FL 0215 Health and Life Ins with solutions
Generally how long is a benefit period for Major Medical Expense? - one year
Which of these needs is satisfied by Adjustable Life Insurance? - Insured's need for flexible
premiums
Which of these is considered a statement that is assured to be true in every respect? -
Warranty
What is Medicare? - A hospital and medical expense insurance program
How does a typical Variable Life Policy investment account grow? - Through mutual funds,
stocks, bonds
All of the following will result in the suspension of an agent's license EXCEPT - acting with
fiduciary responsibility
Which is true concerning a Variable universal Life policy? - Policyowner controls where the
investment will go and selects the amount of the premium payment
Which of the following is NOT a limited benefit plan? - Life insurance policy
An agent's license can be suspended or revoked by - writing primarily controlled business
Medicaid was designed to assist individuals who are - below a specific income limit
Which of these actions should a producer take when submitting an insurance application to an
insurer? - Inform insurer of relevant information not included on the application
What does the ownership clause in a life insurance policy state? - Who the policyowner is
and what rights the policyowner is entitled to
When does a life insurance contract become effective if the initial premium is not collected
during the application process? - when the producer delivers policy and collects initial
premium
Which of the following policies is characterized by flexible premium and death benefit and
allows the policyowner control of the investment aspect of the plan? - Variable universal
life
Additional coverage can be added to a Whole Life policy by adding a(n): - decreasing
term rider
,M is insured under a basic Hospital/Surgical Expense policy. A physician performs surgery on M.
What determines the claim M is eligible for? - Determined by the terms of policy
S would like to use dividends from her life insurance policy to purchased paid-up additions. All
of these would be factors that determine how much coverage can be purchased EXCEPT -
beneficiary's age
K is the insured and P is the sole beneficiary on a life insurance policy. Both are involved in a
fatal accident where K dies before P. Under the Common Disaster provision, which of these
statements is true? - Proceeds will be payable to K's state if P dies within a specified time
The type of annuity that can be purchased with one monetary deposit is called a(n): -
Immediate Annuity
A ___ day notice to the policyholder is required for any health insurer that wishes to cancel a
health insurance policy. - 45
W gave W's age as 50 when W purchased a Life policy. At the time of W's death seven years
later, the company discovered W's true age at issue had been 59. What would the normal
procedure be under the misstatement of age provision in regard to the payment of the death
claim? - The proceeds would be reduced based on whatever the premium would have
been if purchased at age 59
Whole Life insurance is sometimes referred to as "Straight Life". What does the word "Straight"
indicate when using this phrase? - The duration of premium payments
A trustee-to-trustee transfer of rollover funds in a qualified plan allows a participant to avoid: -
mandatory income tax withholding on the transfer amount
Which parts of a life insurance policy are guaranteed to be true? - Warranty
An example of sliding would be - charging for an additional product without the
applicant's consent
What is considered to be a characteristic of a Conditionally Renewable Health Insurance policy?
- Premiums may increase at time of renewal
The guarantee of insurability option provides a long-term care policyowner the ability to: -
buy additional coverage at a later date
Y purchased $100,000 worth of permanent protection on himself and $50,000 worth of 10-year
Term coverage for his wife on the same policy. Which if these policies did Y purchase? -
Whole Life policy with an Other Insured Rider
, Which of the following situations does a Critical Illness plan cover? - Leukemia
J, an Accidental Death and Dismemberment (AD&D) policy holder, dies after injuries sustained in
an accident. J's age as stated on the application five years ago was found to be understated by
ten years. Which of the following actions will the insurance company take? - The insurer
will adjust the benefit to what the premiums paid would have purchased at the insured's actual
age
The federal income tax treatment of employer-provided group Medical Expense insurance can
be accurately described as: - Employee's premium paid by the employer is tax-deductible
to the employer as a business expenditure
Florida requires that coverage for newborns begins "from the moment of birth" and continues
for - 18 months
Which of the following health insurance policy provisions specifies the health care services a
policy will provide? - Insuring Clause
Which provision allows a portion of any used medical benefits to be restored following a
particular amount of benefit has been used, or after the policy has been in effect for a particular
period of time? - Restoration of used benefit
If its employees share in the cost of insurance, what type of group life insurance plan would a
corporation have? - Contributory
T was insured under an individual Disability Income policy and was severely burned in a fire. As a
result, T became totally disabled. The insurer began making monthly benefit payments, but later
discovered that the fire was set by T in what was described as arson. What actions will the
insurer take? - The insurer will rescind the policy, deny the claim, and recover all payments
made
Every resident agent must have and maintain at their place of business the usual and customary
records pertaining to transactions under their license for at least how long? - 5 years
K is insured under a Group Life insurance policy. K is considered to be a(n): - Certificate
holder
T is an agent and when hired, is reminded that he has a responsibility to handle clients' funds in
an honest and ethical manner. This responsibility is referred to as - fiduciary responsibility
Under an Interest Sensitive Whole Life policy, - cash values are determined by interest
rates
Generally how long is a benefit period for Major Medical Expense? - one year
Which of these needs is satisfied by Adjustable Life Insurance? - Insured's need for flexible
premiums
Which of these is considered a statement that is assured to be true in every respect? -
Warranty
What is Medicare? - A hospital and medical expense insurance program
How does a typical Variable Life Policy investment account grow? - Through mutual funds,
stocks, bonds
All of the following will result in the suspension of an agent's license EXCEPT - acting with
fiduciary responsibility
Which is true concerning a Variable universal Life policy? - Policyowner controls where the
investment will go and selects the amount of the premium payment
Which of the following is NOT a limited benefit plan? - Life insurance policy
An agent's license can be suspended or revoked by - writing primarily controlled business
Medicaid was designed to assist individuals who are - below a specific income limit
Which of these actions should a producer take when submitting an insurance application to an
insurer? - Inform insurer of relevant information not included on the application
What does the ownership clause in a life insurance policy state? - Who the policyowner is
and what rights the policyowner is entitled to
When does a life insurance contract become effective if the initial premium is not collected
during the application process? - when the producer delivers policy and collects initial
premium
Which of the following policies is characterized by flexible premium and death benefit and
allows the policyowner control of the investment aspect of the plan? - Variable universal
life
Additional coverage can be added to a Whole Life policy by adding a(n): - decreasing
term rider
,M is insured under a basic Hospital/Surgical Expense policy. A physician performs surgery on M.
