XCEL ARIZONA LIFE INSURANCE EXAM SIMULATOR
COMPLETE QUESTIONS AND DETAILED SOLUTIONS LATEST UPDATE
JUST RELEASED
Question 1: An insurance company writing business in a state
other than the one in which it is domiciled is called
A) foreign
B) domestic
C) An Alien
D) Illegal
Answer:
A domestic
Question 2: Who reports a producer's termination of appointment
to the Director?
A) The producer
B) The insurer
C) The Insurance Department
D) The State
Answer:
The insurer
Question 3: Which term refers to insurance written on the interests
of the licensee, the licensee's employer, or the licensee's
immediate family?
A) Controlled business
B) Surplus lines
C) Fraternal organization
, D) Reinsurance
Answer:
Controlled business
Question 4: When a life insurance policy is replaced, the applicant
must sign a notice regarding replacement of life insurance
provided by the
A) Insurer who issued the original policy
B) New insurer after the application has been approved
C) Producer at the time of application for the replacement -policy
D) New insurer through the producer at the time of policy delivery
Answer:
Producer at the time of application for the replacement policy
Question 5: The Life and Health Insurance Guaranty Fund is in
existence to
A) rehabilitate insolvent insurers
B) rehabilitate insolvent insureds
C) guarantee the issuance of life and health policies
D) assist in the underwriting of life and health policies
Answer:
rehabilitate insolvent insurers
Question 6: G had recently been terminated from his job that
covered him for group life insurance. How long does he have to
convert his coverage to an individual policy?
A) 30 days
B) 31 days
, C) 45 days
D) 60 days
Answer:
31 days
Question 7: In small group accident and health plans, a late
enrollee is an individual who
A) is covered under another group plan
B) applies for coverage during an open enrollment period
C) is permitted to enroll after an administrative review
D) elects coverage after the initial eligibility period
Answer:
elects coverage after the initial eligibility period
Question 8: In Arizona, when an individual is covered under a small
employer's accident and health plan, the pre-existing conditions
exlcusion period may be partially or wholly satisfied by
A) having creditable coverage with a previous employer
B) owning an individual dread disease policy
C) electing a high deductible plan
D) paying a fee
Answer:
having creditable coverage with a previous employer
Question 9: When replacing an individual health policy in Arizona,
the required replacement notice to the applicant must include
A) Changes in premium amounts
B) comparison of benefits
, C) The name of the insurer that issued the original coverage
D) Notice that pre-existing conditions may not be covered
Answer:
Notice that pre-existing conditions may not be covered
Question 10: The "Notice to buyer" on the first page of each long
term care policy delivered in Arizona
A) explains that some long term care costs may not be covered
B) provides the addresses of approved long term care facilities
C) states the possible disadvantages of replacement
D) states the cost of the coverage
Answer:
explains that some long term care costs may not be covered
Question 11: When replacing individual health insurance, a
producer should compare existing benefits with the proposed new
policy to determine if
A) The insured must cancel the existing policy before applying for
another
B) The grace period of the existing policy will be renewed
C) Commissions payable under the new policy justify replacement
D) Existing benefits would be maintained under the new plan
Answer:
Existing benefits would be maintained under the new plan
Question 12: Larry wants to purchase an individual disability
income policy to ensure that he will not experience a lapse in
income should he become disabled. He has a two-month wage
COMPLETE QUESTIONS AND DETAILED SOLUTIONS LATEST UPDATE
JUST RELEASED
Question 1: An insurance company writing business in a state
other than the one in which it is domiciled is called
A) foreign
B) domestic
C) An Alien
D) Illegal
Answer:
A domestic
Question 2: Who reports a producer's termination of appointment
to the Director?
A) The producer
B) The insurer
C) The Insurance Department
D) The State
Answer:
The insurer
Question 3: Which term refers to insurance written on the interests
of the licensee, the licensee's employer, or the licensee's
immediate family?
A) Controlled business
B) Surplus lines
C) Fraternal organization
, D) Reinsurance
Answer:
Controlled business
Question 4: When a life insurance policy is replaced, the applicant
must sign a notice regarding replacement of life insurance
provided by the
A) Insurer who issued the original policy
B) New insurer after the application has been approved
C) Producer at the time of application for the replacement -policy
D) New insurer through the producer at the time of policy delivery
Answer:
Producer at the time of application for the replacement policy
Question 5: The Life and Health Insurance Guaranty Fund is in
existence to
A) rehabilitate insolvent insurers
B) rehabilitate insolvent insureds
C) guarantee the issuance of life and health policies
D) assist in the underwriting of life and health policies
Answer:
rehabilitate insolvent insurers
Question 6: G had recently been terminated from his job that
covered him for group life insurance. How long does he have to
convert his coverage to an individual policy?
A) 30 days
B) 31 days
, C) 45 days
D) 60 days
Answer:
31 days
Question 7: In small group accident and health plans, a late
enrollee is an individual who
A) is covered under another group plan
B) applies for coverage during an open enrollment period
C) is permitted to enroll after an administrative review
D) elects coverage after the initial eligibility period
Answer:
elects coverage after the initial eligibility period
Question 8: In Arizona, when an individual is covered under a small
employer's accident and health plan, the pre-existing conditions
exlcusion period may be partially or wholly satisfied by
A) having creditable coverage with a previous employer
B) owning an individual dread disease policy
C) electing a high deductible plan
D) paying a fee
Answer:
having creditable coverage with a previous employer
Question 9: When replacing an individual health policy in Arizona,
the required replacement notice to the applicant must include
A) Changes in premium amounts
B) comparison of benefits
, C) The name of the insurer that issued the original coverage
D) Notice that pre-existing conditions may not be covered
Answer:
Notice that pre-existing conditions may not be covered
Question 10: The "Notice to buyer" on the first page of each long
term care policy delivered in Arizona
A) explains that some long term care costs may not be covered
B) provides the addresses of approved long term care facilities
C) states the possible disadvantages of replacement
D) states the cost of the coverage
Answer:
explains that some long term care costs may not be covered
Question 11: When replacing individual health insurance, a
producer should compare existing benefits with the proposed new
policy to determine if
A) The insured must cancel the existing policy before applying for
another
B) The grace period of the existing policy will be renewed
C) Commissions payable under the new policy justify replacement
D) Existing benefits would be maintained under the new plan
Answer:
Existing benefits would be maintained under the new plan
Question 12: Larry wants to purchase an individual disability
income policy to ensure that he will not experience a lapse in
income should he become disabled. He has a two-month wage
