CT LIFE & HEALTH INSURANCE EXAM
QUESTIONS AND ANSWERS WITH
COMPLETE SOLUTIONS 100%
CORRECT RATED A+
Q1: Laura added a children's rider to her life insurance policy. What kind of
coverage did this rider provide?
✔ Level term – A children's rider typically offers level term life insurance for all
eligible children under a single rider.
Q2: In life insurance planning, what is the primary purpose of using the
"needs approach"?
✔ To determine how much life insurance coverage a person should apply for –
This method focuses on the financial needs of the beneficiaries if the insured were
to pass away.
Q3: What do you call a licensed individual who provides insurance advice for
a fee under a contract?
✔ Consultant – A consultant offers professional insurance advice and is
compensated for these services, typically not through commissions.
Q4: Jonas has disability insurance through work. His employer pays 75% of
the premium, and he pays 25%. What portion of his benefits will be taxable if
he files a claim?
✔ 75% of the benefits will be taxable – The taxable amount corresponds to the
portion of premiums paid by the employer.
Q5: Which of the following is something the Insurance Commissioner cannot
do?
✔ Make rules consistent with those of neighboring states
The Commissioner can:
, o ✔ Monitor the financial stability (solvency) of insurers
o ✔ Create rules and regulations that follow Connecticut law
o ✔ Oversee insurance rates in the state
Q6: Are premiums for an individually-owned disability income policy tax-
deductible?
✔ No, they are not tax-deductible – However, any benefits received are generally
tax-free since the premiums were paid with after-tax dollars.
Scott has a life insurance policy in which the dividends are left with the insurance
company. This particular policy may be paid up when the cash value plus
accumulated dividends - ANSWER✔✔Equal the net single premium for the same
face amount at the insured's attained age
Which of these is NOT a standard provision in qualified long-term care policies
sold in Connecticut? - ANSWER✔✔Prior hospitalization
(30-day free look period, guaranteed renewability, provide minimum coverage for
12 consecutive months)
Accident and health insurance claim handling is made more convenient to the
insured by utilizing - ANSWER✔✔Assignment of benefits
Specialty care is provided by which of the following health maintenance
organization (HMO) providers? - ANSWER✔✔Neurologist
Which of the following facilitates nonresident licensing in the state of
Connecticut? - ANSWER✔✔Reciprocity agreement
,To secure authority for soliciting insurance products in the State of Connecticut, an
insurance company must secure a certificate of authority from - ANSWER✔✔The
Connecticut Insurance Commissioner
A group health certificate for coverage issued in Connecticut MUST contain a(n) -
ANSWER✔✔Summary of policy features and benefits
Any employee insured under a group life insurance plan is normally -
ANSWER✔✔Covered with term life insurance
Which statement regarding whole life insurance is accurate? -
ANSWER✔✔Insurance coverage can continue for life
All of these are considered to be a violation of the Federal Fraud and False
Statements Act EXCEPT - ANSWER✔✔Claims reimbursement
(Overvaluing land, abstracting funds, false entries on reports)
A comprehensive major medical health insurance policy contains an Eligible
Expenses provision which identifies the types of health care services that are
covered. All of the following health care services are typically covered EXCEPT
for - ANSWER✔✔Experimental and investigative services
(Hospital charges, physician fees, nursing services)
An employee welfare plan exempt from ERISA regulations would be -
ANSWER✔✔Church plans
, Medicare Part B excess charges are covered by - ANSWER✔✔Medicare
Supplemental insurance
A major medical expense policy typically does NOT - ANSWER✔✔Pay surgeon
fees on a first-dollar basis
(Contain a deductible, have a high limit of coverage, contain a coinsurance
provision)
Mary has a Health Savings Account (HSA). Distributions that she has made for
anything other than qualified medical expenses are considered taxable and subject
to a penalty of - ANSWER✔✔20%
Under an adjustable life insurance policy, which of the following may NOT be
changed without further underwriting? - ANSWER✔✔The person insured
(The period of coverage, the payment period, the plan of coverage)
When a producer acts within the scope of his/her contractual authority, which of
the following is legally responsible for these actions? - ANSWER✔✔The insurer
An accident and health insurer has just received written proof of loss from one of
its insureds. The insured must now wait 60 days before - ANSWER✔✔Bringing
legal action against the insurer
During the sale of a life insurance policy, a producer may provide an incomplete
illustration - ANSWER✔✔Never
QUESTIONS AND ANSWERS WITH
COMPLETE SOLUTIONS 100%
CORRECT RATED A+
Q1: Laura added a children's rider to her life insurance policy. What kind of
coverage did this rider provide?
