CHAPTER EXAM - FLORIDA LAWS
AND RULES EXAM QUESTIONS AND
ANSWERS
A stock life insurance company that issues both participating and nonparticipating
policies is doing business on - ANSWER-mixed plan
The minimum age at which a person can sign a life insurance application is -
ANSWER-15 years
How many days does an insurance company have to reject a reinstatement
application before it is automatically reinstated? - ANSWER-45
When is a Group Health Policy required to provide coverage for a newborn child? -
ANSWER-At the moment of birth
In Florida, a monthly-premium health insurance policies must provide a grace period
of at least - ANSWER-10 days
K is an agent who made an improper sale of an annuity to a client. Which of the
following corrective actions would the Department of Financial Services likely order K
to take? - ANSWER-Pay monetary restitution to the client
Defamation occurs when an agent makes a false statement intended to - ANSWER-
malign another insurer
Nonprofit life insurance providers that are covered by a special section in the Florida
insurance code are called - ANSWER-Fraternal life insurance organizations
According to Florida Law, which of the following information does NOT need to be
obtained by an agent recommending an annuity purchase? - ANSWER-marital
status
A group plan was recently terminated. In Florida, how many days are covered
individuals guaranteed coverage after a group plan's termination? - ANSWER-31
days
What is Florida's definition of Life insurance replacement? - ANSWER-A transaction
in which a new policy is bought an an old policy.
According to Florida's life insurance replacement laws, a policyowner must be
provided with an written Comparison and Summary Statement when it's requested
by - ANSWER-
An example of an unfair claims practice would be - ANSWER-failing to effectuate
prompt, fair, and equitable settlements of a claim
, Within how many days after policy delivery can a Medicare Supplement policy be
returned for a 100% premium refund? - ANSWER-30
Which of the following documents must an agent submit to the replacing insurance
company during the replacement of an existing life insurance? - ANSWER-Notice to
existing and replacing insurer of intention to replace
The coordination of benefits (COB) provisions exists in order to - ANSWER-Avoid
duplication of benefit pyments
Agents that have been licensed for less than six years must complete __ hours of
continuing education every two years. - ANSWER-24
Association Plans that are designed to provide health benefits to their members are
regulated by the state because
*they are insured by an authorized insurer
*they conduct business in Florida
*they provide a service to their members
*they require a certain level of member participation - ANSWER-*they are insured
by an authorized insurer
(Association Plans must be fully insured by an authorized insurer. The insurer is
subject to state regulation.)
Which Unfair Trade Practice involves an agent telling a prospective client that a
policy's dividends are guaranteed?
*Coercion
*Fraud
*Misrepresentation
*Sliding - ANSWER-*Misrepresentation
(An agent who tells a client that dividends are guaranteed may be guilty of
misrepresentation.)
An agent selling Medicare Supplement policies must provide every applicant with
a(n) - ANSWER-Suitability form
Under an individual Disability policy in Florida, what is the minimum schedule of time
in which claims must be made to an insured? - ANSWER-monthly
Under Florida law, which of the following provisions is NOT required in a Medicare
Supplement policy? - ANSWER-Limitation on pre-existing conditions for up to 12
months
How can an agent-in-charge have more than one location? - ANSWER-Only if the
agent-in-charge is present when insurance activity occurs
AND RULES EXAM QUESTIONS AND
ANSWERS
A stock life insurance company that issues both participating and nonparticipating
policies is doing business on - ANSWER-mixed plan
The minimum age at which a person can sign a life insurance application is -
ANSWER-15 years
How many days does an insurance company have to reject a reinstatement
application before it is automatically reinstated? - ANSWER-45
When is a Group Health Policy required to provide coverage for a newborn child? -
ANSWER-At the moment of birth
In Florida, a monthly-premium health insurance policies must provide a grace period
of at least - ANSWER-10 days
K is an agent who made an improper sale of an annuity to a client. Which of the
following corrective actions would the Department of Financial Services likely order K
to take? - ANSWER-Pay monetary restitution to the client
Defamation occurs when an agent makes a false statement intended to - ANSWER-
malign another insurer
Nonprofit life insurance providers that are covered by a special section in the Florida
insurance code are called - ANSWER-Fraternal life insurance organizations
According to Florida Law, which of the following information does NOT need to be
obtained by an agent recommending an annuity purchase? - ANSWER-marital
status
A group plan was recently terminated. In Florida, how many days are covered
individuals guaranteed coverage after a group plan's termination? - ANSWER-31
days
What is Florida's definition of Life insurance replacement? - ANSWER-A transaction
in which a new policy is bought an an old policy.
According to Florida's life insurance replacement laws, a policyowner must be
provided with an written Comparison and Summary Statement when it's requested
by - ANSWER-
An example of an unfair claims practice would be - ANSWER-failing to effectuate
prompt, fair, and equitable settlements of a claim
, Within how many days after policy delivery can a Medicare Supplement policy be
returned for a 100% premium refund? - ANSWER-30
Which of the following documents must an agent submit to the replacing insurance
company during the replacement of an existing life insurance? - ANSWER-Notice to
existing and replacing insurer of intention to replace
The coordination of benefits (COB) provisions exists in order to - ANSWER-Avoid
duplication of benefit pyments
Agents that have been licensed for less than six years must complete __ hours of
continuing education every two years. - ANSWER-24
Association Plans that are designed to provide health benefits to their members are
regulated by the state because
*they are insured by an authorized insurer
*they conduct business in Florida
*they provide a service to their members
*they require a certain level of member participation - ANSWER-*they are insured
by an authorized insurer
(Association Plans must be fully insured by an authorized insurer. The insurer is
subject to state regulation.)
Which Unfair Trade Practice involves an agent telling a prospective client that a
policy's dividends are guaranteed?
*Coercion
*Fraud
*Misrepresentation
*Sliding - ANSWER-*Misrepresentation
(An agent who tells a client that dividends are guaranteed may be guilty of
misrepresentation.)
An agent selling Medicare Supplement policies must provide every applicant with
a(n) - ANSWER-Suitability form
Under an individual Disability policy in Florida, what is the minimum schedule of time
in which claims must be made to an insured? - ANSWER-monthly
Under Florida law, which of the following provisions is NOT required in a Medicare
Supplement policy? - ANSWER-Limitation on pre-existing conditions for up to 12
months
How can an agent-in-charge have more than one location? - ANSWER-Only if the
agent-in-charge is present when insurance activity occurs
