LOMA 280 EXAM (ACTUAL 2025) WITH ALL
QUESTIONS AND VERIFIED WANSWERS
401K Plan -<<<Answers>>>In the United States, a type of
savings plan that allows employees to make contributions on a
pre tax basis. (12)
absolute assignment -<<<Answers>>>An assignment of a life
insurance policy under which the policy owner transfers all of
his policy ownership rights to the assignee. Contrast with
collateral assignment. (9)
noncontributory plan -<<<Answers>>>A group insurance
plan under which insured group members are not required to
pay any part of the group insurance premium. (11)
nonduplication of benefits provision -<<<Answers>>>A
coordination of benefits provision that, if included in a
secondary provider's plan, limits the amount payable by the
secondary plan to the difference, if any, between the amount
paid by the promary plan and the amount that would have
been payable by the secondary plan had that plan been the
primary plan. (14)
nonforteiture provision -<<<Answers>>>A cash value life
insurance policy provision that sets forth the options available
,to the owner of a cash value policy if the policy lapses or if
the policy owner decides to surrender or terminate the policy.
(8)
nonparticipating policy, nonpar policy -<<<Answers>>>A
type of insurance policy in which the policyowner does not
share in the insurer's surplus. Contrast with participating
policy.
offer -<<<Answers>>>A proposal to enter into a binding
contract with another party. (3)
open contract -<<<Answers>>>A contract that identifies the
documents that constitute the contract between the parties, but
all the enumerated documents are not necessarily attached to
the contract. Contrast with closed contract. (8)
open enrollment period -<<<Answers>>>A period of time
typically a specified 30 or 31 days per year during which
eligible people who did not join a group insurance plan at the
first opportunity subsequently may join the plan without
providing evidence of insurability. (11)
operating expenses -<<<Answers>>>The expenses that arise
in the normal course of an insurer's operations. (4)
,original age conversion -<<<Answers>>>A conversion of a
term life insurance policy to a cash value life insurance policy
in which the premium rate for the cash value policy is based
on the insured's age when the original term policy was issued.
Contrast with attained age conversions. (5)
overinsurance provision -<<<Answers>>>An individual
health insurance provision which states that the benefits
payable under the policy will be reduced if the insured is
overinsured. (14)
overinsured person -<<<Answers>>>A person who is entitled
to receive either
1. more in medical expense benefits than the actual costs
incurred for treatment or
2. a greater income amount during disability than the amount
that would have been earned from working. (14)
owners' equity. -<<<Answers>>>The owners' financial
interest in a company, which is the difference between the
amount of the company's assets and the amount of it
liabilities. (2)
ownership of property -<<<Answers>>>The sum of all the
legal rights that exist in a piece of property. (9)
, paid up additional insurance dividend option -
<<<Answers>>>A policy dividend option under which the
insurer uses any declared policy dividend to purchase paid up
additional insurance on the insured's life. (9)
paid up additions option benefit -<<<Answers>>>A
supplemental life insurance policy benefit that allows the
owner of a whole life insurance policy to purchase single
premium paid up additions to the policy on stated dates in the
future without providing evidence of the insured's insurability.
(7)
paid up policy -<<<Answers>>>A life insurance policy that
requires no further premium payments but continues to
provide coverage. (6)
partial disability -<<<Answers>>>A disability that prevents
the insured either from performing some of the duties of his
usual occupation or from engaging in that occupation on a full
time bases. (13)
participating policy, par policy -<<<Answers>>>A type of
insurance policy under which the policyowner shares in the
insurance company's divisible surplus. Contrast with
nonparticipating policy. (9)
QUESTIONS AND VERIFIED WANSWERS
401K Plan -<<<Answers>>>In the United States, a type of
savings plan that allows employees to make contributions on a
pre tax basis. (12)
absolute assignment -<<<Answers>>>An assignment of a life
insurance policy under which the policy owner transfers all of
his policy ownership rights to the assignee. Contrast with
collateral assignment. (9)
noncontributory plan -<<<Answers>>>A group insurance
plan under which insured group members are not required to
pay any part of the group insurance premium. (11)
nonduplication of benefits provision -<<<Answers>>>A
coordination of benefits provision that, if included in a
secondary provider's plan, limits the amount payable by the
secondary plan to the difference, if any, between the amount
paid by the promary plan and the amount that would have
been payable by the secondary plan had that plan been the
primary plan. (14)
nonforteiture provision -<<<Answers>>>A cash value life
insurance policy provision that sets forth the options available
,to the owner of a cash value policy if the policy lapses or if
the policy owner decides to surrender or terminate the policy.
(8)
nonparticipating policy, nonpar policy -<<<Answers>>>A
type of insurance policy in which the policyowner does not
share in the insurer's surplus. Contrast with participating
policy.
offer -<<<Answers>>>A proposal to enter into a binding
contract with another party. (3)
open contract -<<<Answers>>>A contract that identifies the
documents that constitute the contract between the parties, but
all the enumerated documents are not necessarily attached to
the contract. Contrast with closed contract. (8)
open enrollment period -<<<Answers>>>A period of time
typically a specified 30 or 31 days per year during which
eligible people who did not join a group insurance plan at the
first opportunity subsequently may join the plan without
providing evidence of insurability. (11)
operating expenses -<<<Answers>>>The expenses that arise
in the normal course of an insurer's operations. (4)
,original age conversion -<<<Answers>>>A conversion of a
term life insurance policy to a cash value life insurance policy
in which the premium rate for the cash value policy is based
on the insured's age when the original term policy was issued.
Contrast with attained age conversions. (5)
overinsurance provision -<<<Answers>>>An individual
health insurance provision which states that the benefits
payable under the policy will be reduced if the insured is
overinsured. (14)
overinsured person -<<<Answers>>>A person who is entitled
to receive either
1. more in medical expense benefits than the actual costs
incurred for treatment or
2. a greater income amount during disability than the amount
that would have been earned from working. (14)
owners' equity. -<<<Answers>>>The owners' financial
interest in a company, which is the difference between the
amount of the company's assets and the amount of it
liabilities. (2)
ownership of property -<<<Answers>>>The sum of all the
legal rights that exist in a piece of property. (9)
, paid up additional insurance dividend option -
<<<Answers>>>A policy dividend option under which the
insurer uses any declared policy dividend to purchase paid up
additional insurance on the insured's life. (9)
paid up additions option benefit -<<<Answers>>>A
supplemental life insurance policy benefit that allows the
owner of a whole life insurance policy to purchase single
premium paid up additions to the policy on stated dates in the
future without providing evidence of the insured's insurability.
(7)
paid up policy -<<<Answers>>>A life insurance policy that
requires no further premium payments but continues to
provide coverage. (6)
partial disability -<<<Answers>>>A disability that prevents
the insured either from performing some of the duties of his
usual occupation or from engaging in that occupation on a full
time bases. (13)
participating policy, par policy -<<<Answers>>>A type of
insurance policy under which the policyowner shares in the
insurance company's divisible surplus. Contrast with
nonparticipating policy. (9)
