FLORIDA HEALTH AND LIFE INSURANCE STATE EXAM PART 1 UPDATED ACTUAL QUESTIONS AND CORRECT ANSWERS

FLORIDA HEALTH AND LIFE INSURANCE STATE EXAM
PART 1 UPDATED ACTUAL QUESTIONS AND CORRECT
ANSWERS

Question:
1. Which Accident and Health policy provision addresses preexisting conditions?
Answer:
Time Limit on Certain Defenses

Question:
2. Which of the following individual health insurance policies will provide the broadest protection?
Answer:
Major Medical

Question:
3. Which of the following situations does NOT apply to the Florida Replacement Rule?
Answer:
An existing policyholder purchases an additional policy from the same insurer

Question:
4. 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:
5. Under which of the following circumstances will the benefits under COBRA continuation coverage
end?
Answer:
All group health plans are terminated by the employer

Question:
6. Which type of renewability best describes a Disability Income policy that covers an individual until the
age of 65, but the insurer has the right to change the premium rate for the overall risk class?
Answer:
Garunteed Renewable

Question:
7. An incomplete life insurance application submitted to an insurer will result in which of these actions?
Answer:
Application will be returned to the writting agent

,Question:
8. The waiting period for a pre-existing condition under a Medicare Supplement policy may NOT go
beyond
Answer:
6 Months

Question:
9. Which of these statements is INCOR- RECT regarding the federal income tax treatment of life
insurance?
Answer:
Entire cash surrender value is taxable

Question:
10. Which of these is considered a mandatory provision?
Answer:
Payment of Claims

Question:
11. Which of the following actions will an insurance company most likely NOT take if an applicant, who
has diabetes, applies for a Disability Income policy?
Answer:
Issue the policy with an altered Time of Payment of Claims provision

Question:
12. Which of the following phrases refers to the fees charged by a healthcare professional?
Answer:
Usual, customary, and reasonable expenses

Question:
13. D was actively serving in the Marines when he was killed in an automobile accident while on leave.
His $100,000 Whole life policy contains a War Exclusion clause. How much will D's beneficiary's
receive?
Answer:
The full face amount

Question:
14. N is covered under an individual Disability policy with a 30-day Elimination period and a monthly
benefit of $500. N is totally disabled for 3 1/2 months. N's total benefit received on this claim is:
Answer:
$1,250 No benefits are available during the elimination period.

Question:
15. Who does an agent represent during the solicitation or insurance?
Answer:
The insurance company

, Question:
16. Which of the following costs would a Basic Hospital/Surgical policy likely cover?
Answer:
Sugically removing a facial birthmark

Question:
17. The federal income tax treatment of employer-provided group Medical Expense insurance can be
accurately described as:
Answer:
Employee's premiums paid by the employer is tax-deductible to the employer as a business expenditure
Premiums paid by an employer for an employee's coverage are deductible by the employer as a buisness
expense

Question:
18. What must the policyowner provide to the insurer for validation that a loss has occurred?
Answer:
proof of loss

Question:
19. Association Plans that are designed to provide health benefits to their members are regulated by the
state because
Answer:
They are insured by and authorized insurer

Question:
20. Which of the following statements is CORRECT about the period in which a Term Policy can be
converted?
Answer:
It varies according to contracts

Question:
21. When does a life insurance contract become effective if the initial premium is not collected during the
application process?
Answer:
When producer delives policy and collects initial premium

Question:
22. A provision in a life insurance policy that pays the policyowner an amount that does not surpass the
guaranteed cash value is called the:
Answer:
Policy Loan Provision

Question:
23. Medicare Part A and Part B do no pay for:
Answer:
Dental Work