CA PSI-LIFE, ACCIDENT, AND HEALTH OR SICKNESS PRACTICE EXAM
Which of the following is TRUE of a point of service plan - correct answer A patient's care is
coordinated by an in-network primary care physician.
In a Level term life policy, which always remains constant ? - correct answer death benefit
which part of an insurance contract contains the promise to pay losses covered by the policy in
exchange for the insureds premium and compliance with policy terms ? - correct answer
insuring clause
In a home healthcare benefit, all of the following are eligible expenses EXCEPT - correct answer
blood transfusions
in noncontributory plans, which percentage of eligible members must participate? - correct
answer 1
How are issues of ambiguity usually resolved because insurance contracts are contracts of
adhesion? - correct answer In favor of the insured because the insurance company drafts the
language in the contract.
Why is the accidental death benefit referred to as double indemnity? - correct answer It
provides twice the face value in the policy for death due to accident.
which types of rider reimburses health and social service expenses incurred in a convalescent or
nursing home facility - correct answer long term care rider
All life insurance and health insurance contracts contain all of the following EXCEPT - correct
answer representations
all of the following are requirements to qualify for social security disability benefits except
when - correct answer unable to work in occupation in which the worker was trained or
educated.
what is the order in which beneficiaries receive proceeds from a life insurance policy ? - correct
answer succession of beneficiaries
If a company provides group disability insurance to its employees, which of the following may
be tax-deductible? - correct answer the premiums paid by the company as a business expense
Which annuity settlement option provides a stated monthly amount to the annuitant and upon
the annuitant's death the same or a lesser amount paid for the lifetime of the survivor? -
correct answer Joint and survivorship option
which of the following policy types is considered double indemnity - correct answer accidental
death
, How long after being entitled to disability benefits will an individual be eligible to receive
Medicare benefits? - correct answer 2 years
which of the following is an example of a hospital indemnity plan - correct answer pays a fixed
amount per day to the insured for each day the insured is hospitalized
According to the time of payment of claims provisions, the insurer must make the payment
immediately after receiving proof of loss EXCEPT - correct answer For claims involving periodic
payments
Which one of the following is particularly important to an insurance producer to explain to a
client upon delivery of a life insurance policy ? - correct answer Any exclusions
When would dependent children's benefits for social security disability payments be scaled
back ? - correct answer when they cause the family benefit to exceed the maximum benefit
amount
In a case where an individual's health is insured by both their own policy and their spouse's
policy, which policy pays in the event of an illness? - correct answer The individual's policy pays
first, the spouse's policy pays the remaining up to coverage amount.
What is the waiver of premium provision? - correct answer In a long term care contract, the
premium is waived after the insured has been confined for a specific period of time.
what is it called when an insurance company tries to recover from a different insurance policy
all part of its losses results from a claim - correct answer subrogation
all of the following are features of the spendthrift clause EXCEPT - correct answer the
beneficiary may encumber the proceeds
which of the following is common in an increasing term life policy ? - correct answer It begins
with little or no insurance protection.
which of the following is true of a cancelable policy ? - correct answer All unearned premiums
must be returned to the insured.
all of the following are characteristics of cobra EXCEPT - correct answer change in medical
privacy procedures.
which is an example of when an immediate annuity would be appropriate ? - correct answer
upon receipt of large insurance proceeds
Which plan is most commonly paired with a High Deductible Health Plan? - correct answer
Health Savings Account (HSA)
which of the following was specifically designed to address stoli and IOLI practices? - correct
answer NCOIL Act
Which of the following is TRUE of a point of service plan - correct answer A patient's care is
coordinated by an in-network primary care physician.
In a Level term life policy, which always remains constant ? - correct answer death benefit
which part of an insurance contract contains the promise to pay losses covered by the policy in
exchange for the insureds premium and compliance with policy terms ? - correct answer
insuring clause
In a home healthcare benefit, all of the following are eligible expenses EXCEPT - correct answer
blood transfusions
in noncontributory plans, which percentage of eligible members must participate? - correct
answer 1
How are issues of ambiguity usually resolved because insurance contracts are contracts of
adhesion? - correct answer In favor of the insured because the insurance company drafts the
language in the contract.
Why is the accidental death benefit referred to as double indemnity? - correct answer It
provides twice the face value in the policy for death due to accident.
which types of rider reimburses health and social service expenses incurred in a convalescent or
nursing home facility - correct answer long term care rider
All life insurance and health insurance contracts contain all of the following EXCEPT - correct
answer representations
all of the following are requirements to qualify for social security disability benefits except
when - correct answer unable to work in occupation in which the worker was trained or
educated.
what is the order in which beneficiaries receive proceeds from a life insurance policy ? - correct
answer succession of beneficiaries
If a company provides group disability insurance to its employees, which of the following may
be tax-deductible? - correct answer the premiums paid by the company as a business expense
Which annuity settlement option provides a stated monthly amount to the annuitant and upon
the annuitant's death the same or a lesser amount paid for the lifetime of the survivor? -
correct answer Joint and survivorship option
which of the following policy types is considered double indemnity - correct answer accidental
death
, How long after being entitled to disability benefits will an individual be eligible to receive
Medicare benefits? - correct answer 2 years
which of the following is an example of a hospital indemnity plan - correct answer pays a fixed
amount per day to the insured for each day the insured is hospitalized
According to the time of payment of claims provisions, the insurer must make the payment
immediately after receiving proof of loss EXCEPT - correct answer For claims involving periodic
payments
Which one of the following is particularly important to an insurance producer to explain to a
client upon delivery of a life insurance policy ? - correct answer Any exclusions
When would dependent children's benefits for social security disability payments be scaled
back ? - correct answer when they cause the family benefit to exceed the maximum benefit
amount
In a case where an individual's health is insured by both their own policy and their spouse's
policy, which policy pays in the event of an illness? - correct answer The individual's policy pays
first, the spouse's policy pays the remaining up to coverage amount.
What is the waiver of premium provision? - correct answer In a long term care contract, the
premium is waived after the insured has been confined for a specific period of time.
what is it called when an insurance company tries to recover from a different insurance policy
all part of its losses results from a claim - correct answer subrogation
all of the following are features of the spendthrift clause EXCEPT - correct answer the
beneficiary may encumber the proceeds
which of the following is common in an increasing term life policy ? - correct answer It begins
with little or no insurance protection.
which of the following is true of a cancelable policy ? - correct answer All unearned premiums
must be returned to the insured.
all of the following are characteristics of cobra EXCEPT - correct answer change in medical
privacy procedures.
which is an example of when an immediate annuity would be appropriate ? - correct answer
upon receipt of large insurance proceeds
Which plan is most commonly paired with a High Deductible Health Plan? - correct answer
Health Savings Account (HSA)
which of the following was specifically designed to address stoli and IOLI practices? - correct
answer NCOIL Act
