XCEL Chapter 5 Test with Compete Solutions

XCEL Chapter 5 Test with Compete Solutions A non-contributory health insurance plan helps the insurer avoid? A. adverse selection B. state compliance C. the underwriting process D. tax deductions - Answer-adverse selection All of the following are characteristics of a Group Life Insurance Plan EXCEPT? A. Group underwriting B. Master contract C. Individual underwriting D. Probationary period - Answer-Individual underwriting What does the Group Life underwriting risk selection process help protect insurance companies from? A. Risk aversion B. Natural selection C. Adverse selection D. Risk management - Answer-Adverse selection Tim is covered under a group plan and would like to change his group coverage to an individual policy with the same insurer because of employment termination. Which of these describes the change that will take place? A. Coordination of benefits B. Conversion C. Extension of benefits D. Rollover - Answer-Conversion The conversion privilege under a group life plan allows an employee to convert to a(n)? A. family plan with another insurer B. individual plan with another insurer that has better rates C. individual plan upon employment termination D. individual policy in the spouse's name - Answer-individual plan upon employment termination