FLORIDA INSURANCE EXAM LATEST UPDATE
2026|WRITTEN QUESTION AND VERIFIED
ANSWERS
The clause identifying which losses resulting from an accident or sickness are insured by the
policy is called the: - ANSWER✔️Insuring clause
A potential client, age 40, would like to purchase a Whole Life policy that will accumulate cash
value at a faster rate in the early years of the policy. Which of these statements made by the
producer would be correct? - ANSWER✔️20-Pay Life accumulates cash value faster than
Straight Life
What type of policy would offer a 40-year old the quickest accumulation of cash value? -
ANSWER✔️20-pay life
Which of the following correctly explains the actions an agent should take if a customer wants to
apply for an insurance policy? - ANSWER✔️Complete the application and review the
information with the customer prior to obtaining the customer's signature, then send the
application off to the insurance company
T was insured under an individual Disability Income policy and was severely burned in a fire. As
a result, T became totally disabled. The insurer began making monthly benefit payments, but
later discovered that the fire was set by T in what was described as arson. What actions will the
, insurer take? - ANSWER✔️The insurer will rescind the policy, deny the claim, and recover all
payments made
Which of the following provisions is NOT required in HMO contracts/certificates? -
ANSWER✔️Seven-day grace period
If a policyowner does not pay the premium by the due date, the - ANSWER✔️policyowner can
make the premium payment during the grace period
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
Which of these characteristics is consistent with a Straight Life policy? - ANSWER✔️Premiums
are payable for as long as there is insurance coverage in force
P completes an application for a $10,000 life policy, but does not give the producer the initial
premium. P's coverage becomes effective when: - ANSWER✔️P receives the policy and pays the
premium
On August 6, D submitted an 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 then
take? - ANSWER✔️Collect initial premium along with a signed health statement
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
According to Florida law, when must an agent deliver the Outline of Coverage to a Medicare
Supplement applicant? - ANSWER✔️At the time of application
Which of the following statements about accumulated interest earned on dividends from an
insurance policy is TRUE? - ANSWER✔️It is taxed as ordinary income
The automatic premium loan provision is designed to: - ANSWER✔️avoid a policy lapse
A term life insurance policy matures: - ANSWER✔️upon the insured's death during the term of
the policy
What kind of insurance policy supplies an income stream over a set period of time that starts
when the insured dies? - ANSWER✔️Family Maintenance Policy
The guarantee of insurability option provides a long-term care policyowner the ability to: -
ANSWER✔️buy additional coverage at a later date
2026|WRITTEN QUESTION AND VERIFIED
ANSWERS
The clause identifying which losses resulting from an accident or sickness are insured by the
policy is called the: - ANSWER✔️Insuring clause
A potential client, age 40, would like to purchase a Whole Life policy that will accumulate cash
value at a faster rate in the early years of the policy. Which of these statements made by the
producer would be correct? - ANSWER✔️20-Pay Life accumulates cash value faster than
Straight Life
What type of policy would offer a 40-year old the quickest accumulation of cash value? -
ANSWER✔️20-pay life
Which of the following correctly explains the actions an agent should take if a customer wants to
apply for an insurance policy? - ANSWER✔️Complete the application and review the
information with the customer prior to obtaining the customer's signature, then send the
application off to the insurance company
T was insured under an individual Disability Income policy and was severely burned in a fire. As
a result, T became totally disabled. The insurer began making monthly benefit payments, but
later discovered that the fire was set by T in what was described as arson. What actions will the
, insurer take? - ANSWER✔️The insurer will rescind the policy, deny the claim, and recover all
payments made
Which of the following provisions is NOT required in HMO contracts/certificates? -
ANSWER✔️Seven-day grace period
If a policyowner does not pay the premium by the due date, the - ANSWER✔️policyowner can
make the premium payment during the grace period
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
Which of these characteristics is consistent with a Straight Life policy? - ANSWER✔️Premiums
are payable for as long as there is insurance coverage in force
P completes an application for a $10,000 life policy, but does not give the producer the initial
premium. P's coverage becomes effective when: - ANSWER✔️P receives the policy and pays the
premium
On August 6, D submitted an 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 then
take? - ANSWER✔️Collect initial premium along with a signed health statement
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
According to Florida law, when must an agent deliver the Outline of Coverage to a Medicare
Supplement applicant? - ANSWER✔️At the time of application
Which of the following statements about accumulated interest earned on dividends from an
insurance policy is TRUE? - ANSWER✔️It is taxed as ordinary income
The automatic premium loan provision is designed to: - ANSWER✔️avoid a policy lapse
A term life insurance policy matures: - ANSWER✔️upon the insured's death during the term of
the policy
What kind of insurance policy supplies an income stream over a set period of time that starts
when the insured dies? - ANSWER✔️Family Maintenance Policy
The guarantee of insurability option provides a long-term care policyowner the ability to: -
ANSWER✔️buy additional coverage at a later date
