Exam (100% Pass)With Questions and
Very Correct Answers
Select from the choices below the best description of a
speculative risk? - Correct Answer--Involving the possibility of a
gain in addition to the uncertainty of loss
If there is a material change in an MEC contract, what is the first
thing needing to be done? - Correct Answer--Another 7 pay test
Which of the following is not taxable? - Correct Answer--Fixed
amount installments
A premature distribution from a Roth IRA made before the age
59.5 is subject to a 10% penalty tax unless: - Correct Answer--It
was used as a down payment on first home
Carlos cancels his life policy but instructs the insurance company
to transfer the cash value of his policy to an annuity. This non
taxable transaction is called? - Correct Answer--1035 Exchange
Which of the following is a disadvantage to setup and participate
in a qualified retirement plan? - Correct Answer--Immediate
liquidity
All of these types of distributions that are exceptions to the 10%
penalty rule except: - Correct Answer--New car purchase
,Which of the following does not describe a 401(K) characteristics -
Correct Answer--Currently $49,000 maximum contribution
The following are examples of Qualified Retirement Plans except: -
Correct Answer--501c(3)
Which of the following is not correct regarding Long Term Care -
Correct Answer--It provides different benefits for different levels of
care
Medicare Select is a type of? - Correct Answer--Medicare
Supplement plan offered by an HMO
Which of the following statements is correct regarding Medicare
Advantage - Correct Answer--It can offer benefits that ate not
covered by regular Medicare
Which of the following is correct with regards to the hospital
insurance Part A plan of Medicare - Correct Answer--Insured must
satisfy a deductible
Which of the following statements is correct about Part B of
Medicare - Correct Answer--An annual deductible is required
All of the following examples of groups that purchase group health
insurance except: - Correct Answer--MEWA
,The following are example of limited health plans except: - Correct
Answer--HMO
Ally wants a rider that will pay disability that social security will
pay for one year, assuming that social security should begin then.
What type of rider should she consider? - Correct Answer--
Additional monthly benefit (AMB)
How many QCs are necessary to be fully funded? - Correct
Answer--40
If Bill has a type of disability plan that has benefits set at a
percentage of income, what type is it? - Correct Answer--Employer
Group
Ally wants to make sure that her benefits for her disability policy
keep up with the rate of inflation, what type of rider should she
consider - Correct Answer--COLA
How many QCs are necessary to be deemed partially insured -
Correct Answer--6 in the last 13
If Jill has a type of disability plan that has benefits set at a flat
amount per month, what type is it? - Correct Answer--Individual
The period before benefits begin is termed as all of the following
except: - Correct Answer--Pre-benefit period
, Which of the following does Coinsurance describe? - Correct
Answer--a percentage the insured will pay after the deductible
If a health insurer does not pay a claim more than how many days
after required a 1% per month penalty will begin? - Correct
Answer--25 days
How many days after receiving notice of a claim does an insurer
have to furnish proof of loss forms? - Correct Answer--15
If Martha wants to pay her daughter's college tuition, which of the
following can be used as an education annuity? - Correct Answer--
Annuity Certain
The best description of a hazard is? - Correct Answer--Condition
that may increase the chance that a loss may occur
Choose from the following selections the best description of a
premium? - Correct Answer--The amount an insured pays for each
unit of coverage. $7 for every $1,000 of coverage is an example.
Which of the following is correct about a Third-Party
Administrator? - Correct Answer--It is an independent company
that provides administrative services for company's self-funded
plans