Life & Health Insurance Exam Questions AND Correct Answers
A formal arrangement of providing health care benefits
without providing any financial protection to the principal is
referred to as what type of plan? - ✔✔Self-insurance
A long stretch of national economic hardship causes a 7% rate
of inflation. A policyowner notices that the face value of her
life insurance policy has been raised 7% as a result. Which
policy ride caused this change? - ✔✔Cost of Living rider
A Medicare supplement plan must have at least which of the
following renewal provisions? - ✔✔Guaranteed renewable
A person steps off a street car and trips and breaks his ankle.
This type of injury can be described as - ✔✔Sudden and
unforeseen
A rider that may be attached to a life insurance policy that
will adjust the face amount based upon a specific index, such
as a Consumer Price Index is called - ✔✔Cost of living rider
A situation in which a person can only lose or have no change
represents - ✔✔Pure risk
All of the following statements concerning Accidental Death
and Dismemberment coverage are correct EXCEPT - ✔✔Death
, benefits are paid only if death occurs within 24 hours of an
accident
(it's actually paid if it occurs within 90 days)
An insurer neglects to pay a legitimate claim that is covered
under the terms of the policy. Which of the following
insurance principles has the insurer violated? -
✔✔Consideration
Insured side = pay premiums and health representations
Insurer = promise to pay in event of loss
If a loss occurs, insurance policies pay the proceeds to -
✔✔Beneficiary
If an applicant for a life insurance policy and the potential
insured are two different people, what would be the
underwriter's main concern? - ✔✔Whether an insurable
interest exists between the individuals
The automatic premium loan provision is activated at the end
of the - ✔✔Grace period
A formal arrangement of providing health care benefits
without providing any financial protection to the principal is
referred to as what type of plan? - ✔✔Self-insurance
A long stretch of national economic hardship causes a 7% rate
of inflation. A policyowner notices that the face value of her
life insurance policy has been raised 7% as a result. Which
policy ride caused this change? - ✔✔Cost of Living rider
A Medicare supplement plan must have at least which of the
following renewal provisions? - ✔✔Guaranteed renewable
A person steps off a street car and trips and breaks his ankle.
This type of injury can be described as - ✔✔Sudden and
unforeseen
A rider that may be attached to a life insurance policy that
will adjust the face amount based upon a specific index, such
as a Consumer Price Index is called - ✔✔Cost of living rider
A situation in which a person can only lose or have no change
represents - ✔✔Pure risk
All of the following statements concerning Accidental Death
and Dismemberment coverage are correct EXCEPT - ✔✔Death
, benefits are paid only if death occurs within 24 hours of an
accident
(it's actually paid if it occurs within 90 days)
An insurer neglects to pay a legitimate claim that is covered
under the terms of the policy. Which of the following
insurance principles has the insurer violated? -
✔✔Consideration
Insured side = pay premiums and health representations
Insurer = promise to pay in event of loss
If a loss occurs, insurance policies pay the proceeds to -
✔✔Beneficiary
If an applicant for a life insurance policy and the potential
insured are two different people, what would be the
underwriter's main concern? - ✔✔Whether an insurable
interest exists between the individuals
The automatic premium loan provision is activated at the end
of the - ✔✔Grace period
