MONTANA STATE LIFE
INSURANCE EXAM QUESTIONS
AND ANSWERS 2026 - 2027
What must the provider obtain before entering a viatical settlement
with a policyholder? - ANSWERS-- A written statement from the
policyholder's attending physician that the policyholder is of sound
mind and not under constraint or undue influence.
- A witnessed document in which the policyholder:
- Consents to the viatical settlement contract
- Acknowledges that the illness or condition is terminal.
- Represents that they have full and complete understanding of the
viatical settlement contract and the life insurance policy.
- Releases their medical records relating to the terminal illness or
condition; and
- Acknowledges that they have entered into the viatical settlement
contract freely and voluntarily.
Which conditions must be met to be EXEMPT from the 2 years
minimum requirement to enter a viatical settlement contract? -
ANSWERS-- The policy was issued upon the person's exercise of
conversion rights and the total of time covered under the conversion
policy and the prior policy is at least 24 months.
- The time covered under a policy was calculated without regard to
any change in insurance carriers if the coverage was continuous and
under the same group sponsorship; or
,- The person submits independent evidence to the viatical settlement
provider that one or more of the follwing conditions have been met
within the 2-year period:
- The person is terminal ill or chronically ill
- The person has disposed of their ownership interest in a closely held
corporation that was in effect at the time that the insurance policy was
issued.
What must the viatical settlement provider give to the insurer to verify
coverage? - ANSWERS-Copies of the certification and independent
evidence. These copies must be accompanied by a letter of attestation
from the viatical settlement provider that the copies are true and
correct copies of the documents recevied by the viatical settlement
provider.
Who set the standards for establishing reasonable payments under a
viatical settlement contract? - ANSWERS-The Commissioners
Who may be responsible for payment of the insurance premiums or
other costs if the insured in a viatical contract returns to health? -
ANSWERS-The purchaser
If a policy owns by more than one person and they reside in different
states, which state will govern the contract? - ANSWERS-
Any questions designed to obtain information solely for marketing or
research purposes must be what? - ANSWERS-Specified to the
individual
,If the policy has a death benefit higher than $5,000, upon the change
of method of determining non guaranteed elements, does the insurer
need to notify the policy owner? - ANSWERS-Yes
What's the public interest in the cost index? - ANSWERS-Price
competition in the life insurance market is encouraged and stimulated.
A GROUP insurer in Montana may pay up to $____ to any person
appearing to be equitably entitled to reimbursement for incurred
funeral or other expenses incident to the insured's last illness or death.
- ANSWERS-$500
When R dies, the Montana isurer discovers that R misstated their age
on their annuity contract. What will most likely to happen as a result?
- ANSWERS-The benefit will be paid at the amount that R's payments
would have purchased at the correct age.
If the policy allows the policyowner a period of time to select a
dividend option, it must be _____ days after the dividend becomes
payable - ANSWERS-30 days
An insurer or producer may not use pretext interviews to obtain
personal information in connection with an insurance transaction
unless it is ________ - ANSWERS-in pursuant to suspecting criminal
activity, fraud, material misrepresentation, or material nondisclosure
in connection with a claim.
, If the insurer decided to notify the individual their right to file a
statement of disagreement, who must the insurer notify besides the
individual? - ANSWERS-- Any person specifically designated by the
individual who may have received recorded personal information
about the individual within the previous 2 years.
- Any insurance-support organization that initially furnished the
personal information that has been corrected; or
- Any insurance-support organization that has systematically received
recorded personal information from the insurer within the preceding 7
years. However, the correction need not be furnished if the insurance-
support organization no longer maintains recorded personal
information about the individual.
In Montana, when must the TLC policy summary be delivered to the
individual? - ANSWERS-At the time of the policy delivery
How often does the Commissioner perform examination of an
insurer? - ANSWERS-Once every 5 years
After the examination is completed, when does the examiner's report
must be filed with the Commissioner? - ANSWERS-Within 60 days
What is the window for a rebuttal? - ANSWERS-30 days
If an investigatory hearing is needed, when does it need to be held? -
ANSWERS-No less than 20 days.
