Arkansas Health Insurance Exam Questions & Answers 100% Correct!

If an agent makes a correction on the application for health insurance, who must initial the correct answer? - ANSWER The applicant What is the term used for a written request for an insurer to issue an insurance contract based on the provided information? - ANSWER Application What information are the members of the Medical Information Bureau required to report? - ANSWER Adverse medical information about the applicants or insured. When should an agent obtain a Statement of Good Health from the insured? - ANSWER When the premium was paid upon policy delivery and not the time of application. What is the entire contract in health insurance underwriting? - ANSWER The application and policy issued. What entities make up the Medical Information Bureau? - ANSWER Insurers What is the best way to make a change on an application for insurance? - ANSWER Start over with a fresh application In health insurance, the policy itself and the insurance application form what? - ANSWER The entire contract If an insurer decides to obtain medical information from different sources in order to determine the insurability of an applicant, who must be notified of the investigation? - ANSWER The applicant Who must sign a health insurance application? - ANSWER The policyowner, the insured (if different), and the agent If an underwriter requires extensive information about the applicant's medical history, what report will best serve this purpose? - ANSWER Attending Physicians statement Who is responsible for paying the cost of a medical examination required in the process of underwriting? - ANSWER Insurer Whose responsibility is it to inform an applicant for health insurance about the insurer's information gathering practices? - ANSWER The agent What type of hospital policy pays a fixed amount each day that the insured is in the hospital? - ANSWER Hospital indemnity What is the term for a period of time immediately following a disability during which benefits are not payable? - ANSWER Elimination period What is the primary purpose of disability income insurance? - ANSWER To replace income lost due to a disability Who are the parties in a group health contract? - ANSWER The employer and the insurer Under what type of care do insurers negotiate contracts with health care providers to allow subscribers have access to health care services at a favorable cost? - ANSWER Preferred Provider Organization (PPO)