Arizona life and health insurance
exam questions and answers26
An appointed producer's implied authority is derived from - ANSWERS -express authority
Karen is considering replacing her individual accident and health insurance policy with another
individual policy. She has had issues in the past with her gall bladder that would be considered a
pre-existing condition. How will a pre-existing conditions exclusion affect Karen's new insurance
contract? - ANSWERS -May reduce her benefits
Arizona law requires the Human Immunodeficiency Virus (HIV) consent form to - ANSWERS -
Disclose the types of individuals or organizations that may receive a copy of the test results
What happens when a policyowner borrows against the cash value of his life insurance policy -
ANSWERS -
Which of the following types of insurers limits the exposures it writes to those of its owners? -
ANSWERS -Captive insurer
Who regulates an insurers claim settlement practices - ANSWERS -State insurance departments
Which reinsurance contract between two insurers involves an automatic sharing of the risks
assumed? - ANSWERS -Treaty reinsurance
Which of the following is a syndicate established by a group of insurers to share underwriting
duties? - ANSWERS -Lloyd's organization
,When the disclosure of an insured's nonpublic information is involved, what is the insurer
obligated to do? - ANSWERS -Give notice, explain, and allow opting out
Under the Telemarketing Sales Rule, telemarketing calls may NOT be received after - ANSWERS -
9:00 PM
A health plan offered by private insurance companies is - ANSWERS -Medicare Supplement
Chris has a single major medical contract which covers all medical expenses. His plan is
considered to be - ANSWERS -comprehensive
In accident and health insurance, 60 days must pass after written proof of loss has been
received by an insurer before the insured may - ANSWERS -Bring legal action against the insurer
When a ten year renewable term life insurance policy issued at age 45 is renewed, the premium
rate will be the current rate for - ANSWERS -Ten year term insurance for a person aged 55
All of the following are unfair claims settlement practices except - ANSWERS -An attempt to
settle a claim by arbitration
What is covered under a limited accident and health insurance policy? - ANSWERS -Limited
perils and amounts
A life insurance policy provision that has the ability to reduce the death benefit is called -
ANSWERS -Accelerated (living) benefit
If an accident and health insurance claim form is NOT supplied to the insured within 15 says
after the notice of claim, the insured may comply with the proof of loss provision by submitting
- ANSWERS -Written proof of the occurrence and extent of loss
, How are monthly life annuity benefit payments treated under a tax sheltered annuity (TSA)? -
ANSWERS -Taxed as ordinary income in the year received
How does a continuous premium whole life policy differ from a limited payment whole life
policy? - ANSWERS -The time period in which premiums will be paid
Which of these is an accurate statement regarding the fixed period settlement option on a life
insurance policy? - ANSWERS -A portion of the payments paid to the beneficiary comes from
interest calculated on the proceeds of the policy
Under what circumstance does an accident and health insurer have the right to request an
autopsy? - ANSWERS -When not prohibited by state law
A material change in a modified endowment contract (MEC) results in - ANSWERS -the seven
pay test, adjusted for cash value, being applied again
Under an adjustable life insurance policy, which of the following may NOT be changed without
further underwriting? - ANSWERS -The person insured
Linda is covered with long-term care insurance and has early-stage Alzheimer's. She is still able
to reside in her home while receiving primary care, as opposed to moving into a nursing home.
All of the following long-term benefits encourage this EXCEPT for - ANSWERS -custodial care
Employer-paid qualified long-term care insurance premiums are typically - ANSWERS -Excluded
from the employee's gross income.
Which statement regarding the certificate of insurance is accurate? - ANSWERS -Indicates
evidence of an employee's insurance coverage
exam questions and answers26
An appointed producer's implied authority is derived from - ANSWERS -express authority
Karen is considering replacing her individual accident and health insurance policy with another
individual policy. She has had issues in the past with her gall bladder that would be considered a
pre-existing condition. How will a pre-existing conditions exclusion affect Karen's new insurance
contract? - ANSWERS -May reduce her benefits
Arizona law requires the Human Immunodeficiency Virus (HIV) consent form to - ANSWERS -
Disclose the types of individuals or organizations that may receive a copy of the test results
What happens when a policyowner borrows against the cash value of his life insurance policy -
ANSWERS -
Which of the following types of insurers limits the exposures it writes to those of its owners? -
ANSWERS -Captive insurer
Who regulates an insurers claim settlement practices - ANSWERS -State insurance departments
Which reinsurance contract between two insurers involves an automatic sharing of the risks
assumed? - ANSWERS -Treaty reinsurance
Which of the following is a syndicate established by a group of insurers to share underwriting
duties? - ANSWERS -Lloyd's organization
,When the disclosure of an insured's nonpublic information is involved, what is the insurer
obligated to do? - ANSWERS -Give notice, explain, and allow opting out
Under the Telemarketing Sales Rule, telemarketing calls may NOT be received after - ANSWERS -
9:00 PM
A health plan offered by private insurance companies is - ANSWERS -Medicare Supplement
Chris has a single major medical contract which covers all medical expenses. His plan is
considered to be - ANSWERS -comprehensive
In accident and health insurance, 60 days must pass after written proof of loss has been
received by an insurer before the insured may - ANSWERS -Bring legal action against the insurer
When a ten year renewable term life insurance policy issued at age 45 is renewed, the premium
rate will be the current rate for - ANSWERS -Ten year term insurance for a person aged 55
All of the following are unfair claims settlement practices except - ANSWERS -An attempt to
settle a claim by arbitration
What is covered under a limited accident and health insurance policy? - ANSWERS -Limited
perils and amounts
A life insurance policy provision that has the ability to reduce the death benefit is called -
ANSWERS -Accelerated (living) benefit
If an accident and health insurance claim form is NOT supplied to the insured within 15 says
after the notice of claim, the insured may comply with the proof of loss provision by submitting
- ANSWERS -Written proof of the occurrence and extent of loss
, How are monthly life annuity benefit payments treated under a tax sheltered annuity (TSA)? -
ANSWERS -Taxed as ordinary income in the year received
How does a continuous premium whole life policy differ from a limited payment whole life
policy? - ANSWERS -The time period in which premiums will be paid
Which of these is an accurate statement regarding the fixed period settlement option on a life
insurance policy? - ANSWERS -A portion of the payments paid to the beneficiary comes from
interest calculated on the proceeds of the policy
Under what circumstance does an accident and health insurer have the right to request an
autopsy? - ANSWERS -When not prohibited by state law
A material change in a modified endowment contract (MEC) results in - ANSWERS -the seven
pay test, adjusted for cash value, being applied again
Under an adjustable life insurance policy, which of the following may NOT be changed without
further underwriting? - ANSWERS -The person insured
Linda is covered with long-term care insurance and has early-stage Alzheimer's. She is still able
to reside in her home while receiving primary care, as opposed to moving into a nursing home.
All of the following long-term benefits encourage this EXCEPT for - ANSWERS -custodial care
Employer-paid qualified long-term care insurance premiums are typically - ANSWERS -Excluded
from the employee's gross income.
Which statement regarding the certificate of insurance is accurate? - ANSWERS -Indicates
evidence of an employee's insurance coverage
