XCEL STATE EXAM SIMULATOR (3 LATEST VERSIONS) -
COMPLETE QUESTIONS AND DETAILED SOLUTIONS
LATEST UPDATE THIS YEAR JUST RELEASED
Question 1: Agent J takes an application and initial premium from
an applicant and sends the application and premium check to the
insurance company. The insurance company returns the check
back to J because the check is made out to J instead of the
insurance company. What action should J take?
Answer:
Return to the customer, collect a new check made out to the insurance company,
and send the new check out to the insurance company
Question 2: Which of the following types of policies pays a benefit
if the insured goes blind?
Answer:
AD&D
Question 3: M purchased an Accidental Death and Dismemberment
(AD&D) policy and named his son as beneficiary. M has the right to
change the beneficiary designation at anytime. What type of
beneficiary is his son?
Answer:
a revocable beneficiary
Question 4: What is the main reason for regulating the insurance
industry?
Answer:
,MAINTAIN TH ESOLVENCY of insurances companies
Question 5: T was treated for an ailment 2 months prior to applying
for a health insurance policy. This condition was noted on the
application and the policy was issued shortly afterwards. How will
the insurer likely consider this condition?
Answer:
Insurer will likely treat as a pre-exhisting condition which may not be covered for
one year
Question 6: Insurer will likely treat as a pre-existing condition
which may not be covered for one year
Answer:
Single premium
Question 7: Which of the following policy features allows an
insured to defer current health charges to the following year's
deductible instead of the current year's deductible?
Answer:
Carryover provision
Question 8: Florida requires that coverage for newborns begins
"from the moment of birth" and continues for
Answer:
18 months
Question 9: In Florida, an element of an insurance transaction
would be
,Answer:
issuing an insurance contract
Question 10: The underwriting process involves all of these,
EXCEPT for:
Answer:
Policy loan
Question 11: Which provision prevents an insurer from changing
the terms of the contract with the policyowner by referring to
documents not found within the policy itself?
Answer:
-Entire Contract provision
Question 12: Which of the following statements BEST describes
what the Legal Actions provision of an Accident and Health policy
requires?
Answer:
An insured must wait at least 60 days after Proof of Loss has been submitted
before a lawsuit can be filed
Question 13: Which of the following situations are NOT subject to
Florida life insurance laws?
Answer:
"Insurance companies' day-to-day operations".
Question 14: An agent who makes misleading statements that lead
to the termination of an existing insurance policy so that a new
, policy with another insurer can be taken out has committed
Answer:
twisting
Question 15: An agent who makes misleading statements that lead
to the termination of an existing insurance policy so that a new
policy with another insurer can be taken out has committed
Answer:
A hospital and medical expense insurance program
Question 16: Which of these is NOT a type of agent authority?
Answer:
principal
Question 17: P is self-employed and owns an Individual Disability
Income policy. He becomes totally disabled on June 1 and receives
$2,000 a month for the next 10 months. How much of this income is
subject to federal income tax?
Answer:
0
Question 18: Which of the following correctly explains the actions
an agent should take if a customer wants to apply for an insurance
policy?
Answer:
COMPLETE QUESTIONS AND DETAILED SOLUTIONS
LATEST UPDATE THIS YEAR JUST RELEASED
Question 1: Agent J takes an application and initial premium from
an applicant and sends the application and premium check to the
insurance company. The insurance company returns the check
back to J because the check is made out to J instead of the
insurance company. What action should J take?
Answer:
Return to the customer, collect a new check made out to the insurance company,
and send the new check out to the insurance company
Question 2: Which of the following types of policies pays a benefit
if the insured goes blind?
Answer:
AD&D
Question 3: M purchased an Accidental Death and Dismemberment
(AD&D) policy and named his son as beneficiary. M has the right to
change the beneficiary designation at anytime. What type of
beneficiary is his son?
Answer:
a revocable beneficiary
Question 4: What is the main reason for regulating the insurance
industry?
Answer:
,MAINTAIN TH ESOLVENCY of insurances companies
Question 5: T was treated for an ailment 2 months prior to applying
for a health insurance policy. This condition was noted on the
application and the policy was issued shortly afterwards. How will
the insurer likely consider this condition?
Answer:
Insurer will likely treat as a pre-exhisting condition which may not be covered for
one year
Question 6: Insurer will likely treat as a pre-existing condition
which may not be covered for one year
Answer:
Single premium
Question 7: Which of the following policy features allows an
insured to defer current health charges to the following year's
deductible instead of the current year's deductible?
Answer:
Carryover provision
Question 8: Florida requires that coverage for newborns begins
"from the moment of birth" and continues for
Answer:
18 months
Question 9: In Florida, an element of an insurance transaction
would be
,Answer:
issuing an insurance contract
Question 10: The underwriting process involves all of these,
EXCEPT for:
Answer:
Policy loan
Question 11: Which provision prevents an insurer from changing
the terms of the contract with the policyowner by referring to
documents not found within the policy itself?
Answer:
-Entire Contract provision
Question 12: Which of the following statements BEST describes
what the Legal Actions provision of an Accident and Health policy
requires?
Answer:
An insured must wait at least 60 days after Proof of Loss has been submitted
before a lawsuit can be filed
Question 13: Which of the following situations are NOT subject to
Florida life insurance laws?
Answer:
"Insurance companies' day-to-day operations".
Question 14: An agent who makes misleading statements that lead
to the termination of an existing insurance policy so that a new
, policy with another insurer can be taken out has committed
Answer:
twisting
Question 15: An agent who makes misleading statements that lead
to the termination of an existing insurance policy so that a new
policy with another insurer can be taken out has committed
Answer:
A hospital and medical expense insurance program
Question 16: Which of these is NOT a type of agent authority?
Answer:
principal
Question 17: P is self-employed and owns an Individual Disability
Income policy. He becomes totally disabled on June 1 and receives
$2,000 a month for the next 10 months. How much of this income is
subject to federal income tax?
Answer:
0
Question 18: Which of the following correctly explains the actions
an agent should take if a customer wants to apply for an insurance
policy?
Answer:
