Indiana Life and Health Insurance State Exam
Study Guide Questions And Correct Answers
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What is issued to each employee of an employer health
plan? - ---CORRECT ANSWER-->certificate
A medical information report MIB report may disclose
which of the following: - ---CORRECT ANSWER-->Prior use
of marijuana
A producer must notify the Commissioner within _____
days of an address change. - ---CORRECT ANSWER-->30
days
Which of the following statement BEST describe the
intent of a Coinsurance clause in a Major Medical policy?
- ---CORRECT ANSWER-->Discourages overutilization of
the insurance coverage
1
Page
, K is an insured under a life insurance policy owned by a
third part. Which of these statements is true? - ---
CORRECT ANSWER-->K has no ownership right
Which contract permits the remaining partners to buy-
out the interest of a disabled business partner? - ---
CORRECT ANSWER-->Disability Buy-Sell
R becomes disabled and owns an individual Disability
Income policy. When is R eligible to receive disability
benefits? - ---CORRECT ANSWER-->Upon satisfying the
elimination period requirement
During a life insurance sales transaction, which of the
following forms must be completed by a producer if the
customer has existing life insurance coverage that is
being replaced? - ---CORRECT ANSWER-->Notice
Regarding Replacement of Life insurance or Annuity
Which of the following is TRUE about a qualified
retirement that is "top heavy"? - ---CORRECT ANSWER--
>More than 60% of plan assets are in key employee
accounts
2
Page
, What type of life insurance incorporates flexible
premiums and an adjustable death benefit? - ---CORRECT
ANSWER-->Universal Life
A(n) _____ _______ Life policy combines investment
choices with a form of Term Coverage - ---CORRECT
ANSWER-->Variable Universal
In Indiana, which of the following MUST be delivered to a
policyowner upon the sale of an individual life insurance
policy? - ---CORRECT ANSWER-->Policy Summary and
Buyer's Guide
A variable insurance policy: - ---CORRECT ANSWER--
>does not guarantee a return on its investment accounts
This type of deductible provision waives the deductible
for all family members after some of them have satisfied
individual deductibles within the same year: - ---CORRECT
ANSWER-->Family Maximum deductible
Which of the following groups may NOT be insured by a
group life insurance policy? - ---CORRECT ANSWER--
>Individuals related by blood
3
Page
, A life insurance policyowner would like to take out a
policy loan against the cash value in his Whole Life Policy.
The interest rate applied to this loan may vary over time.
This is referred to as a(n) _______ rate loan. - ---
CORRECT ANSWER-->Variable
When a life insurance policy exceeds certain IRS table
values, the result would create which of the following? - -
--CORRECT ANSWER-->Modified Endowment Contract
(MEC)
A policy of adhesion can only be modified by whom? - ---
CORRECT ANSWER-->insurance company
If an insurer offers health coverage to an employee, the
insurer MUST inform the employer of all of the following
information EXCEPT: - ---CORRECT ANSWER-->The terms
of the insurer's provider agreements
Life insurance coverage will frequently contain an
Accelerated Benefits rider attached to the policy. What
would be considered a "qualifying event" under these
riders? - ---CORRECT ANSWER-->Medical condition
resulting in a significantly-shortened lifespan
4
Page
Study Guide Questions And Correct Answers
Verified Latest 2024-2025 Guaranteed Pass
Grade A + UPDATED!!
What is issued to each employee of an employer health
plan? - ---CORRECT ANSWER-->certificate
A medical information report MIB report may disclose
which of the following: - ---CORRECT ANSWER-->Prior use
of marijuana
A producer must notify the Commissioner within _____
days of an address change. - ---CORRECT ANSWER-->30
days
Which of the following statement BEST describe the
intent of a Coinsurance clause in a Major Medical policy?
- ---CORRECT ANSWER-->Discourages overutilization of
the insurance coverage
1
Page
, K is an insured under a life insurance policy owned by a
third part. Which of these statements is true? - ---
CORRECT ANSWER-->K has no ownership right
Which contract permits the remaining partners to buy-
out the interest of a disabled business partner? - ---
CORRECT ANSWER-->Disability Buy-Sell
R becomes disabled and owns an individual Disability
Income policy. When is R eligible to receive disability
benefits? - ---CORRECT ANSWER-->Upon satisfying the
elimination period requirement
During a life insurance sales transaction, which of the
following forms must be completed by a producer if the
customer has existing life insurance coverage that is
being replaced? - ---CORRECT ANSWER-->Notice
Regarding Replacement of Life insurance or Annuity
Which of the following is TRUE about a qualified
retirement that is "top heavy"? - ---CORRECT ANSWER--
>More than 60% of plan assets are in key employee
accounts
2
Page
, What type of life insurance incorporates flexible
premiums and an adjustable death benefit? - ---CORRECT
ANSWER-->Universal Life
A(n) _____ _______ Life policy combines investment
choices with a form of Term Coverage - ---CORRECT
ANSWER-->Variable Universal
In Indiana, which of the following MUST be delivered to a
policyowner upon the sale of an individual life insurance
policy? - ---CORRECT ANSWER-->Policy Summary and
Buyer's Guide
A variable insurance policy: - ---CORRECT ANSWER--
>does not guarantee a return on its investment accounts
This type of deductible provision waives the deductible
for all family members after some of them have satisfied
individual deductibles within the same year: - ---CORRECT
ANSWER-->Family Maximum deductible
Which of the following groups may NOT be insured by a
group life insurance policy? - ---CORRECT ANSWER--
>Individuals related by blood
3
Page
, A life insurance policyowner would like to take out a
policy loan against the cash value in his Whole Life Policy.
The interest rate applied to this loan may vary over time.
This is referred to as a(n) _______ rate loan. - ---
CORRECT ANSWER-->Variable
When a life insurance policy exceeds certain IRS table
values, the result would create which of the following? - -
--CORRECT ANSWER-->Modified Endowment Contract
(MEC)
A policy of adhesion can only be modified by whom? - ---
CORRECT ANSWER-->insurance company
If an insurer offers health coverage to an employee, the
insurer MUST inform the employer of all of the following
information EXCEPT: - ---CORRECT ANSWER-->The terms
of the insurer's provider agreements
Life insurance coverage will frequently contain an
Accelerated Benefits rider attached to the policy. What
would be considered a "qualifying event" under these
riders? - ---CORRECT ANSWER-->Medical condition
resulting in a significantly-shortened lifespan
4
Page
