ARIZONA HEALTH INSURANCE END OF COURSE
ANSWERS AND QUESTIONS SET A+
✔✔Which of these life insurance policies does NOT contain a cash value provision? -
✔✔decreasing term life
✔✔Which statement regarding whole life insurance is accurate - ✔✔Insurance coverage
can continue for life
✔✔Mike recently lost sight in both eyes. He has a policy that pays a lump sum benefit
for this injury. What type of insurance does Mike have? - ✔✔Accidental Death and
Dismemberment
✔✔Which provision makes the application part of the annuity contract? - ✔✔Entire
contract clause
✔✔Periodic health claim payments MUST be made at least - ✔✔monthly
✔✔Under the uniform mandatory provisions, an accident and health insurer has the
right to request an autopsy - ✔✔Only where not prohibited by law
✔✔Assets that back the non-guaranteed values of variable life insurance products are
held in which account? - ✔✔Separate account set up by the insurer
✔✔Jerome is covered by a disability income policy that does NOT provide benefits for
losses occurring as the result of his employment. What kind of coverage is this? -
✔✔Nonoccupational coverage
✔✔What typically changes at the re-entry option date found in some term life policies? -
✔✔premium
, ✔✔Which of the following is NOT subject to the promise to pay in an insuring clause? -
✔✔How the premium is calculated
✔✔According to the needs approach, an emergency reserve fund's primary purpose is
to - ✔✔pay for unexpected expenses
✔✔What would be a valid reason for naming a trust as the beneficiary of a life
insurance policy as opposed to naming an individual? - ✔✔Management of proceeds
would be provided
✔✔A whole life policy that provides a choice of dividend options must include the
following statement about dividends - ✔✔they are not guaranteed
✔✔Which of the following statements best describes a double indemnity provision in
travel accident insurance - ✔✔Benefits are doubled under certain circumstances stated
in the policy
✔✔In long-term care insurance, what is the length of time for which claims will be paid?
- ✔✔Benefit period
✔✔Which action will trigger a penalty tax on premature distributions from a modified
endowment contract (MEC)? - ✔✔Policy loans
✔✔Which of these is NOT a reason to buy a term life policy? - ✔✔To accumulate
savings
✔✔Where is the difference between a standard risk and a substandard risk reflected? -
✔✔Premium charges
✔✔Which of these is NOT considered a federal punishment for unfair and deceptive
insurance practices? - ✔✔Community Service
✔✔Long-term care policies will usually pay for eligible benefits using which of the
following methods? - ✔✔Expense incurred
✔✔When considering the replacement of an individual accident and health policy, a pre-
existing conditions exclusion in the new contract - ✔✔May reduce the insureds benefits
✔✔The "Use it or Lose it" rule applies to - ✔✔Flexible Savings Accounts
✔✔A producer's license may be suspended - ✔✔For misappropriation of premiums
ANSWERS AND QUESTIONS SET A+
✔✔Which of these life insurance policies does NOT contain a cash value provision? -
✔✔decreasing term life
✔✔Which statement regarding whole life insurance is accurate - ✔✔Insurance coverage
can continue for life
✔✔Mike recently lost sight in both eyes. He has a policy that pays a lump sum benefit
for this injury. What type of insurance does Mike have? - ✔✔Accidental Death and
Dismemberment
✔✔Which provision makes the application part of the annuity contract? - ✔✔Entire
contract clause
✔✔Periodic health claim payments MUST be made at least - ✔✔monthly
✔✔Under the uniform mandatory provisions, an accident and health insurer has the
right to request an autopsy - ✔✔Only where not prohibited by law
✔✔Assets that back the non-guaranteed values of variable life insurance products are
held in which account? - ✔✔Separate account set up by the insurer
✔✔Jerome is covered by a disability income policy that does NOT provide benefits for
losses occurring as the result of his employment. What kind of coverage is this? -
✔✔Nonoccupational coverage
✔✔What typically changes at the re-entry option date found in some term life policies? -
✔✔premium
, ✔✔Which of the following is NOT subject to the promise to pay in an insuring clause? -
✔✔How the premium is calculated
✔✔According to the needs approach, an emergency reserve fund's primary purpose is
to - ✔✔pay for unexpected expenses
✔✔What would be a valid reason for naming a trust as the beneficiary of a life
insurance policy as opposed to naming an individual? - ✔✔Management of proceeds
would be provided
✔✔A whole life policy that provides a choice of dividend options must include the
following statement about dividends - ✔✔they are not guaranteed
✔✔Which of the following statements best describes a double indemnity provision in
travel accident insurance - ✔✔Benefits are doubled under certain circumstances stated
in the policy
✔✔In long-term care insurance, what is the length of time for which claims will be paid?
- ✔✔Benefit period
✔✔Which action will trigger a penalty tax on premature distributions from a modified
endowment contract (MEC)? - ✔✔Policy loans
✔✔Which of these is NOT a reason to buy a term life policy? - ✔✔To accumulate
savings
✔✔Where is the difference between a standard risk and a substandard risk reflected? -
✔✔Premium charges
✔✔Which of these is NOT considered a federal punishment for unfair and deceptive
insurance practices? - ✔✔Community Service
✔✔Long-term care policies will usually pay for eligible benefits using which of the
following methods? - ✔✔Expense incurred
✔✔When considering the replacement of an individual accident and health policy, a pre-
existing conditions exclusion in the new contract - ✔✔May reduce the insureds benefits
✔✔The "Use it or Lose it" rule applies to - ✔✔Flexible Savings Accounts
✔✔A producer's license may be suspended - ✔✔For misappropriation of premiums