INSURANCE EXAM QUESTIONS
AND ANSWERS 2026 - 2027
What must the provider obtain before entering a viatical settlement
with a policyholder? - ANSWERS-- A written statement from the
policyholder's attending physician that the policyholder is of sound
mind and not under constraint or undue influence.
- A witnessed document in which the policyholder:
- Consents to the viatical settlement contract
- Acknowledges that the illness or condition is terminal.
- Represents that they have full and complete understanding of the
viatical settlement contract and the life insurance policy.
- Releases their medical records relating to the terminal illness or
condition; and
- Acknowledges that they have entered into the viatical settlement
contract freely and voluntarily.
Which conditions must be met to be EXEMPT from the 2 years
minimum requirement to enter a viatical settlement contract? -
ANSWERS-- The policy was issued upon the person's exercise of
conversion rights and the total of time covered under the conversion
policy and the prior policy is at least 24 months.
- The time covered under a policy was calculated without regard to
any change in insurance carriers if the coverage was continuous and
under the same group sponsorship; or
,- The person submits independent evidence to the viatical settlement
provider that one or more of the follwing conditions have been met
within the 2-year period:
- The person is terminal ill or chronically ill
- The person has disposed of their ownership interest in a closely held
corporation that was in effect at the time that the insurance policy was
issued.
What must the viatical settlement provider give to the insurer to verify
coverage? - ANSWERS-Copies of the certification and independent
evidence. These copies must be accompanied by a letter of attestation
from the viatical settlement provider that the copies are true and
correct copies of the documents recevied by the viatical settlement
provider.
Who set the standards for establishing reasonable payments under a
viatical settlement contract? - ANSWERS-The Commissioners
Who may be responsible for payment of the insurance premiums or
other costs if the insured in a viatical contract returns to health? -
ANSWERS-The purchaser
If a policy owns by more than one person and they reside in different
states, which state will govern the contract? - ANSWERS-
Any questions designed to obtain information solely for marketing or
research purposes must be what? - ANSWERS-Specified to the
individual
,If the policy has a death benefit higher than $5,000, upon the change
of method of determining non guaranteed elements, does the insurer
need to notify the policy owner? - ANSWERS-Yes
What's the public interest in the cost index? - ANSWERS-Price
competition in the life insurance market is encouraged and stimulated.
A GROUP insurer in Montana may pay up to $____ to any person
appearing to be equitably entitled to reimbursement for incurred
funeral or other expenses incident to the insured's last illness or death.
- ANSWERS-$500
When R dies, the Montana isurer discovers that R misstated their age
on their annuity contract. What will most likely to happen as a result?
- ANSWERS-The benefit will be paid at the amount that R's payments
would have purchased at the correct age.
If the policy allows the policyowner a period of time to select a
dividend option, it must be _____ days after the dividend becomes
payable - ANSWERS-30 days
An insurer or producer may not use pretext interviews to obtain
personal information in connection with an insurance transaction
unless it is ________ - ANSWERS-in pursuant to suspecting criminal
activity, fraud, material misrepresentation, or material nondisclosure
in connection with a claim.
, If the insurer decided to notify the individual their right to file a
statement of disagreement, who must the insurer notify besides the
individual? - ANSWERS-- Any person specifically designated by the
individual who may have received recorded personal information
about the individual within the previous 2 years.
- Any insurance-support organization that initially furnished the
personal information that has been corrected; or
- Any insurance-support organization that has systematically received
recorded personal information from the insurer within the preceding 7
years. However, the correction need not be furnished if the insurance-
support organization no longer maintains recorded personal
information about the individual.
In Montana, when must the TLC policy summary be delivered to the
individual? - ANSWERS-At the time of the policy delivery
How often does the Commissioner perform examination of an
insurer? - ANSWERS-Once every 5 years
After the examination is completed, when does the examiner's report
must be filed with the Commissioner? - ANSWERS-Within 60 days
What is the window for a rebuttal? - ANSWERS-30 days
If an investigatory hearing is needed, when does it need to be held? -
ANSWERS-No less than 20 days.
