MISSISSIPPI LIFE AND HEALTH INSURANCE
PRACTICE EXAM QUESTIONS AND CORRECT
ANSWERS (VERIFIED ANSWERS) PLUS
RATIONALES 2025
1. What is the purpose of the Mississippi Life and Health Insurance Guaranty
Association?
A. To provide insurance to high-risk applicants
B. To protect policyholders if an insurer becomes insolvent
C. To monitor insurance fraud
D. To issue insurance licenses
The Guaranty Association protects Mississippi policyholders by covering
claims if a licensed insurer becomes insolvent.
2. In Mississippi, how long is the free look period for life insurance policies?
A. 5 days
B. 10 days
C. 20 days
D. 30 days
, Policyholders have 10 days to review and cancel a new life insurance
policy without penalty.
3. Which of the following types of insurance primarily provides coverage for
expenses due to a hospital stay?
A. Disability income
B. Hospital indemnity
C. Accidental death
D. Term life
Hospital indemnity policies pay a specific amount per day for
hospitalization, regardless of other coverage.
4. An insurer must provide how many days' notice before canceling a health
policy for non-payment in Mississippi?
A. 5 days
B. 7 days
C. 10 days
D. 15 days
Mississippi law requires a 10-day written notice before health policy
cancellation for non-payment.
5. What is the primary benefit of a whole life insurance policy?
A. Temporary coverage
B. Lifetime protection with cash value accumulation
C. Cheapest premiums
D. Only pays for accidental death
Whole life provides permanent coverage and builds cash value over time.
, 6. Which of the following is NOT a required provision in individual health
insurance policies in Mississippi?
A. Entire contract
B. Double indemnity
C. Grace period
D. Reinstatement
Double indemnity is a rider, not a mandatory policy provision.
7. What does the incontestability clause do?
A. Guarantees coverage for all preexisting conditions
B. Prevents the insurer from voiding the policy after a certain time period
C. Allows the insurer to cancel at any time
D. Requires court approval before cancellation
After the policy has been in force for a set period (usually 2 years), the
insurer cannot contest its validity.
8. What is the grace period for a health insurance policy with monthly
premiums in Mississippi?
A. 7 days
B. 10 days
C. 15 days
D. 31 days
Mississippi law mandates a 10-day grace period for monthly health
insurance premium payments.
9. What does term life insurance provide?
A. Temporary coverage with no cash value
PRACTICE EXAM QUESTIONS AND CORRECT
ANSWERS (VERIFIED ANSWERS) PLUS
RATIONALES 2025
1. What is the purpose of the Mississippi Life and Health Insurance Guaranty
Association?
A. To provide insurance to high-risk applicants
B. To protect policyholders if an insurer becomes insolvent
C. To monitor insurance fraud
D. To issue insurance licenses
The Guaranty Association protects Mississippi policyholders by covering
claims if a licensed insurer becomes insolvent.
2. In Mississippi, how long is the free look period for life insurance policies?
A. 5 days
B. 10 days
C. 20 days
D. 30 days
, Policyholders have 10 days to review and cancel a new life insurance
policy without penalty.
3. Which of the following types of insurance primarily provides coverage for
expenses due to a hospital stay?
A. Disability income
B. Hospital indemnity
C. Accidental death
D. Term life
Hospital indemnity policies pay a specific amount per day for
hospitalization, regardless of other coverage.
4. An insurer must provide how many days' notice before canceling a health
policy for non-payment in Mississippi?
A. 5 days
B. 7 days
C. 10 days
D. 15 days
Mississippi law requires a 10-day written notice before health policy
cancellation for non-payment.
5. What is the primary benefit of a whole life insurance policy?
A. Temporary coverage
B. Lifetime protection with cash value accumulation
C. Cheapest premiums
D. Only pays for accidental death
Whole life provides permanent coverage and builds cash value over time.
, 6. Which of the following is NOT a required provision in individual health
insurance policies in Mississippi?
A. Entire contract
B. Double indemnity
C. Grace period
D. Reinstatement
Double indemnity is a rider, not a mandatory policy provision.
7. What does the incontestability clause do?
A. Guarantees coverage for all preexisting conditions
B. Prevents the insurer from voiding the policy after a certain time period
C. Allows the insurer to cancel at any time
D. Requires court approval before cancellation
After the policy has been in force for a set period (usually 2 years), the
insurer cannot contest its validity.
8. What is the grace period for a health insurance policy with monthly
premiums in Mississippi?
A. 7 days
B. 10 days
C. 15 days
D. 31 days
Mississippi law mandates a 10-day grace period for monthly health
insurance premium payments.
9. What does term life insurance provide?
A. Temporary coverage with no cash value
