PSI LIFE: PERFORMANCE UNDER
PRESSURE
◉ When will a policy pay on a UCR basis? Answer: When particular
benefits are not listed on a payment schedule
◉ Which type of rider reimburses health and social service expenses
incurred in a convalescent or nursing home facility? Answer: long term
care rider
◉ Which of the following is exempted from the incontestability
provision in insurance policies? Answer: Fraudulent misstatements
◉ What does first dollar coverage mean? Answer: As soon as covered
medical expenses are incurred, the policy begins to pay
◉ What is the waiver of premium provision? Answer: In a long term
care contract, the premium is waived after the insured has been confined
for a specific period of time
◉ According to the Time Payment of Claims provision, the insurer must
make the payment immediately after receiving proof of loss EXCEPT
Answer: for claims involving periodic payments
, ◉ Which is a disadvantage to a flexible premium annuity? Answer: the
actual amount of the annuity benefit cannot be determined in advance
◉ When a policy or certificate containing an accelerated benefit
provision is applied for or delivered, the producer is responsible for
providing that applicant a summary of coverage that includes all of the
following EXCEPT Answer: a detailed and comprehensive summary of
the accelerated benefit
◉ which one of the following represents an advantage of obtaining a
policy loan versus a withdrawal? Answer: the loan is not taxed while a
withdrawal is taxed for amounts above the contract cost basis
◉ How does a noncancelable policy differ from a guaranteed renewable
policy? Answer: with the non cancelable policy the insurer may increase
premiums only based on the terms of the policy
◉ What does it mean if a health policy is conditionally renewable?
Answer: Insurer may elect NOT to renew only under the conditions
specified in the policy
◉ When the suicide clause is inserted in a life insurance contract, death
by suicide is not covered during the policy's initial: Answer: 2 year
period
◉ What does coinsurance mean? Answer: The insurer and the insured
share expenses over the deductible.
PRESSURE
◉ When will a policy pay on a UCR basis? Answer: When particular
benefits are not listed on a payment schedule
◉ Which type of rider reimburses health and social service expenses
incurred in a convalescent or nursing home facility? Answer: long term
care rider
◉ Which of the following is exempted from the incontestability
provision in insurance policies? Answer: Fraudulent misstatements
◉ What does first dollar coverage mean? Answer: As soon as covered
medical expenses are incurred, the policy begins to pay
◉ What is the waiver of premium provision? Answer: In a long term
care contract, the premium is waived after the insured has been confined
for a specific period of time
◉ According to the Time Payment of Claims provision, the insurer must
make the payment immediately after receiving proof of loss EXCEPT
Answer: for claims involving periodic payments
, ◉ Which is a disadvantage to a flexible premium annuity? Answer: the
actual amount of the annuity benefit cannot be determined in advance
◉ When a policy or certificate containing an accelerated benefit
provision is applied for or delivered, the producer is responsible for
providing that applicant a summary of coverage that includes all of the
following EXCEPT Answer: a detailed and comprehensive summary of
the accelerated benefit
◉ which one of the following represents an advantage of obtaining a
policy loan versus a withdrawal? Answer: the loan is not taxed while a
withdrawal is taxed for amounts above the contract cost basis
◉ How does a noncancelable policy differ from a guaranteed renewable
policy? Answer: with the non cancelable policy the insurer may increase
premiums only based on the terms of the policy
◉ What does it mean if a health policy is conditionally renewable?
Answer: Insurer may elect NOT to renew only under the conditions
specified in the policy
◉ When the suicide clause is inserted in a life insurance contract, death
by suicide is not covered during the policy's initial: Answer: 2 year
period
◉ What does coinsurance mean? Answer: The insurer and the insured
share expenses over the deductible.
