Final Exam - California Life and Health Questions & Answers 100% Accurate

Employer-provided group term life insurance is exempt from income taxation up to - ANSWER-$50,000 Medicare Part B has an initial enrollment period. How many months after an individual's 65th birthday month does this enrollment period end? - ANSWER-3 months Which statement is true regarding policy dividends? - ANSWER-A dividend option is selected by the insured at the time of policy purchase What does the insurance term "indemnity" refer to? - ANSWER-Make whole What is a common reason people purchase an annuity? - ANSWER-To protect against the risk of outliving their financial resources The importance of a representation is demonstrated in what rule? - ANSWER-Materiality of concealment Who does a life settlement broker represent? - ANSWER-Individual wanting to sell their life policy to a third party Who is financially liable for the payment of covered claims in a fully insured group health plan? - ANSWER-Insurer The Human Life Value concept is based on - ANSWER-income Business Overhead Expense Insurance pays for - ANSWER-business expenses when a business owner becomes disabled At what point does a self-insured group qualify for stop-loss coverage? - ANSWER-When claims exceed a specified limit in a set period of time