Florida 2-15 Final Exam
When life insurance proceeds are used to pay inheritance taxes and
federal estate taxes, it is known as correct answersEstate conservation
In group insurance, the primary purpose of the Coordination of Benefits
provision is to correct answersPrevent overinsurance
Which of the following statements is NOT true regarding health insurance
policy provisions? correct answersAll additional provisions written by insurers
are cataloged by their respective states.
The policyowner has an option to pledge the life insurance policy as
collateral for a bank loan. This is called correct answersA collateral
assignment
A whole life policy is surrendered for a reduced-paid up policy. The cash
value in the new policy will correct answersContinue to increase
When filling out an application for insurance, the applicant makes a mistake.
If a fresh application were not available, what could the applicant do to
properly correct the mistake? correct answersCross the incorrect answer out,
write the correct one beside it, and initial the answer.
Which of the following riders pays a beneficiary a death benefit that is
double or triple the face amount if the insured's death was caused by an
accident as defined in the policy? correct answersAn Accidental Death
Rider
All of the following are consideration in an insurance policy
EXCEPT correct answersThe cash value in the policy.
An individual has a $200,000 convertible term life insurance policy. If he
chooses, he can correct answersConvert to a whole life policy for the
same face amount without proof of insurability.
Which of the following is NOT true regarding a deferred
annuity? correct answersIncome payments begin within 1 year
from the date of purchase.
A retail shop owner is insured under a business overhead expense policy
that pays a maximum monthly benefit of $2,500. His actual monthly
expenses are $3,000. If the owner becomes disabled, the monthly benefit
payable under his policy will be correct answers$2,500
, Which federal act defines rules pertaining to protected health
information? correct answersHIPAA
The "stop-loss" feature on a major medical policy is intended to correct
answersEstablish a maximum amount of out-of-pocket expense that an
insured will have to pay for medical expense in a calendar year.
If a business wants to make sure it will be able to cover losses due to the
disability of its top employee, the business should get which type of
insurance? correct answersKey person disability income
Life insurance creates an immediate estate. Which of the following best
explains this statement? correct answersThe face value of the policy is
payable to the beneficiary upon the death of the insured.
What is the maximum age that a disabled insured worker may receive
Social Security disability benefits? correct answers65
Whose responsibility is it to ensure that the application for health insurance
is complete and accurate? correct answersThe agent's
Which of the following policies would NOT offer a policy loan
option? correct answersTerm Life
Regarding the consideration clause, which of the following is NOT
correct? correct answersConsideration of the insurer and insured must
be equal.
The guaranteed purchase option is also referred to as the correct
answersFuture increase option.
When an insured terminates membership in the insured group, the insured
can convert to correct answersWhole life without proof of insurability.
Which dividend option will increase the death benefit? correct answersPaid-
up additions
What is the difference between a straight life policy and a 20-pay whole
life policy? correct answersPremium payment period
Which of the following policies can be described as a flexible premium
adjustable life policy? correct answersUniversal Life
All of the following statements are true regarding an Ordinary (Straight)
Life policy EXCEPT correct answersIt does not have a guaranteed death
benefit.
When life insurance proceeds are used to pay inheritance taxes and
federal estate taxes, it is known as correct answersEstate conservation
In group insurance, the primary purpose of the Coordination of Benefits
provision is to correct answersPrevent overinsurance
Which of the following statements is NOT true regarding health insurance
policy provisions? correct answersAll additional provisions written by insurers
are cataloged by their respective states.
The policyowner has an option to pledge the life insurance policy as
collateral for a bank loan. This is called correct answersA collateral
assignment
A whole life policy is surrendered for a reduced-paid up policy. The cash
value in the new policy will correct answersContinue to increase
When filling out an application for insurance, the applicant makes a mistake.
If a fresh application were not available, what could the applicant do to
properly correct the mistake? correct answersCross the incorrect answer out,
write the correct one beside it, and initial the answer.
Which of the following riders pays a beneficiary a death benefit that is
double or triple the face amount if the insured's death was caused by an
accident as defined in the policy? correct answersAn Accidental Death
Rider
All of the following are consideration in an insurance policy
EXCEPT correct answersThe cash value in the policy.
An individual has a $200,000 convertible term life insurance policy. If he
chooses, he can correct answersConvert to a whole life policy for the
same face amount without proof of insurability.
Which of the following is NOT true regarding a deferred
annuity? correct answersIncome payments begin within 1 year
from the date of purchase.
A retail shop owner is insured under a business overhead expense policy
that pays a maximum monthly benefit of $2,500. His actual monthly
expenses are $3,000. If the owner becomes disabled, the monthly benefit
payable under his policy will be correct answers$2,500
, Which federal act defines rules pertaining to protected health
information? correct answersHIPAA
The "stop-loss" feature on a major medical policy is intended to correct
answersEstablish a maximum amount of out-of-pocket expense that an
insured will have to pay for medical expense in a calendar year.
If a business wants to make sure it will be able to cover losses due to the
disability of its top employee, the business should get which type of
insurance? correct answersKey person disability income
Life insurance creates an immediate estate. Which of the following best
explains this statement? correct answersThe face value of the policy is
payable to the beneficiary upon the death of the insured.
What is the maximum age that a disabled insured worker may receive
Social Security disability benefits? correct answers65
Whose responsibility is it to ensure that the application for health insurance
is complete and accurate? correct answersThe agent's
Which of the following policies would NOT offer a policy loan
option? correct answersTerm Life
Regarding the consideration clause, which of the following is NOT
correct? correct answersConsideration of the insurer and insured must
be equal.
The guaranteed purchase option is also referred to as the correct
answersFuture increase option.
When an insured terminates membership in the insured group, the insured
can convert to correct answersWhole life without proof of insurability.
Which dividend option will increase the death benefit? correct answersPaid-
up additions
What is the difference between a straight life policy and a 20-pay whole
life policy? correct answersPremium payment period
Which of the following policies can be described as a flexible premium
adjustable life policy? correct answersUniversal Life
All of the following statements are true regarding an Ordinary (Straight)
Life policy EXCEPT correct answersIt does not have a guaranteed death
benefit.
