FL Health and Life Insurance
Exam 118 questions with
verified solutions
An insured is hospitalized with a back injury.upon checking his disability
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income policy, he learns that he will not be eligible for benefits for at least
|| || || || || || || || || || || || || ||
30 days. This indicates that his policy is written with a 30 day
|| || || || || || || || || || || || || ||
______________. - correct answer ✔Elimination Period || || || || ||
All of the following are examples of third-party ownership of a life
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insurance policy EXCEPT - correct answer ✔an insured borrows money from
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the bank and makes a collateral assignment of a part of the death benefit
|| || || || || || || || || || || || || || ||
to secure the loan
|| || ||
What document describes an insured's medical history, including diagnoses
|| || || || || || || || ||
and treatments? - correct answer ✔Attending Physician's Statement
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Under a health insurance policy, other than death benefits, that have not
|| || || || || || || || || || || ||
otherwise been assigned, will be paid to _______________ - correct answer
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✔The insured ||
A policy will pay the death benefit if the insured dies during the 20 year
|| || || || || || || || || || || || || || ||
premium-paying period, and nothing if death occurs after the 20-year || || || || || || || || || ||
period. What type of policy is this? - correct answer ✔Level term
|| || || || || || || || || || ||
,Which option for Universal life allows the beneficiary to collect both the
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death benefit and cash value upon the death of the insured? - correct
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answer ✔Option B || ||
Who must pay for the cost of a medical examination required in the
|| || || || || || || || || || || || ||
process of underwriting? - correct answer ✔Insurer
|| || || || || ||
Which of the following would be deducted from the death benefit paid to
|| || || || || || || || || || || || ||
a beneficiary, if a partial accelerated death benefit had been paid while the
|| || || || || || || || || || || ||
insured was still alive? - correct answer ✔Amount paid with accelerated
|| || || || || || || || || || || ||
benefit, plus the earnings lost by insurance company in interest income
|| || || || || || || || || || ||
from accelerated benefit
|| ||
An insured's long-term care policy is scheduled to pay a fixed amount of
|| || || || || || || || || || || || ||
coverage of $120 per day. The long-term care facility only charged $100 per
|| || || || || || || || || || || ||
day. How much will the insurance company pay? - correct answer ✔$120
|| || || || || || || || || || || || ||
a day||
According to the rights of renewability rider for cancellable policies, all of
|| || || || || || || || || || || ||
the following are correct about the cancellation of an individual insurance
|| || || || || || || || || || ||
policy EXCEPT - correct answer ✔Unearned premiums are retained by the
|| || || || || || || || || || ||
insurance company. ||
As it pertains to group health insurance, COBRA stipulates that - correct
|| || || || || || || || || || || ||
answer ✔Group coverage must be extended for terminated employees up
|| || || || || || || || || ||
to a certain period of time at the former employee's expense.
|| || || || || || || || || ||
, All of the following statements concerning medicaid are correct EXCEPT -
|| || || || || || || || || || ||
correct answer ✔Medicaid is a state funded program that provides health
|| || || || || || || || || || ||
care to persons over age 65, only.
|| || || || || ||
Which of the following is true regarding taxation of accelerated benefits
|| || || || || || || || || || ||
under a life insurance policy? - correct answer ✔They are tax free to
|| || || || || || || || || || || || ||
terminally ill insured. || ||
An absolute assignment is a - correct answer ✔Transfer of all ownership
|| || || || || || || || || || || ||
rights in a policy. || || ||
Which of the following best describes the concept that the insured pays a
|| || || || || || || || || || || || ||
small amount of premium for a large amount of risk on the part of the
|| || || || || || || || || || || || || || ||
insurance company? - correct answer ✔Aleatory || || || || ||
The transfer of an insured's right to seek damages from a negligent party
|| || || || || || || || || || || || ||
to the insurer is found in which of the following clauses? - correct answer
|| || || || || || || || || || || || || ||
✔Subrogation
An insured owns a $50,000 whole life policy. At age 47, the insured decides
|| || || || || || || || || || || || ||
to cancel his policy and exercise the extended term option for the policy's
|| || || || || || || || || || || || || ||
cash value, which is currently $20,000. What would be the face amount of
|| || || || || || || || || || || || ||
the new term policy? - correct answer ✔$50,000
|| || || || || || ||
If a life insurance policy has an irrevocable beneficiary designation, - correct
|| || || || || || || || || || ||
answer ✔The beneficiary can only be changed with written permission of
