1|Page
HEALTH INSURANCE FLORIDA 2-40
PRACTICE QUESTIONS WITH VERIFIED
ANSWERS 2026
Five years ago, at age forty-five, X stated that he was forty years old on a disability
income insurance application. X now submits a claim and the insurer discovers X's
true age. The insurer will most likely take which of the following actions?
-Deny the claim due to material misrepresentation on the application
-Pay the claim as filed because the policy becomes incontestable after two years
-Pay the claim and cancel the policy
-Adjust the benefits downward according to the benefits that X would have been
entitled to based on the premiums - correct-answer - Adjust the benefits
downward according to the benefits that X would have been entitled to based on
the premiums
All of the following elements are required of a contract EXCEPT:
-assignment
,2|Page
-acceptance
-legal capacity
-legal purpose - correct-answer - assignment
Which of the following types of provisions guarantees renewability to a specified
date or age unless certain specified events occur?
-Noncancellable
-Optionally Renewable
-Guaranteed Renewable
-Conditionally Renewable - correct-answer - Conditionally Renewable
In an Accidental Death and Dismemberment (AD&D) policy, the term "capital
sum" refers to:
-the benefit paid for death caused by a dread disease
-the monthly disability income paid if an insured loses a limb or the sight in one or
both eyes
, 3|Page
-a lump sum payment made when disease causes the amputation of an arm or a
leg
-a lump sum payment made for an accidental dismemberment - correct-answer -
a lump sum payment made for an accidental dismemberment
The PRIMARY purpose of Medicaid is to:
-pay for expenses not covered by Medicare
-provide Disability Income benefits to people on Medicare
-provide Medical Expense coverage to persons meeting certain minimum income
requirements
-provide funds for people injured in natural disasters - correct-answer - provide
Medical Expense coverage to persons meeting certain minimum income
requirements
A health care plan that reimburses a flat fee for medical care it provides at a clinic
it owns and operates is referred to as:
-Health Maintenance Organization
HEALTH INSURANCE FLORIDA 2-40
PRACTICE QUESTIONS WITH VERIFIED
ANSWERS 2026
Five years ago, at age forty-five, X stated that he was forty years old on a disability
income insurance application. X now submits a claim and the insurer discovers X's
true age. The insurer will most likely take which of the following actions?
-Deny the claim due to material misrepresentation on the application
-Pay the claim as filed because the policy becomes incontestable after two years
-Pay the claim and cancel the policy
-Adjust the benefits downward according to the benefits that X would have been
entitled to based on the premiums - correct-answer - Adjust the benefits
downward according to the benefits that X would have been entitled to based on
the premiums
All of the following elements are required of a contract EXCEPT:
-assignment
,2|Page
-acceptance
-legal capacity
-legal purpose - correct-answer - assignment
Which of the following types of provisions guarantees renewability to a specified
date or age unless certain specified events occur?
-Noncancellable
-Optionally Renewable
-Guaranteed Renewable
-Conditionally Renewable - correct-answer - Conditionally Renewable
In an Accidental Death and Dismemberment (AD&D) policy, the term "capital
sum" refers to:
-the benefit paid for death caused by a dread disease
-the monthly disability income paid if an insured loses a limb or the sight in one or
both eyes
, 3|Page
-a lump sum payment made when disease causes the amputation of an arm or a
leg
-a lump sum payment made for an accidental dismemberment - correct-answer -
a lump sum payment made for an accidental dismemberment
The PRIMARY purpose of Medicaid is to:
-pay for expenses not covered by Medicare
-provide Disability Income benefits to people on Medicare
-provide Medical Expense coverage to persons meeting certain minimum income
requirements
-provide funds for people injured in natural disasters - correct-answer - provide
Medical Expense coverage to persons meeting certain minimum income
requirements
A health care plan that reimburses a flat fee for medical care it provides at a clinic
it owns and operates is referred to as:
-Health Maintenance Organization
