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PEARSON VUE TEXAS LIFE AND
HEALTH INSURANCE TEST 2025/ 2026
BRAND NEW OFFICIAL QUESTIONS
WITH ANSWERS.
Which of the following is NOT required on an illustration
used in the sale of a life insurance policy?
A. Underwriting or rating classification upon which the
illustration is based
B. The name of the primary and secondary beneficiaries
C. Generic name of policy
D. Name of insurer
The name of the primary and secondary beneficiaries
If the insured has the right to keep a long-term care
insurance policy in force by making timely premium
payments, and the insurer may not make any chances to the
policy or decline to renew it, the policy is
A. Permanent
B. Conditonal
C. Guaranteed renewable
D. Irrevocable
Guaranteed renewable
An agent receives an Emergency Cease and Desist Order for
chronically misrepresenting his insurance policies. The
agent knows that he did not commit the violation stated in
the Emergency Cease and Desist Order. He wants to contest
the charges in a court hearing. Which of the following is
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true?
A. The judge will determine when the hearing will be held
B. The hearing date can be set for any time within the next
year, unless both parties agree to a later date
C. The hearing must be set for exactly 30 days after the
request is made
D. The hearing must be held within 30 days of receiving a
request, unless both parties agree to a later date
The hearing must be held within 30 days of receiving a request,
unless both parties agree to a later date
The insurers are allowed to disclose the HIV-related test
result to all of the following EXCEPT
A. Another insurer
B. The insured's doctor
C. A reinsurer involved in the underwriting process
D. The Texas Department of Health
Another insurer
An insurance company has published a brochure that
inaccurately portrays the advantages of a particular
insurance policy. What is this an example of?
A. Twisting
B. Defamation
C. False advertising
D. Unfair claims
False advertising
On its advertisement, a company claims that it has funds in
its possession that are, in fact, not available for the payment
of losses or claims. What is the company guilty of?
A. Concealment
B. Unfair claim practice
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C. Rebating
D. Misrepresentation
Misrepresentation
What is the major difference between a stock company and a
mutual company?
A. Types of policies issued
B. Ownership
C. Amount of benefits
D. Number of producers
Ownership
How long most producer maintain records of continuing
education course completion?
A. 1 year
B. 3 years
C. 4 years
D. 5 years
4 years
All of the following information must be included in the
evidence of coverage for an HMO plan EXCEPT
A. HMO's toll-free telephone number
B. The insurance agent's name and license number
C. A schedule of benefits
D. Examples of information to appear in the blanks
The insurance agent's name and license number
The classification "Small Employer" means any person or
firm that during the preceding year employed how many
employees?
A. Between 1 and 25
B. At least 2 and not more than 50
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C. At least 10 and not more than 100
D. No more than 10
At least 2 and not more than 50
The insurance Commissioner may examine the affairs of any
insurer as often as necessary, but not less frequently than
once every
A. Year
B. 2 years
C. 3 years
D. 5 years
5 years
What is a foreign insurer?
A. An insurer with a home office in another country
B. An insurer with licensed agents doing business in other
country
C. An insurer with licensed agents who are citizens in more
than one country
D. An insurer with a home office in another state
An insurer with a home office in another state
HMOs that contract with outside physicians to provide health
care service to their subscribers compensate those
providers on a
A. Capitation basis
B. Medicare allowable basis
C. Sliding scale determined by the subscriber's occupation
D. More expensive basis
Capitation basis
An individual covered under a group life insurance policy
may convert the policy to any of the following EXCEPT
PEARSON VUE TEXAS LIFE AND
HEALTH INSURANCE TEST 2025/ 2026
BRAND NEW OFFICIAL QUESTIONS
WITH ANSWERS.
Which of the following is NOT required on an illustration
used in the sale of a life insurance policy?
A. Underwriting or rating classification upon which the
illustration is based
B. The name of the primary and secondary beneficiaries
C. Generic name of policy
D. Name of insurer
The name of the primary and secondary beneficiaries
If the insured has the right to keep a long-term care
insurance policy in force by making timely premium
payments, and the insurer may not make any chances to the
policy or decline to renew it, the policy is
A. Permanent
B. Conditonal
C. Guaranteed renewable
D. Irrevocable
Guaranteed renewable
An agent receives an Emergency Cease and Desist Order for
chronically misrepresenting his insurance policies. The
agent knows that he did not commit the violation stated in
the Emergency Cease and Desist Order. He wants to contest
the charges in a court hearing. Which of the following is
, Page | 2
true?
A. The judge will determine when the hearing will be held
B. The hearing date can be set for any time within the next
year, unless both parties agree to a later date
C. The hearing must be set for exactly 30 days after the
request is made
D. The hearing must be held within 30 days of receiving a
request, unless both parties agree to a later date
The hearing must be held within 30 days of receiving a request,
unless both parties agree to a later date
The insurers are allowed to disclose the HIV-related test
result to all of the following EXCEPT
A. Another insurer
B. The insured's doctor
C. A reinsurer involved in the underwriting process
D. The Texas Department of Health
Another insurer
An insurance company has published a brochure that
inaccurately portrays the advantages of a particular
insurance policy. What is this an example of?
A. Twisting
B. Defamation
C. False advertising
D. Unfair claims
False advertising
On its advertisement, a company claims that it has funds in
its possession that are, in fact, not available for the payment
of losses or claims. What is the company guilty of?
A. Concealment
B. Unfair claim practice
, Page | 3
C. Rebating
D. Misrepresentation
Misrepresentation
What is the major difference between a stock company and a
mutual company?
A. Types of policies issued
B. Ownership
C. Amount of benefits
D. Number of producers
Ownership
How long most producer maintain records of continuing
education course completion?
A. 1 year
B. 3 years
C. 4 years
D. 5 years
4 years
All of the following information must be included in the
evidence of coverage for an HMO plan EXCEPT
A. HMO's toll-free telephone number
B. The insurance agent's name and license number
C. A schedule of benefits
D. Examples of information to appear in the blanks
The insurance agent's name and license number
The classification "Small Employer" means any person or
firm that during the preceding year employed how many
employees?
A. Between 1 and 25
B. At least 2 and not more than 50
, Page | 4
C. At least 10 and not more than 100
D. No more than 10
At least 2 and not more than 50
The insurance Commissioner may examine the affairs of any
insurer as often as necessary, but not less frequently than
once every
A. Year
B. 2 years
C. 3 years
D. 5 years
5 years
What is a foreign insurer?
A. An insurer with a home office in another country
B. An insurer with licensed agents doing business in other
country
C. An insurer with licensed agents who are citizens in more
than one country
D. An insurer with a home office in another state
An insurer with a home office in another state
HMOs that contract with outside physicians to provide health
care service to their subscribers compensate those
providers on a
A. Capitation basis
B. Medicare allowable basis
C. Sliding scale determined by the subscriber's occupation
D. More expensive basis
Capitation basis
An individual covered under a group life insurance policy
may convert the policy to any of the following EXCEPT
