Conversion Provision - ANS-When a policyowner exchanges a term policy for a whole life policy
without providing proof of good health, which of these apply?
Convert term coverage to a whole life policy - ANS-Which of these actions does NOT constitute
life insurance policy replacement?
2)
$720 (4400 deductible + 20% of remaining medical bill) - ANS-C was injured while deep sea
diving and requires a hospital stay. C has a Major Medical policy with a 80/20 coinsurance
clause and a $400 deductible. What is the MAXIMUM C will pay if the covered medical
expenses are $2000?
10 years - ANS-G purchased a Family Income policy at age 40, The policy has a 20-year rider
period. If G were to die at age 50, how long would G's family receive an income?
20-pay life - ANS-J is 35 years old and looking to purchase a whole life insurance policy. Which
of the following types of policies will provide the most rapid growth of cash value?
20% is withheld for income taxes - ANS-An individual participant personally received eligible
rollover funds from a profit-sharing plan. What is the income tax withholding requirements for
this transaction?
26 - ANS-The Affordable Care act (ACA) provides health coverage to dependents up to the age
of:
30 - ANS-ABC Insurance Company fails to pay death proceeds after satisfactory proof of loss
was submitted. ABC must begin paying interest on the death proceeds after ____ days of
receiving proof of loss.
31 - ANS-An insured pays premiums on an annual basis for an individual health insurance
policy. What is the MINIMUM number of days for the Grace Period provision?
ABC is the policyowner, C is the insured, and ABC is the beneficiary - ANS-C is a key employee
at ABC Incorporated. If a Key Employee life policy is purchased on her life, which of these
statements would be true?
Are lower during the policy's early years - ANS-Under a graded premium Policy, the premiums
Conversion Provision - ANS-When a policyowner exchanges a term policy for a whole life policy
without providing proof of good health, which of these apply?
Convert term coverage to a whole life policy - ANS-Which of these actions does NOT constitute
life insurance policy replacement?
