Louisiana Life and Health Insurance
Exam Questions and 100% Correct Well
Verified Answers
When are group disability benefits considered to be tax-free to the
insured? - Correct Answer--When the recipient pays the premiums
An insurable interest in each other's lives may exist in absence of
an economic interest when the individuals are - Correct Answer--
Marriage partners
What is the elimination period of an individual disability policy? -
Correct Answer--Time period a disabled person must wait before
benefits are paid
What happens to interest earned if the annuitant dies before the
payout start date? - Correct Answer--It is taxable
In which of the following situations would the insurer be liable for
a loss? - Correct Answer--The insured suffered an injury as an
innocent bystander during a bank robbery
In what form do disability income policies typically pay benefits? -
Correct Answer--Periodic income
Which of the following is typically NOT eligible for coverage in a
group health policy? - Correct Answer--Temporary employee
,Which of the following would be considered a possible applicant
and contract policyholder for group health benefits? - Correct
Answer--Employer
A Medicare Supplement Policy is - Correct Answer--designed to fill
in the gaps of Part A and Part B Medicare
Under a Modified Endowment Contract, what are the likely tax
consequences? - Correct Answer--Pre-death distributions will
become taxable
In a Long-Term Care policy, activities of daily living (ADL's) can be
each of the following EXCEPT - Correct Answer--Talking
Which of the following is an annuity that is linked to a market-
related index? - Correct Answer--Equity-indexed annuity
An insurer operating in the U.S. but headquartered outside the
U.S. is - Correct Answer--an alien insurer
Group dental plans will frequently place a limit on annual benefits
in order to minimize - Correct Answer--adverse selection
All of the following are considered to be fraud EXCEPT - Correct
Answer--collecting a charge for insurance that is less than the
charge applicable to that insurance
, A producer's license in Louisiana must be renewed every - Correct
Answer--Two years
An insured has a health plan that pays established amounts in
accordance with a list of injuries, surgical procedures, or other
losses. This list is called a - Correct Answer--benefit schedule
Under the Consolidated Omnibus Budget Reconciliation Act
(COBRA), a terminated employee's benefits must - Correct
Answer--be the same and the premium cannot exceed 102%
If a producer has been engaged in an administrative action by any
governmental agency, within how many days following the final
deposition must the producer report the action to the
Commissioner? - Correct Answer--30
Ownership of a life insurance policy may be temporarily
transferred with a(n) - Correct Answer--collateral assignment
Under a Traditional IRA, interest earned is taxed - Correct Answer--
upon distribution
When a Medicare Supplement insurance policy is being replaced,
who must sign the notice of replacement? - Correct Answer--The
producer and the applicant
Exam Questions and 100% Correct Well
Verified Answers
When are group disability benefits considered to be tax-free to the
insured? - Correct Answer--When the recipient pays the premiums
An insurable interest in each other's lives may exist in absence of
an economic interest when the individuals are - Correct Answer--
Marriage partners
What is the elimination period of an individual disability policy? -
Correct Answer--Time period a disabled person must wait before
benefits are paid
What happens to interest earned if the annuitant dies before the
payout start date? - Correct Answer--It is taxable
In which of the following situations would the insurer be liable for
a loss? - Correct Answer--The insured suffered an injury as an
innocent bystander during a bank robbery
In what form do disability income policies typically pay benefits? -
Correct Answer--Periodic income
Which of the following is typically NOT eligible for coverage in a
group health policy? - Correct Answer--Temporary employee
,Which of the following would be considered a possible applicant
and contract policyholder for group health benefits? - Correct
Answer--Employer
A Medicare Supplement Policy is - Correct Answer--designed to fill
in the gaps of Part A and Part B Medicare
Under a Modified Endowment Contract, what are the likely tax
consequences? - Correct Answer--Pre-death distributions will
become taxable
In a Long-Term Care policy, activities of daily living (ADL's) can be
each of the following EXCEPT - Correct Answer--Talking
Which of the following is an annuity that is linked to a market-
related index? - Correct Answer--Equity-indexed annuity
An insurer operating in the U.S. but headquartered outside the
U.S. is - Correct Answer--an alien insurer
Group dental plans will frequently place a limit on annual benefits
in order to minimize - Correct Answer--adverse selection
All of the following are considered to be fraud EXCEPT - Correct
Answer--collecting a charge for insurance that is less than the
charge applicable to that insurance
, A producer's license in Louisiana must be renewed every - Correct
Answer--Two years
An insured has a health plan that pays established amounts in
accordance with a list of injuries, surgical procedures, or other
losses. This list is called a - Correct Answer--benefit schedule
Under the Consolidated Omnibus Budget Reconciliation Act
(COBRA), a terminated employee's benefits must - Correct
Answer--be the same and the premium cannot exceed 102%
If a producer has been engaged in an administrative action by any
governmental agency, within how many days following the final
deposition must the producer report the action to the
Commissioner? - Correct Answer--30
Ownership of a life insurance policy may be temporarily
transferred with a(n) - Correct Answer--collateral assignment
Under a Traditional IRA, interest earned is taxed - Correct Answer--
upon distribution
When a Medicare Supplement insurance policy is being replaced,
who must sign the notice of replacement? - Correct Answer--The
producer and the applicant
