Laws and Rules Pertinent to
Insurance Exam/Questions with
Solutions
A form of medical health insurance covering the treatment and care of gum
disease is called:
Medicaid
Major Medical
Franchise health policy
Dental expense insurance - -Dental expense insurance
-In South Carolina, what is the MAXIMUM length of time an insurer can defer
payment of a cash surrender value of an annuity?
6 months
12 months
18 months
24 months - -6 months
-When can a policy no longer be cancelled for nonfraudulent misstatements
after its date of issue?
1 year
2 years
5 years
At any time - -2 years
-Which of the following is NOT an example of inducement to purchase
insurance?
A promise of employment
A gift having a value less than $25
A special favor in the payment of premiums
Giving merchandise to a client with a value of $100 - -A gift having a value
less than $25
-The Director MUST examine domestic insurers AT LEAST once every:
year
3 years
5 years
7 years - -5 years
-An insurer may refuse to issue a policy to a particular insurance applicant
for a reason based solely on:
medical condition
race
, gender
creed - -medical condition
-Mary is issued an initial producer's license on April 29, 2012. Her birthdate
is March 14, 1980. When does her license renew?
March 31, 2013
April 29, 2013
March 31, 2014
April 29, 2014 - -March 31, 2014
-An insurance producer CANNOT act as an agent of an insurer until the
insurance producer becomes:
licensed
designated responsible producer
a member of the National Association of Insurance Commissioners (NAIC)
appointed by the insurer - -appointed by the insurer
-A policy illustration given at time of sale does NOT typically include the:
cash value of the policy
names of the beneficiary
effective interest rate for policy loans
10th and 20th year cost surrender value - -Names of the beneficiary
-Someone who sells, solicits, or negotiates insurance contracts for
compensation on behalf of an insurer is called:
an insurance broker
an insurance producer
an insurance advisor
an insurance solicitor - -an insurance producer
-How many years is a producer REQUIRED to maintain transaction records of
a policy?
3 years
5 years
7 years
10 years - -5 years
-According to the Affordable Care Act, what metal tier is required to have an
actuarial value of 70% with covered individuals paying 30% through
deductibles, co-pays, and other cost sharing features?
Bronze Plan
Silver Plan
Gold Plan
Platinum Plan - -Silver plan
Insurance Exam/Questions with
Solutions
A form of medical health insurance covering the treatment and care of gum
disease is called:
Medicaid
Major Medical
Franchise health policy
Dental expense insurance - -Dental expense insurance
-In South Carolina, what is the MAXIMUM length of time an insurer can defer
payment of a cash surrender value of an annuity?
6 months
12 months
18 months
24 months - -6 months
-When can a policy no longer be cancelled for nonfraudulent misstatements
after its date of issue?
1 year
2 years
5 years
At any time - -2 years
-Which of the following is NOT an example of inducement to purchase
insurance?
A promise of employment
A gift having a value less than $25
A special favor in the payment of premiums
Giving merchandise to a client with a value of $100 - -A gift having a value
less than $25
-The Director MUST examine domestic insurers AT LEAST once every:
year
3 years
5 years
7 years - -5 years
-An insurer may refuse to issue a policy to a particular insurance applicant
for a reason based solely on:
medical condition
race
, gender
creed - -medical condition
-Mary is issued an initial producer's license on April 29, 2012. Her birthdate
is March 14, 1980. When does her license renew?
March 31, 2013
April 29, 2013
March 31, 2014
April 29, 2014 - -March 31, 2014
-An insurance producer CANNOT act as an agent of an insurer until the
insurance producer becomes:
licensed
designated responsible producer
a member of the National Association of Insurance Commissioners (NAIC)
appointed by the insurer - -appointed by the insurer
-A policy illustration given at time of sale does NOT typically include the:
cash value of the policy
names of the beneficiary
effective interest rate for policy loans
10th and 20th year cost surrender value - -Names of the beneficiary
-Someone who sells, solicits, or negotiates insurance contracts for
compensation on behalf of an insurer is called:
an insurance broker
an insurance producer
an insurance advisor
an insurance solicitor - -an insurance producer
-How many years is a producer REQUIRED to maintain transaction records of
a policy?
3 years
5 years
7 years
10 years - -5 years
-According to the Affordable Care Act, what metal tier is required to have an
actuarial value of 70% with covered individuals paying 30% through
deductibles, co-pays, and other cost sharing features?
Bronze Plan
Silver Plan
Gold Plan
Platinum Plan - -Silver plan
