Florida Insurance Exam UPDATED ACTUAL Questions and CORRECT
Answers
1. The clause identifying which losses resulting from an accident or sickness are
insured by the policy is called the:: Insuring clause
2. K applies for a life insurance policy on herself and submits the initial premium
with the application. She is given a receipt by the agent stating that coverage
begins immediately if the application is approved. What kind of receipt was
used?: Conditional
3. A life insurance arrangement which circumvents insurable interest statutes is
called:: Investor-Originated Life Insurance
4. Which of the following health policy provisions states that the producer does
NOT have the authority to change the policy or waive any of its provisions?: Entire
Contract
5. Within how many days after policy delivery can a Medicare Supplement policy
be returned for a 100% premium refund?: 30
6. Which of the following is NOT an unfair claim settlement practice?: Needing written
documentation of claim details
7. Who is NOT required to sign a life insurance application?: Beneficiary
8. To be eligible for Social Security disability benefits, an employee must be
unable to perform:: any occupation
9. The type of annuity that can be purchased with one monetary deposit is called
a(n):: Immediate annuity
10. A life insurance application must be signed by all of these, EXCEPT:: beneficiary
11. Which of the following is considered an accurate statement of an unfair trade
practice?: Twisting involves an agent using misrepresentation to convince a policyowner to cancel their current
policy so that they can purchase a new life insurance policy with another company
12. The Accelerated Death Benefit provision in a life insurance policy is also
known as a(n):: Living Benefit
13. Which of the following policy features allows an insured to defer current
health charges to the following year's deductible instead of the current year's
deducitble?: Carryover provision
14. Insurance policies are considered aleatory contracts because: performance is
conditioned upon a future occurrence
, 15. Within how many days must a licensee notify the Department of Financial
Services of a change in address?: 30
16. Which organization was established to provide funds to protect an insured
in the event of an insurer's insolvency?: Florida Life and Health Insurance Guaranty Association
17. The clause in an Accident and Health policy which defines the benefit
amounts the insurer will pay is called the:: Insuring clause
18. When a policyowner cash surrenders a Universal Life insurance policy in it's
early years, this may be considered a red flag for a(n):: Anti-Money Laundering violation
19. According to the Time Payment of Claims provision, the insurer must pay
Disability Income benefits no less frequently than which of the following op-
tions?: Monthly
20. What would the Medical Information Bureau (MIB) identify?: Testing positive for
marijuana use from a previous screening
21. How would a contingent beneficiary receive the policy proceeds in an Acci-
dental Death and Dismemberment (AD&D) policy?: If the primary beneficiary dies before the
insured
22. Under a Renewable Term policy,: the renewal premium is calculated on the basis of the insured's
attained age
23. Which of the following statements is true about most Blue Cross/Blue Shield
organizations?: They are nonprofit organizations
24. If a policyowner does not pay the premium by the due date, the: policyowner can
make the premium payment during the grace period
25. According to Florida law, which of the following information does NOT need
to be obtained by an agent recommending an annuity purchase?: Marital status
26. Which of these characteristics is consistent with a Straight Life policy?: Premi-
ums are payable for as long as there is insurance coverage in force
27. P completes an application for a $10,000 life policy, but does not give the
producer the initial premium. P's coverage becomes effective when:: P receives the
policy and pays the premium
28. On August 6, D submitted an application for a $50,000 Life Insurance policy
and did not pay the initial premium. On August 18, D went to his doctor
complaining of chest pains and some tests were given by the doctor. The life
Answers
1. The clause identifying which losses resulting from an accident or sickness are
insured by the policy is called the:: Insuring clause
2. K applies for a life insurance policy on herself and submits the initial premium
with the application. She is given a receipt by the agent stating that coverage
begins immediately if the application is approved. What kind of receipt was
used?: Conditional
3. A life insurance arrangement which circumvents insurable interest statutes is
called:: Investor-Originated Life Insurance
4. Which of the following health policy provisions states that the producer does
NOT have the authority to change the policy or waive any of its provisions?: Entire
Contract
5. Within how many days after policy delivery can a Medicare Supplement policy
be returned for a 100% premium refund?: 30
6. Which of the following is NOT an unfair claim settlement practice?: Needing written
documentation of claim details
7. Who is NOT required to sign a life insurance application?: Beneficiary
8. To be eligible for Social Security disability benefits, an employee must be
unable to perform:: any occupation
9. The type of annuity that can be purchased with one monetary deposit is called
a(n):: Immediate annuity
10. A life insurance application must be signed by all of these, EXCEPT:: beneficiary
11. Which of the following is considered an accurate statement of an unfair trade
practice?: Twisting involves an agent using misrepresentation to convince a policyowner to cancel their current
policy so that they can purchase a new life insurance policy with another company
12. The Accelerated Death Benefit provision in a life insurance policy is also
known as a(n):: Living Benefit
13. Which of the following policy features allows an insured to defer current
health charges to the following year's deductible instead of the current year's
deducitble?: Carryover provision
14. Insurance policies are considered aleatory contracts because: performance is
conditioned upon a future occurrence
, 15. Within how many days must a licensee notify the Department of Financial
Services of a change in address?: 30
16. Which organization was established to provide funds to protect an insured
in the event of an insurer's insolvency?: Florida Life and Health Insurance Guaranty Association
17. The clause in an Accident and Health policy which defines the benefit
amounts the insurer will pay is called the:: Insuring clause
18. When a policyowner cash surrenders a Universal Life insurance policy in it's
early years, this may be considered a red flag for a(n):: Anti-Money Laundering violation
19. According to the Time Payment of Claims provision, the insurer must pay
Disability Income benefits no less frequently than which of the following op-
tions?: Monthly
20. What would the Medical Information Bureau (MIB) identify?: Testing positive for
marijuana use from a previous screening
21. How would a contingent beneficiary receive the policy proceeds in an Acci-
dental Death and Dismemberment (AD&D) policy?: If the primary beneficiary dies before the
insured
22. Under a Renewable Term policy,: the renewal premium is calculated on the basis of the insured's
attained age
23. Which of the following statements is true about most Blue Cross/Blue Shield
organizations?: They are nonprofit organizations
24. If a policyowner does not pay the premium by the due date, the: policyowner can
make the premium payment during the grace period
25. According to Florida law, which of the following information does NOT need
to be obtained by an agent recommending an annuity purchase?: Marital status
26. Which of these characteristics is consistent with a Straight Life policy?: Premi-
ums are payable for as long as there is insurance coverage in force
27. P completes an application for a $10,000 life policy, but does not give the
producer the initial premium. P's coverage becomes effective when:: P receives the
policy and pays the premium
28. On August 6, D submitted an application for a $50,000 Life Insurance policy
and did not pay the initial premium. On August 18, D went to his doctor
complaining of chest pains and some tests were given by the doctor. The life
