NC INSURANCE
LICENSING
EXAM
P is a producer who notices 5 questions on a life application were not answered. What
actions should P take? - Answers -Set up a meeting with the applicant to answer the
remaining questions
Which of the following does Social Security NOT provide benefits for? - Answers -
Dismemberment
An Accident/Health policyholder has ____ days to return the policy and receive a full
refund on premiums - Answers -10
Under a Renewable Term policy, - Answers -the renewable premium is calculated on
the basis of the insured's attained age
Which of the following BEST describes a short-term medical expense policy? - Answers
-Nonrenewable
W is a 39-year old female who just purchased an annuity to provide income for life
starting at age 60. All of these would be acceptable annuity choices EXCEPT a(n) -
Answers -Immediate annuity
How are Roth IRA distributions normally taxed? - Answers -Distributions are received
tax-free
In North Carolina, an agent obtains his/her license from the - Answers -Commissioner of
Insurance
, In North Carolina, a health policy that is paid on a quarterly basis requires a grace
period of - Answers -31 days
When a person returns to work after a period of total disability but cannot earn as much
as he or she did before the disability, this situation is called which of the following? -
Answers -Residual disability
Which of these types of coverage is best described as a short term medical policy? -
Answers -Interim coverage
An insurance company that is formed under North Carolina laws is referred to as a(n) -
Answers -domestic company
Information obtained from a phone conversation to the proposed insured can be found
in which of these reports? - Answers -Inspection report
For an individual health policy that is paid for on a monthly basis, the Grace Period
provision is a MINIMUM of how many days - Answers -Ten
If an insurance company issues a Disability Income policy that it cannot cancel or for
which it cannot increase premiums, the type of renewability that best desribes this policy
is called - Answers -noncancelable
Which of the following consists of an offer, acceptance, and consideration - Answers -
Contract
In Major Medical Expense policies, what is the intent of a Stop Loss provision? -
Answers -Limits an insured's out-of-pocket medical expenses
Which of the following is an effort to influence a person to buy an insurance product
from you? - Answers -Soliciting
Which Federal law allows an insurer to obtain an inspection report on a potential
insured? - Answers -Fair Credit Reporting Act
The insuring clause - Answers -States the scope and limits of the coverage
When can a policyowner change a revocable beneficiary? - Answers -Anytime
When a policyowner exchanges a term policy for a whole life policy without providing
proof of good health, which of these apply? - Answers -Conversion provision
What type of policy would offer a 40-year old the quickest accumulation of cash value? -
Answers -20-pay life
LICENSING
EXAM
P is a producer who notices 5 questions on a life application were not answered. What
actions should P take? - Answers -Set up a meeting with the applicant to answer the
remaining questions
Which of the following does Social Security NOT provide benefits for? - Answers -
Dismemberment
An Accident/Health policyholder has ____ days to return the policy and receive a full
refund on premiums - Answers -10
Under a Renewable Term policy, - Answers -the renewable premium is calculated on
the basis of the insured's attained age
Which of the following BEST describes a short-term medical expense policy? - Answers
-Nonrenewable
W is a 39-year old female who just purchased an annuity to provide income for life
starting at age 60. All of these would be acceptable annuity choices EXCEPT a(n) -
Answers -Immediate annuity
How are Roth IRA distributions normally taxed? - Answers -Distributions are received
tax-free
In North Carolina, an agent obtains his/her license from the - Answers -Commissioner of
Insurance
, In North Carolina, a health policy that is paid on a quarterly basis requires a grace
period of - Answers -31 days
When a person returns to work after a period of total disability but cannot earn as much
as he or she did before the disability, this situation is called which of the following? -
Answers -Residual disability
Which of these types of coverage is best described as a short term medical policy? -
Answers -Interim coverage
An insurance company that is formed under North Carolina laws is referred to as a(n) -
Answers -domestic company
Information obtained from a phone conversation to the proposed insured can be found
in which of these reports? - Answers -Inspection report
For an individual health policy that is paid for on a monthly basis, the Grace Period
provision is a MINIMUM of how many days - Answers -Ten
If an insurance company issues a Disability Income policy that it cannot cancel or for
which it cannot increase premiums, the type of renewability that best desribes this policy
is called - Answers -noncancelable
Which of the following consists of an offer, acceptance, and consideration - Answers -
Contract
In Major Medical Expense policies, what is the intent of a Stop Loss provision? -
Answers -Limits an insured's out-of-pocket medical expenses
Which of the following is an effort to influence a person to buy an insurance product
from you? - Answers -Soliciting
Which Federal law allows an insurer to obtain an inspection report on a potential
insured? - Answers -Fair Credit Reporting Act
The insuring clause - Answers -States the scope and limits of the coverage
When can a policyowner change a revocable beneficiary? - Answers -Anytime
When a policyowner exchanges a term policy for a whole life policy without providing
proof of good health, which of these apply? - Answers -Conversion provision
What type of policy would offer a 40-year old the quickest accumulation of cash value? -
Answers -20-pay life