What determines the claim M is eligible for? - Determined by the terms of policy
S would like to use dividends from her life insurance policy to purchased paid-up additions. All
of these would be factors that determine how much coverage can be purchased EXCEPT -
beneficiary's age
K is the insured and P is the sole beneficiary on a life insurance policy. Both are involved in a
fatal accident where K dies before P. Under the Common Disaster provision, which of these
statements is true? - Proceeds will be payable to K's state if P dies within a specified time
The type of annuity that can be purchased with one monetary deposit is called a(n): -
Immediate Annuity
A ___ day notice to the policyholder is required for any health insurer that wishes to cancel a
health insurance policy. - 45
W gave W's age as 50 when W purchased a Life policy. At the time of W's death seven years
later, the company discovered W's true age at issue had been 59. What would the normal
procedure be under the misstatement of age provision in regard to the payment of the death
claim? - The proceeds would be reduced based on whatever the premium would have
been if purchased at age 59
Whole Life insurance is sometimes referred to as "Straight Life". What does the word "Straight"
indicate when using this phrase? - The duration of premium payments
A trustee-to-trustee transfer of rollover funds in a qualified plan allows a participant to avoid: -
mandatory income tax withholding on the transfer amount
Which parts of a life insurance policy are guaranteed to be true? - Warranty
An example of sliding would be - charging for an additional product without the
applicant's consent
What is considered to be a characteristic of a Conditionally Renewable Health Insurance policy?
- Premiums may increase at time of renewal
The guarantee of insurability option provides a long-term care policyowner the ability to: -
buy additional coverage at a later date
Y purchased $100,000 worth of permanent protection on himself and $50,000 worth of 10-year
Term coverage for his wife on the same policy. Which if these policies did Y purchase? -
Whole Life policy with an Other Insured Rider
, Which of the following situations does a Critical Illness plan cover? - Leukemia
J, an Accidental Death and Dismemberment (AD&D) policy holder, dies after injuries sustained in
an accident. J's age as stated on the application five years ago was found to be understated by
ten years. Which of the following actions will the insurance company take? - The insurer
will adjust the benefit to what the premiums paid would have purchased at the insured's actual
age
The federal income tax treatment of employer-provided group Medical Expense insurance can
be accurately described as: - Employee's premium paid by the employer is tax-deductible
to the employer as a business expenditure
Florida requires that coverage for newborns begins "from the moment of birth" and continues
for - 18 months
Which of the following health insurance policy provisions specifies the health care services a
policy will provide? - Insuring Clause
Which provision allows a portion of any used medical benefits to be restored following a
particular amount of benefit has been used, or after the policy has been in effect for a particular
period of time? - Restoration of used benefit
If its employees share in the cost of insurance, what type of group life insurance plan would a
corporation have? - Contributory
T was insured under an individual Disability Income policy and was severely burned in a fire. As a
result, T became totally disabled. The insurer began making monthly benefit payments, but later
discovered that the fire was set by T in what was described as arson. What actions will the
insurer take? - The insurer will rescind the policy, deny the claim, and recover all payments
made
Every resident agent must have and maintain at their place of business the usual and customary
records pertaining to transactions under their license for at least how long? - 5 years
K is insured under a Group Life insurance policy. K is considered to be a(n): - Certificate
holder
T is an agent and when hired, is reminded that he has a responsibility to handle clients' funds in
an honest and ethical manner. This responsibility is referred to as - fiduciary responsibility
Under an Interest Sensitive Whole Life policy, - cash values are determined by interest
rates
