FLORIDA XCEL HEALTH PRACTICE EXAM 2026: 60+
HIGH-YIELD QUESTIONS AND 100% VERIFIED
ANSWERS | GRADED A+ | GUARANTEED PASS!!
__________ can be defined as "using the contract values of an existing policy to
purchase a new policy with an existing insurer".
- answer-Churning
A __ day notice to the policyholder is required for any health insurer that wishes to
cancel a health insurance policy.
- answer-45 (month and a half) Insurer -> Insured
A $20,000 life insurance policy application is completed, however the producer
does not collect the initial premium. At what point does the coverage go into
effect?
- answer-When the applicant receives the policy and pays the initial premium
A 55 year old recently received a $30,000 distribution from a previous employer's
401k plan, minus $6,000 withholding. Which federal taxes apply if none of the
funds were rolled over?
- answer-Income taxes plus a 10% penalty tax on $30,000
A Business Overhead Expense policy:
- answer-covers business expenses such as rent and utilities
A catastrophic illness would be best covered by which of the following health
insurance plans?
- answer-Major Medical
A characteristic of Preferred Provider Organizations (PPOs) would be:
- answer-Discounted fees for the patient
A contract where one party either accepts or rejects the terms of a contract written
by another party is called a contract of
- answer-adhesion
,A Cost of Living rider gives the insured
- answer-additional death benefits
A departing employee has decided to continue his group coverage through
COBRA. Who pays the premium in this situation?
- answer-Employee
A license may be denied, suspended, or revoked if the licensee
- answer-is found guilty of misrepresentation
A life insurance policy's grace period entitles the insured a period of no less than
___ days to make the premium payment.
- answer-30
A life insurance policyowner may sell their policy to a(n) _____ in order to receive
a percentage of the policy's face value.
- answer-viatical settlement provider
A Life insurance policyowner would like to take out a policy loan against the cash
value in his Whole Life policy. The interest rate applied to this loan may vary over
time. This is referred to as a(n) ________ rate loan.
- answer-Variable
A Limited-Pay Life policy has:
- answer-premium payments limited to a specified number of years
A long-term care lapse notice must be delivered to both the applicant and
- answer-secondary addressee
A Major Medical policy typically contains a provision that requires the insurer to
pay only part of a loss, while the balance is paid by the insured. This provision is
called
- answer-Coinsurance
A Medical Information Report (MIB) report may disclose which of the following:
- answer-Prior use of marijuana
A Multiple Employer Welfare Arrangement (MEWA) provides what type of
benefits?
- answer-Insurance
,A mutual insurance company and a stock insurance company have one main
difference between them. What is this major contrast?
- answer-Stock company is owned by its shareholders. Mutual company is owned
by its policyholders.
A person insured under a health policy is required to give the insurance company a
Notice of Claim within how many days after a covered loss?
- answer-Twenty
A physician opens up a new practice and qualifies for a $7,000/month Disability
Income policy. What rider would the physician add if he wants the ability to
increase his policy benefit as his practice and income grow?
- answer-Guaranteed Insurability Option rider
A policy loan is made possible by which of these life insurance policy features?
- answer-Cash value provision
A policyowner would like to change the beneficiary on a Life insurance policy and
make the change permanent. Which type of designation would fulfill this need?
- answer-Irrevocable
A policyowner's rights are limited under which beneficiary designation?
- answer-Irrevocable
A prospective insured completes and signs an application for health insurance but
intentionally conceals information about a pre-existing heart condition. The
company issues the policy. Two months later, the insured suffers a heart attack and
submits a claim. While processing the claim, the company discovers the pre-
existing condition. In this situation, the company will:
- answer-continue coverage but exclude the heart condition
A qualified profit-sharing plan is designed to:
- answer-allow employees to participate in the profits of the company
A Return of Premium life insurance policy is:
- answer-Whole life and Increasing term
, 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
A term life insurance policy matures:
- answer-upon the insured's death during the term of the policy
A Term Life rider offers the insured
- answer-additional life coverage
A trustee-to-trustee transfer of rollover funds in a qualified plan allows a
participant to avoid:
- answer-mandatory income tax withholding on the transfer amount
A typical result of a concurrent review is that
- answer-The length of stay in the hospital is monitored
A Variable Annuity has which of the following characteristics?
- answer-Underlying equity investments
A variable insurance policy:
- answer-does not guarantee a return on its investment accounts
A variable life insurance agent must be licensed and appointed as a life and
variable contract agent, as well as a(n)
- answer-broker dealer
ABC Insurance Company has accepted a life insurance application which contains
unanswered questions. The company then makes the application part of the life
contract. In this situation, the insurer has:
- answer-waived one of its legal rights
Accidental Death coverage is provided to commercial airline passengers in which
of the following types of policies?
- answer-Blanket Accident policy
According to Florida law, a Group Life insurance policy requires a minimum of
how many insureds?
