EXAM SIMULATOR FL-LH - FL HEALTH AND LIFE QUESTIONS AND ANSWERS 2025
A non-contributory plan requires _________ participation of all eligible employees - (ANSWER)100%
A characteristic of preferred provider organizations (PPOS) would be: - (ANSWER)Discounted fees for the
patient
Which of the following areas of state regulation is NOT protected by the saving clause in ERISA? -
(ANSWER)Commerce
Additional coverage can be added to a whole Life policy by adding a(n): - (ANSWER)decreasing term
rider
What benefit does the payor clause on a Juvenile Life policy provide? - (ANSWER)Premiums are waived if
the payor becomes disabled
According to Florida law, when must an agent deliver the outline of Coverage to a Medicare Supplement
applicant? - (ANSWER)At the time of application
N is a student pilot with a large life insurance policy. Which of these features would limit the insurer's
obligation in the event N was killed while flying as a student pilot? - (ANSWER)Exclusion
Which statement is true regarding a minor beneficiary ? - (ANSWER)Normally, a guarding is required to
be appointed in the Beneficiary clause of the contract
A sole proprietor may use this plan ONLY if the employees of this business are included. -
(ANSWER)Individual Retirement Account (IRA)
Which of the following provisions is NOT required in HMO contracts/certificated? - (ANSWER)Seven-day
grace period
The Bureau of Unclaimed Property is overseen by the - (ANSWER)Chief Financial Officer
,EXAM SIMULATOR FL-LH - FL HEALTH AND LIFE QUESTIONS AND ANSWERS 2025
A life policy that contains a monthly mortality charge as well as self-directed investment choices is called
a(n) - (ANSWER)Variable Universal Life policy
An insurance company normally has 2 years to contest information provided on an accident and health
application. This 2 year period begins on the date that the: - (ANSWER)insurer dated the policy
P is a new employee and will be obtaining non- contributory group Major Medical insurance from her
employer. Which of the following actions must she take during the open enrollment period? -
(ANSWER)Sign an enrollment card
Which of the following statements is true about most Blue Cross/Blue Shield organizations? -
(ANSWER)They are nonprofit organizations
A "reimbursement policy" pays what amount of covered Long-Term care expenses? - (ANSWER)Actual
covered expenses up to the daily maximum
An individual covered under a group life insurance policy is considered to be a (n) - (ANSWER)certificate
holder
The __________ has the right to change a life insurance policy's beneficiary. - (ANSWER)policyowner
Which of the following documents must an agent submit to the replacing insurance company during the
replacement of an existing life insurance policy? - (ANSWER)Notice to existing and replacing insurers of
intention to replace
Which of these statements concerning an individual Disability income policy is TRUE? -
(ANSWER)Normally includes an Elimination period
A statement made by an insured in an insurance application that must be true to the best of one's
knowledge and which becomes a part of the contract is known as - (ANSWER)a representation
,EXAM SIMULATOR FL-LH - FL HEALTH AND LIFE QUESTIONS AND ANSWERS 2025
A foreign insurance company doing business in Florida - (ANSWER)is a company that was formed under
the laws of another state
An insurer must provide an insured with claim forms within __ days after receiving notice of a loss. -
(ANSWER)15
When an insurer issues a policy that refuses to cover certain risks, this is referred to as a(n)
: - (ANSWER)exclusion
What is the initial source of underwriting for an insurance policy? - (ANSWER)Application containing
statements from the insured
T, age 70, withdraws cash from a profit-sharing plan and purchases a Straight life Annuity. What will this
transaction provide? - (ANSWER)Income that cannot be outlived by the owner
Tom has a qualified retirement plan with his employer that is currently considered to be 80% "vested".
How can this be interpreted? - (ANSWER)If Tom's employment is terminated, 20% of the funds would be
forfeited
Which settlement option pays a stated amount to an annuitant, but no residual value to a beneficiary? -
(ANSWER)Life Income
K buys a policy where the premium stays fixed for the first 5 years. The premium then increases in year 6
and stays level thereafter, all the while the death benefit remains the same. What kind of policy is this? -
(ANSWER)Modified Whole Life
An Insured's inability to perform two or more activities of daily living may trigger which type of life
policy rider? - (ANSWER)Long term care
Which of these is an element of a Variable Life policy? - (ANSWER)A fixed, level premium
, EXAM SIMULATOR FL-LH - FL HEALTH AND LIFE QUESTIONS AND ANSWERS 2025
F needs life insurance that provides coverage for only a limited amount of time with a death benefit that
changes regularly to a schedule. What kind of policy is needed? - (ANSWER)Decreasing term policy
Which parts of a life insurance policy are guaranteed to be true? - (ANSWER)Warranty
In Major Medical Expense policies, what is the objective of a Stop Loss provision? - (ANSWER)Limits an
insured's out-of-pocket medical expenses.
