Indiana Life and Health Insurance State
Exam Simulator
A group life insurance policy can be converted to an individual whole life policy under which
circumstance? - ANS-Employment termination
Nonpayment of premiums
Policy reinstatement
Decrease in employer revenue
53 of 200 Questions Remaining
Proceed
Correct. Termination of employment is a circumstance under which a group life insurance policy
can be converted to an individual policy.
A life insurance arrangement which circumvents insurable interest statutes is called: - ANS-a
contract of adhesion
an indemnity contract
key person insurance
Investor-Originated Life Insurance
Correct. Investor-originated life insurance (or IOLI) is used to circumvent state insurable interest
statutes. This is done when an investor (or stranger) persuades an individual to take out life
insurance specifically for the purpose of selling the policy to the investor. The investor
compensates the insured and makes the premiums, then collects the death benefit when the
insured dies.
A Major Medical policy typically contains a provision that requires the insurer to pay only part of
a loss, while the balance is paid by the insured. This provision is called - ANS-Assignment of
Benefits
Coinsurance
Indemnity
Co-deductible
53 of 200 Questions Remaining
Proceed
Correct. The provision in a Major Medical policy that requires the insurance company pay only
part of a loss and the insured to pay the balance is known as coinsurance.
A policyowner is able to choose the frequency of premium payments through what policy
feature?
Consideration
Payor benefit
Premium Mode
Assignment provision
53 of 200 Questions Remaining
, Proceed
Correct. Premium Mode is the feature that allows the policyowner to select the timing of
premium payment, such as monthly, quarterly, annually etc. - ANS-
An applicant for a resident insurance producer's license MUST meet which of the following
requirements? - ANS-Have at least thirty college credits in insurance-related courses
Complete a prelicensing examination
Submit a minimum of two insurance company appointments to the Insurance Commissioner
Be a resident of this state for a minimum of one year
53 of 200 Questions Remaining
Proceed
Correct. One of the requirements for obtaining a resident insurance license is to have
successfully passed the examination for the line of authority to which the person has applied.
An architecture firm would stand to lose a lot of money in the event of the death of its project
manager. Which type of policy should the firm purchase on its project manager? -
ANS-Universal life insurance
Key Person insurance
Graded insurance
Executive insurance
Correct. Key person insurance is a type of life insurance policy that provides a death benefit to a
business if its owner or another significant employee passes away.
Eligible employees must be added to group health coverage NO LATER than ___ days after
their first day of employment. - ANS-30
45
60
90
53 of 200 Questions Remaining
Proceed
Correct. Employees shall be added to the master group coverage no later than 90 days after
their first day of employment.
If a retiree on Medicare required five hospital stays in one year, which policy would provide the
best insurance for excess hospital expenses? - ANS-Long-term care
Indemnity
Medicare Supplement
Medicaid
Correct. In this situation, a Medicare Supplement policy would provide the subscriber the best
coverage for excess charges.
If an individual is covered under an Accidental Death Policy and dies, an autopsy can be
performed in all these situations, EXCEPT: - ANS-When the cause of death is unknown
When the state prohibits this by law
When consent for the autopsy is not obtained
When foul play was a contributing factor
53 of 200 Questions Remaining
Proceed
Correct. Applicable state laws that prevent an autopsy take precedence.
Exam Simulator
A group life insurance policy can be converted to an individual whole life policy under which
circumstance? - ANS-Employment termination
Nonpayment of premiums
Policy reinstatement
Decrease in employer revenue
53 of 200 Questions Remaining
Proceed
Correct. Termination of employment is a circumstance under which a group life insurance policy
can be converted to an individual policy.
A life insurance arrangement which circumvents insurable interest statutes is called: - ANS-a
contract of adhesion
an indemnity contract
key person insurance
Investor-Originated Life Insurance
Correct. Investor-originated life insurance (or IOLI) is used to circumvent state insurable interest
statutes. This is done when an investor (or stranger) persuades an individual to take out life
insurance specifically for the purpose of selling the policy to the investor. The investor
compensates the insured and makes the premiums, then collects the death benefit when the
insured dies.
A Major Medical policy typically contains a provision that requires the insurer to pay only part of
a loss, while the balance is paid by the insured. This provision is called - ANS-Assignment of
Benefits
Coinsurance
Indemnity
Co-deductible
53 of 200 Questions Remaining
Proceed
Correct. The provision in a Major Medical policy that requires the insurance company pay only
part of a loss and the insured to pay the balance is known as coinsurance.
A policyowner is able to choose the frequency of premium payments through what policy
feature?
Consideration
Payor benefit
Premium Mode
Assignment provision
53 of 200 Questions Remaining
, Proceed
Correct. Premium Mode is the feature that allows the policyowner to select the timing of
premium payment, such as monthly, quarterly, annually etc. - ANS-
An applicant for a resident insurance producer's license MUST meet which of the following
requirements? - ANS-Have at least thirty college credits in insurance-related courses
Complete a prelicensing examination
Submit a minimum of two insurance company appointments to the Insurance Commissioner
Be a resident of this state for a minimum of one year
53 of 200 Questions Remaining
Proceed
Correct. One of the requirements for obtaining a resident insurance license is to have
successfully passed the examination for the line of authority to which the person has applied.
An architecture firm would stand to lose a lot of money in the event of the death of its project
manager. Which type of policy should the firm purchase on its project manager? -
ANS-Universal life insurance
Key Person insurance
Graded insurance
Executive insurance
Correct. Key person insurance is a type of life insurance policy that provides a death benefit to a
business if its owner or another significant employee passes away.
Eligible employees must be added to group health coverage NO LATER than ___ days after
their first day of employment. - ANS-30
45
60
90
53 of 200 Questions Remaining
Proceed
Correct. Employees shall be added to the master group coverage no later than 90 days after
their first day of employment.
If a retiree on Medicare required five hospital stays in one year, which policy would provide the
best insurance for excess hospital expenses? - ANS-Long-term care
Indemnity
Medicare Supplement
Medicaid
Correct. In this situation, a Medicare Supplement policy would provide the subscriber the best
coverage for excess charges.
If an individual is covered under an Accidental Death Policy and dies, an autopsy can be
performed in all these situations, EXCEPT: - ANS-When the cause of death is unknown
When the state prohibits this by law
When consent for the autopsy is not obtained
When foul play was a contributing factor
53 of 200 Questions Remaining
Proceed
Correct. Applicable state laws that prevent an autopsy take precedence.