- answer-No minimum
HIGH-YIELD QUESTIONS AND 100% VERIFIED
ANSWERS | GRADED A+ | GUARANTEED PASS!!
__________ can be defined as "using the contract values of an existing policy to
purchase a new policy with an existing insurer".
- answer-Churning
A __ day notice to the policyholder is required for any health insurer that wishes to
cancel a health insurance policy.
- answer-45 (month and a half) Insurer -> Insured
A $20,000 life insurance policy application is completed, however the producer
does not collect the initial premium. At what point does the coverage go into
effect?
- answer-When the applicant receives the policy and pays the initial premium
A 55 year old recently received a $30,000 distribution from a previous employer's
401k plan, minus $6,000 withholding. Which federal taxes apply if none of the
funds were rolled over?
- answer-Income taxes plus a 10% penalty tax on $30,000
A Business Overhead Expense policy:
- answer-covers business expenses such as rent and utilities
A catastrophic illness would be best covered by which of the following health
insurance plans?
- answer-Major Medical
A characteristic of Preferred Provider Organizations (PPOs) would be:
- answer-Discounted fees for the patient
A contract where one party either accepts or rejects the terms of a contract written
by another party is called a contract of
- answer-adhesion
,A Cost of Living rider gives the insured
- answer-additional death benefits
A departing employee has decided to continue his group coverage through
COBRA. Who pays the premium in this situation?
- answer-Employee
A license may be denied, suspended, or revoked if the licensee
- answer-is found guilty of misrepresentation
A life insurance policy's grace period entitles the insured a period of no less than
___ days to make the premium payment.
- answer-30
A life insurance policyowner may sell their policy to a(n) _____ in order to receive
a percentage of the policy's face value.
- answer-viatical settlement provider
A Life insurance policyowner would like to take out a policy loan against the cash
value in his Whole Life policy. The interest rate applied to this loan may vary over
time. This is referred to as a(n) ________ rate loan.
- answer-Variable
A Limited-Pay Life policy has:
- answer-premium payments limited to a specified number of years
A long-term care lapse notice must be delivered to both the applicant and
- answer-secondary addressee
A Major Medical policy typically contains a provision that requires the insurer to
pay only part of a loss, while the balance is paid by the insured. This provision is
called
- answer-Coinsurance
A Medical Information Report (MIB) report may disclose which of the following:
- answer-Prior use of marijuana
A Multiple Employer Welfare Arrangement (MEWA) provides what type of
benefits?
- answer-Insurance
,A mutual insurance company and a stock insurance company have one main
difference between them. What is this major contrast?
- answer-Stock company is owned by its shareholders. Mutual company is owned
by its policyholders.
A person insured under a health policy is required to give the insurance company a
Notice of Claim within how many days after a covered loss?
- answer-Twenty
A physician opens up a new practice and qualifies for a $7,000/month Disability
Income policy. What rider would the physician add if he wants the ability to
increase his policy benefit as his practice and income grow?
- answer-Guaranteed Insurability Option rider
A policy loan is made possible by which of these life insurance policy features?
- answer-Cash value provision
A policyowner would like to change the beneficiary on a Life insurance policy and
make the change permanent. Which type of designation would fulfill this need?
- answer-Irrevocable
A policyowner's rights are limited under which beneficiary designation?
- answer-Irrevocable
A prospective insured completes and signs an application for health insurance but
intentionally conceals information about a pre-existing heart condition. The
company issues the policy. Two months later, the insured suffers a heart attack and
submits a claim. While processing the claim, the company discovers the pre-
existing condition. In this situation, the company will:
- answer-continue coverage but exclude the heart condition
A qualified profit-sharing plan is designed to:
- answer-allow employees to participate in the profits of the company
A Return of Premium life insurance policy is:
- answer-Whole life and Increasing term
, 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
A term life insurance policy matures:
- answer-upon the insured's death during the term of the policy
A Term Life rider offers the insured
- answer-additional life coverage
A trustee-to-trustee transfer of rollover funds in a qualified plan allows a
participant to avoid:
- answer-mandatory income tax withholding on the transfer amount
A typical result of a concurrent review is that
- answer-The length of stay in the hospital is monitored
A Variable Annuity has which of the following characteristics?
- answer-Underlying equity investments
A variable insurance policy:
- answer-does not guarantee a return on its investment accounts
A variable life insurance agent must be licensed and appointed as a life and
variable contract agent, as well as a(n)
- answer-broker dealer
ABC Insurance Company has accepted a life insurance application which contains
unanswered questions. The company then makes the application part of the life
contract. In this situation, the insurer has:
- answer-waived one of its legal rights
Accidental Death coverage is provided to commercial airline passengers in which
of the following types of policies?
- answer-Blanket Accident policy
According to Florida law, a Group Life insurance policy requires a minimum of
how many insureds?
- answer-No minimum