T has an annuity that guarantees an income payment for the rest of his life. The contract also
guaranteed that if T dies before receiving payments for 20 years, the remaining payments will be paid to
his son for the balance of the 20 years. What type of annuity is this? - (ANSWER)Life Annuity with Period
Certain
Florida's 14-day free-look period for life insurance policies begins at the - (ANSWER)date of delivery
J would like to maintain the right to change beneficiaries. Which beneficiary designation should be
used? - (ANSWER)Revocable
The Notice of Claims provision requires a policyowner to: - (ANSWER)notify an insurer of a claim within a
specified time
What type of life policy cover 2 lives and pays the face amount after the first one dies? - (ANSWER)Joint
Life Policy
on August 6, D submitted and 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 policy was delivered by the producer on August 20 and D explains what had recently
taken place with the doctor. What action should the producer take? - (ANSWER)Collect initial premium
along with a signed health statement
A non-contributory plan requires _________ participation of all eligible employees - (ANSWER)100%
A characteristic of preferred provider organizations (PPOS) would be: - (ANSWER)Discounted fees for the
patient
Which of the following areas of state regulation is NOT protected by the saving clause in ERISA? -
(ANSWER)Commerce
Additional coverage can be added to a whole Life policy by adding a(n): - (ANSWER)decreasing term
rider
What benefit does the payor clause on a Juvenile Life policy provide? - (ANSWER)Premiums are waived if
the payor becomes disabled
According to Florida law, when must an agent deliver the outline of Coverage to a Medicare Supplement
applicant? - (ANSWER)At the time of application
N is a student pilot with a large life insurance policy. Which of these features would limit the insurer's
obligation in the event N was killed while flying as a student pilot? - (ANSWER)Exclusion
Which statement is true regarding a minor beneficiary ? - (ANSWER)Normally, a guarding is required to
be appointed in the Beneficiary clause of the contract
A sole proprietor may use this plan ONLY if the employees of this business are included. -
(ANSWER)Individual Retirement Account (IRA)
Which of the following provisions is NOT required in HMO contracts/certificated? - (ANSWER)Seven-day
grace period
The Bureau of Unclaimed Property is overseen by the - (ANSWER)Chief Financial Officer
,EXAM SIMULATOR FL-LH - FL HEALTH AND LIFE QUESTIONS AND ANSWERS 2025
A life policy that contains a monthly mortality charge as well as self-directed investment choices is called
a(n) - (ANSWER)Variable Universal Life policy
An insurance company normally has 2 years to contest information provided on an accident and health
application. This 2 year period begins on the date that the: - (ANSWER)insurer dated the policy
P is a new employee and will be obtaining non- contributory group Major Medical insurance from her
employer. Which of the following actions must she take during the open enrollment period? -
(ANSWER)Sign an enrollment card
Which of the following statements is true about most Blue Cross/Blue Shield organizations? -
(ANSWER)They are nonprofit organizations
A "reimbursement policy" pays what amount of covered Long-Term care expenses? - (ANSWER)Actual
covered expenses up to the daily maximum
An individual covered under a group life insurance policy is considered to be a (n) - (ANSWER)certificate
holder
The __________ has the right to change a life insurance policy's beneficiary. - (ANSWER)policyowner
Which of the following documents must an agent submit to the replacing insurance company during the
replacement of an existing life insurance policy? - (ANSWER)Notice to existing and replacing insurers of
intention to replace
Which of these statements concerning an individual Disability income policy is TRUE? -
(ANSWER)Normally includes an Elimination period
A statement made by an insured in an insurance application that must be true to the best of one's
knowledge and which becomes a part of the contract is known as - (ANSWER)a representation
,EXAM SIMULATOR FL-LH - FL HEALTH AND LIFE QUESTIONS AND ANSWERS 2025
A foreign insurance company doing business in Florida - (ANSWER)is a company that was formed under
the laws of another state
An insurer must provide an insured with claim forms within __ days after receiving notice of a loss. -
(ANSWER)15
When an insurer issues a policy that refuses to cover certain risks, this is referred to as a(n)
: - (ANSWER)exclusion
What is the initial source of underwriting for an insurance policy? - (ANSWER)Application containing
statements from the insured
T, age 70, withdraws cash from a profit-sharing plan and purchases a Straight life Annuity. What will this
transaction provide? - (ANSWER)Income that cannot be outlived by the owner
Tom has a qualified retirement plan with his employer that is currently considered to be 80% "vested".
How can this be interpreted? - (ANSWER)If Tom's employment is terminated, 20% of the funds would be
forfeited
Which settlement option pays a stated amount to an annuitant, but no residual value to a beneficiary? -
(ANSWER)Life Income
K buys a policy where the premium stays fixed for the first 5 years. The premium then increases in year 6
and stays level thereafter, all the while the death benefit remains the same. What kind of policy is this? -
(ANSWER)Modified Whole Life
An Insured's inability to perform two or more activities of daily living may trigger which type of life
policy rider? - (ANSWER)Long term care
Which of these is an element of a Variable Life policy? - (ANSWER)A fixed, level premium
, EXAM SIMULATOR FL-LH - FL HEALTH AND LIFE QUESTIONS AND ANSWERS 2025
F needs life insurance that provides coverage for only a limited amount of time with a death benefit that
changes regularly to a schedule. What kind of policy is needed? - (ANSWER)Decreasing term policy
Which parts of a life insurance policy are guaranteed to be true? - (ANSWER)Warranty
In Major Medical Expense policies, what is the objective of a Stop Loss provision? - (ANSWER)Limits an
insured's out-of-pocket medical expenses.
T has an annuity that guarantees an income payment for the rest of his life. The contract also
guaranteed that if T dies before receiving payments for 20 years, the remaining payments will be paid to
his son for the balance of the 20 years. What type of annuity is this? - (ANSWER)Life Annuity with Period
Certain
Florida's 14-day free-look period for life insurance policies begins at the - (ANSWER)date of delivery
J would like to maintain the right to change beneficiaries. Which beneficiary designation should be
used? - (ANSWER)Revocable
The Notice of Claims provision requires a policyowner to: - (ANSWER)notify an insurer of a claim within a
specified time
What type of life policy cover 2 lives and pays the face amount after the first one dies? - (ANSWER)Joint
Life Policy
on August 6, D submitted and 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 policy was delivered by the producer on August 20 and D explains what had recently
taken place with the doctor. What action should the producer take? - (ANSWER)Collect initial premium
along with a signed health statement
