Nevada Life and Health License Exam Prep Questions & Answers Already Passed!!

What are the four required elements of an insurance contract? - Answer-Agreement, consideration, competent parties, and legal purpose. What two parts make up a life insurance application? - Answer-General Information and the Medical Information. An agent's report can go in a life insurance application but is not included in the life insurance policy. When must insurable interest exist in life insurance? - Answer-At the time of application. When does coverage begin, if the premium was submitted with the application, and the policy was issued two weeks later? - Answer-At the time of the application. If an agent makes a mistake on the application and then corrects it, who must initial that change? - Answer-The applicant. Insurers may change what on a guaranteed renewable health insurance polity? - Answer-The rates by class. At what age may an individual make withdrawals from an HSA for nonhealth purposes without being penalized? - Answer-At age 65. Which provision states how much time must pass between two like illnesses in order for the second one to be covered under a new set of benefits? - Answer-Recurrent Disability Provision In forming an insurance contract, when does acceptance occur? - Answer-When an insurer's underwriter approves coverage What is an important feature of a dental expense insurance plan that is not found in a medical expense insurance plan? - Answer-Diagnostic and preventive careWhat best describes the "first-dollar coverage" principle in basic medical insurance? - Answer-The insured is not required to pay a deductible Occasional visits by what medical professionals will not be covered under Long-Term Care's home health care? - Answer-Attending physicians Can an individual who belongs to a POS plan use an out-of-network physician? - Answer-Yes, they can use any physician even if not part of the HMO What is the advantage of reinstating a policy instead of applying for a new one? - Answer-The original age is used for premium determination What would basic medical expense coverage not cover? - Answer-Surgeon's services What is not provided by an HMO? - Answer-Reimbursement What insurance arrangements will be appropriate for a parent buying a life insurance policy on a child where the parent is the policyowner? - Answer-Third-party ownership What is not true about dividends? - Answer-Dividend amounts are guaranteed in the policy What is not true about Accidental Death and Dismemberment? - Answer-Death benefits are paid only if death occurs within 24 hours of an accident When would a 20-pay whole life policy endow? - Answer-When the insured reaches age 100 What section of a health policy that states the causes of eligible loss under which an insurance is assumed to be disabled? - Answer-Insuring Clause The insurance clause of a disability policy usually states what except? - Answer-The method of premium paymentWhat best describes annually renewable term insurance? - Answer-It is level term insurance What best describes an annuity period? - Answer-Period of time during which accumulated money is converted into income payments What is an eligibility requirement for all Social Security Disability Income benefits? - Answer-Have attained fully insured status What protects the insured from unintentional policy lapse due to a nonpayment of premium? - AnswerAutomatic premium loan