Nevada Life & Health Review ExamFX with Complete Solutions(GRADED A+)

What term describes the specified dollar amount beyond which the insured no longer participates in the sharing of expenses? - ANSWER-Stop-loss limit What would be INCORRECT about the required provisions of a health insurance policy? - ANSWER-A reinstated policy provides immediate coverage for an illness In a disability policy, the probationary period refers to what? - ANSWER-Time, during which illness-related disabilities are excluded from coverage How soon following the occurrence of a covered loss must an insured submit written proof of such loss to the insurance company? - ANSWER-Within 90 days or as soon as reasonably possible, but not to exceed 1 year. An insured has endured multiple surgeries and hospitalizations for an illness during the summer months. Her insurer no longer bills her for medical expenses. What term best describes the condition she has met? - ANSWER-Stop-loss Limit Which of the following information will be stated in the consideration clause of a life insurance policy? - ANSWER-The amount of premium payment The relation of earnings to insurance provision allows the insurance company to limit the insured's benefits to his/her average income over the last how many months? - ANSWER-24 months. A hospital indemnity policy will pay what? - ANSWER-A benefit for each day the insured is in a hospital. Which option for Universal life allows the beneficiary to collect both the death benefit and cash value upon the death of the insured? - ANSWER-Option B What benefits are NOT available under Social Security? - ANSWER-Welfare benefits. What does Social Security disability definition NOT include? - ANSWER-Disability expected to last for at least 6 months. When is an offer, in insurance, usually made? - ANSWER-When the applicant submits an application to the insurer. Long-term care policies MUST cover what condition? - ANSWER-Alzheimer's disease. What would be considered a nonqualified retirement plan? - ANSWER-Split-dollar plan Which provision concerns the insured's duty to provide the insurer with reasonable notice in the event of a loss? - ANSWER-Notice of Claim Which type of life insurance policy allows the policyowner to pay more or less than the planned premium? - ANSWER-Universal life SIMPLE Plans require all of the following EXCEPT: - ANSWER-At least 1,000 employees If an insurer issued a policy based on the application that had unanswered questions, which of the following will be TRUE? - ANSWER-The policy will be interpreted as if the insurer waived its right to have an answer on the application If an insured continually uses the automatic premium loan option to pay the policy premium: - ANSWER-The policy will terminate when the cash value is reduced to nothing All of the following are true regarding a decreasing term policy EXCEPT: - ANSWER-The payable premium amount steadily declines throughout the duration of the contract A Universal Life Insurance policy is best described as a/an: - ANSWER-Annually Renewable Term policy with a cash value account Who can made a fully deductible contribution to a traditional IRA? - ANSWER-An individual not covered by an employer sponsored plan who has earned income When would a 20-pay whole life policy endow? - ANSWER-When the insured reaches age 100 The death protection component of Universal Life Insurance is always: - ANSWER-Annually Renewable Term Which of the following policy components contains the company's promise to pay? - ANSWER-Insuring clause What is the maximum period of time during which an insurer may contest fraudulent misstatements maNevada Life & Health Review ExamFX with Complete Solutions(GRADED A+)