CA Life health accident exam questions with solved solutions

If an insurer indicates that an illustration will be used, they must do which of the following? - ANSWER-Send a summary status report to policy owner annually What does the phrase "life insurance creates an immediate estate" mean? - ANSWER-The total death benefit will be paid to a beneficiary on the death of insured In order to qualify for social security retirement benefits the worker must be: - ANSWER-Fully insured If an insurer knowingly allows one of its agents to mislead a member of the public in order to induce the person to change their existing insurance, the Commissioner may: - ANSWER-Suspend the insurer's certificate of authority for the class of business involved In a worker's Compensation contract, part one provides payments for which of the following? - ANSWER-Sums the employer is legally required to pay under State Worker's Compensation Laws In a noncontributory group disability income insurance plan, what is the tax treatment of benefits received by an employee? - ANSWER-Benefits are included in the employee's gross income What refund is owed when a senior citizen elects the right to return and cancel an individual variable annuity policy invested in a money market fund? - ANSWER-Paid premiums and policy fees From lowest to highest, which is the correct order of initial premiums for the insurance policies? - ANSWER-Modified premium, Ordinary premium, Single premium