✔ Level term – A children's rider typically offers level term life insurance for all
eligible children under a single rider.
Q2: In life insurance planning, what is the primary purpose of using the
"needs approach"?
✔ To determine how much life insurance coverage a person should apply for –
This method focuses on the financial needs of the beneficiaries if the insured were
to pass away.
Q3: What do you call a licensed individual who provides insurance advice for
a fee under a contract?
✔ Consultant – A consultant offers professional insurance advice and is
compensated for these services, typically not through commissions.
Q4: Jonas has disability insurance through work. His employer pays 75% of
the premium, and he pays 25%. What portion of his benefits will be taxable if
he files a claim?
✔ 75% of the benefits will be taxable – The taxable amount corresponds to the
portion of premiums paid by the employer.
Q5: Which of the following is something the Insurance Commissioner cannot
do?
✔ Make rules consistent with those of neighboring states
The Commissioner can:
, o ✔ Monitor the financial stability (solvency) of insurers
o ✔ Create rules and regulations that follow Connecticut law
o ✔ Oversee insurance rates in the state
Q6: Are premiums for an individually-owned disability income policy tax-
deductible?
✔ No, they are not tax-deductible – However, any benefits received are generally
tax-free since the premiums were paid with after-tax dollars.
Scott has a life insurance policy in which the dividends are left with the insurance
company. This particular policy may be paid up when the cash value plus
accumulated dividends - ANSWER✔✔Equal the net single premium for the same
face amount at the insured's attained age
Which of these is NOT a standard provision in qualified long-term care policies
sold in Connecticut? - ANSWER✔✔Prior hospitalization
(30-day free look period, guaranteed renewability, provide minimum coverage for
12 consecutive months)
Accident and health insurance claim handling is made more convenient to the
insured by utilizing - ANSWER✔✔Assignment of benefits
Specialty care is provided by which of the following health maintenance
organization (HMO) providers? - ANSWER✔✔Neurologist
Which of the following facilitates nonresident licensing in the state of
Connecticut? - ANSWER✔✔Reciprocity agreement
,To secure authority for soliciting insurance products in the State of Connecticut, an
insurance company must secure a certificate of authority from - ANSWER✔✔The
Connecticut Insurance Commissioner
A group health certificate for coverage issued in Connecticut MUST contain a(n) -
ANSWER✔✔Summary of policy features and benefits
Any employee insured under a group life insurance plan is normally -
ANSWER✔✔Covered with term life insurance
Which statement regarding whole life insurance is accurate? -
ANSWER✔✔Insurance coverage can continue for life
All of these are considered to be a violation of the Federal Fraud and False
Statements Act EXCEPT - ANSWER✔✔Claims reimbursement
(Overvaluing land, abstracting funds, false entries on reports)
A comprehensive major medical health insurance policy contains an Eligible
Expenses provision which identifies the types of health care services that are
covered. All of the following health care services are typically covered EXCEPT
for - ANSWER✔✔Experimental and investigative services
(Hospital charges, physician fees, nursing services)
An employee welfare plan exempt from ERISA regulations would be -
ANSWER✔✔Church plans
, Medicare Part B excess charges are covered by - ANSWER✔✔Medicare
Supplemental insurance
A major medical expense policy typically does NOT - ANSWER✔✔Pay surgeon
fees on a first-dollar basis
(Contain a deductible, have a high limit of coverage, contain a coinsurance
provision)
Mary has a Health Savings Account (HSA). Distributions that she has made for
anything other than qualified medical expenses are considered taxable and subject
to a penalty of - ANSWER✔✔20%
Under an adjustable life insurance policy, which of the following may NOT be
changed without further underwriting? - ANSWER✔✔The person insured
(The period of coverage, the payment period, the plan of coverage)
When a producer acts within the scope of his/her contractual authority, which of
the following is legally responsible for these actions? - ANSWER✔✔The insurer
An accident and health insurer has just received written proof of loss from one of
its insureds. The insured must now wait 60 days before - ANSWER✔✔Bringing
legal action against the insurer
During the sale of a life insurance policy, a producer may provide an incomplete
illustration - ANSWER✔✔Never
