FLORIDA PERSONAL LINES LICENSING
EXAM SCRIPT COMPLETE ANSWERS
VERIFIED
◉ On August 6, D submitted an application for a $50,000 Life
Insurance policy and did not pay the initial premium. On August 18,
D went to his doctor complaining of chest pains and some tests were
given by the doctor. The life policy was delivered by the producer on
August 20 and D explains what had recently taken place with the
doctor. What action should the producer then take? Answer: Collect
initial premium along with a signed health statement
◉ A life insurance policyowner may sell their policy to a(n) _____ in
order to receive a percentage of the policy's face value. Answer:
viatical settlement provider
◉ According to Florida law, when must an agent deliver the Outline
of Coverage to a Medicare Supplement applicant? Answer: At the
time of application
◉ Which of the following statements about accumulated interest
earned on dividends from an insurance policy is TRUE? Answer: It is
taxed as ordinary income
◉ The automatic premium loan provision is designed to: Answer:
avoid a policy lapse
,◉ A term life insurance policy matures: Answer: upon the insured's
death during the term of the policy
◉ What kind of insurance policy supplies an income stream over a
set period of time that starts when the insured dies? Answer: Family
Maintenance Policy
◉ The guarantee of insurability option provides a long-term care
policyowner the ability to: Answer: buy additional coverage at a
later date
◉ When determining the monthly benefit amount for a Disability
Income policy, the factor that limits the amount a prospective
insured may purchase is: Answer: income
◉ Periodic health claim payments MUST be made at least: Answer:
monthly
◉ Which type of plan allows an employer to give money to an
employee for buying a life insurance policy and also permits the
employee to select the beneficiary? Answer: Split-dollar plan
◉ T is an agent and when hired, is reminded that he has a
responsibility to handle clients' funds in an honest and ethical
, manner. This responsibility is referred to as Answer: fiduciary
responsibility
◉ J is an agent who recently told a claimant that his rights might be
impaired if he does not complete a release form within a specified
time. What could this agent be found guilty of? Answer: Coercion
◉ An example of unfair discrimination would be Answer: offering
different terms of coverage for different policyowners having the
same risk classification
◉ Which of the following is a characteristic of a variable annuity?
Answer: Underlying equity investments
◉ A person insured under a health policy is required to give the
insurance company a Notice of Claim within how many days after a
covered loss? Answer: Twenty
◉ How many days does an insurance company have to reject a
reinstatement application before it is automatically reinstated?
Answer: 45
◉ The Life and Health Insurance Guaranty Association is Answer:
funded by admitted insurance companies through assessments
EXAM SCRIPT COMPLETE ANSWERS
VERIFIED
◉ On August 6, D submitted an application for a $50,000 Life
Insurance policy and did not pay the initial premium. On August 18,
D went to his doctor complaining of chest pains and some tests were
given by the doctor. The life policy was delivered by the producer on
August 20 and D explains what had recently taken place with the
doctor. What action should the producer then take? Answer: Collect
initial premium along with a signed health statement
◉ A life insurance policyowner may sell their policy to a(n) _____ in
order to receive a percentage of the policy's face value. Answer:
viatical settlement provider
◉ According to Florida law, when must an agent deliver the Outline
of Coverage to a Medicare Supplement applicant? Answer: At the
time of application
◉ Which of the following statements about accumulated interest
earned on dividends from an insurance policy is TRUE? Answer: It is
taxed as ordinary income
◉ The automatic premium loan provision is designed to: Answer:
avoid a policy lapse
,◉ A term life insurance policy matures: Answer: upon the insured's
death during the term of the policy
◉ What kind of insurance policy supplies an income stream over a
set period of time that starts when the insured dies? Answer: Family
Maintenance Policy
◉ The guarantee of insurability option provides a long-term care
policyowner the ability to: Answer: buy additional coverage at a
later date
◉ When determining the monthly benefit amount for a Disability
Income policy, the factor that limits the amount a prospective
insured may purchase is: Answer: income
◉ Periodic health claim payments MUST be made at least: Answer:
monthly
◉ Which type of plan allows an employer to give money to an
employee for buying a life insurance policy and also permits the
employee to select the beneficiary? Answer: Split-dollar plan
◉ T is an agent and when hired, is reminded that he has a
responsibility to handle clients' funds in an honest and ethical
, manner. This responsibility is referred to as Answer: fiduciary
responsibility
◉ J is an agent who recently told a claimant that his rights might be
impaired if he does not complete a release form within a specified
time. What could this agent be found guilty of? Answer: Coercion
◉ An example of unfair discrimination would be Answer: offering
different terms of coverage for different policyowners having the
same risk classification
◉ Which of the following is a characteristic of a variable annuity?
Answer: Underlying equity investments
◉ A person insured under a health policy is required to give the
insurance company a Notice of Claim within how many days after a
covered loss? Answer: Twenty
◉ How many days does an insurance company have to reject a
reinstatement application before it is automatically reinstated?
Answer: 45
◉ The Life and Health Insurance Guaranty Association is Answer:
funded by admitted insurance companies through assessments