|| || || || || || || || || || || ||
the beneficiary.||
Exam 118 questions with
verified solutions
An insured is hospitalized with a back injury.upon checking his disability
|| || || || || || || || || || ||
income policy, he learns that he will not be eligible for benefits for at least
|| || || || || || || || || || || || || ||
30 days. This indicates that his policy is written with a 30 day
|| || || || || || || || || || || || || ||
______________. - correct answer ✔Elimination Period || || || || ||
All of the following are examples of third-party ownership of a life
|| || || || || || || || || || || ||
insurance policy EXCEPT - correct answer ✔an insured borrows money from
|| || || || || || || || || ||
the bank and makes a collateral assignment of a part of the death benefit
|| || || || || || || || || || || || || || ||
to secure the loan
|| || ||
What document describes an insured's medical history, including diagnoses
|| || || || || || || || ||
and treatments? - correct answer ✔Attending Physician's Statement
|| || || || || || ||
Under a health insurance policy, other than death benefits, that have not
|| || || || || || || || || || || ||
otherwise been assigned, will be paid to _______________ - correct answer
|| || || || || || || || || || ||
✔The insured ||
A policy will pay the death benefit if the insured dies during the 20 year
|| || || || || || || || || || || || || || ||
premium-paying period, and nothing if death occurs after the 20-year || || || || || || || || || ||
period. What type of policy is this? - correct answer ✔Level term
|| || || || || || || || || || ||
,Which option for Universal life allows the beneficiary to collect both the
|| || || || || || || || || || || ||
death benefit and cash value upon the death of the insured? - correct
|| || || || || || || || || || || || ||
answer ✔Option B || ||
Who must pay for the cost of a medical examination required in the
|| || || || || || || || || || || || ||
process of underwriting? - correct answer ✔Insurer
|| || || || || ||
Which of the following would be deducted from the death benefit paid to
|| || || || || || || || || || || || ||
a beneficiary, if a partial accelerated death benefit had been paid while the
|| || || || || || || || || || || ||
insured was still alive? - correct answer ✔Amount paid with accelerated
|| || || || || || || || || || || ||
benefit, plus the earnings lost by insurance company in interest income
|| || || || || || || || || || ||
from accelerated benefit
|| ||
An insured's long-term care policy is scheduled to pay a fixed amount of
|| || || || || || || || || || || || ||
coverage of $120 per day. The long-term care facility only charged $100 per
|| || || || || || || || || || || ||
day. How much will the insurance company pay? - correct answer ✔$120
|| || || || || || || || || || || || ||
a day||
According to the rights of renewability rider for cancellable policies, all of
|| || || || || || || || || || || ||
the following are correct about the cancellation of an individual insurance
|| || || || || || || || || || ||
policy EXCEPT - correct answer ✔Unearned premiums are retained by the
|| || || || || || || || || || ||
insurance company. ||
As it pertains to group health insurance, COBRA stipulates that - correct
|| || || || || || || || || || || ||
answer ✔Group coverage must be extended for terminated employees up
|| || || || || || || || || ||
to a certain period of time at the former employee's expense.
|| || || || || || || || || ||
, All of the following statements concerning medicaid are correct EXCEPT -
|| || || || || || || || || || ||
correct answer ✔Medicaid is a state funded program that provides health
|| || || || || || || || || || ||
care to persons over age 65, only.
|| || || || || ||
Which of the following is true regarding taxation of accelerated benefits
|| || || || || || || || || || ||
under a life insurance policy? - correct answer ✔They are tax free to
|| || || || || || || || || || || || ||
terminally ill insured. || ||
An absolute assignment is a - correct answer ✔Transfer of all ownership
|| || || || || || || || || || || ||
rights in a policy. || || ||
Which of the following best describes the concept that the insured pays a
|| || || || || || || || || || || || ||
small amount of premium for a large amount of risk on the part of the
|| || || || || || || || || || || || || || ||
insurance company? - correct answer ✔Aleatory || || || || ||
The transfer of an insured's right to seek damages from a negligent party
|| || || || || || || || || || || || ||
to the insurer is found in which of the following clauses? - correct answer
|| || || || || || || || || || || || || ||
✔Subrogation
An insured owns a $50,000 whole life policy. At age 47, the insured decides
|| || || || || || || || || || || || ||
to cancel his policy and exercise the extended term option for the policy's
|| || || || || || || || || || || || || ||
cash value, which is currently $20,000. What would be the face amount of
|| || || || || || || || || || || || ||
the new term policy? - correct answer ✔$50,000
|| || || || || || ||
If a life insurance policy has an irrevocable beneficiary designation, - correct
|| || || || || || || || || || ||
answer ✔The beneficiary can only be changed with written permission of
|| || || || || || || || || || || ||
the beneficiary.||
