PSi Exam Questions and Answers A+
Guide
Which statement is NOT a characteristic of Group Life Insurance
Plans? - correct answers✅✅Individual Underwriting
Individuals who are eligible for Medicare on the first day of the
month in which they turn age 65 are automatically enrolled in: -
correct answers✅✅Part B
A contract will be deemed invalid if: - correct answers✅✅One
party was not competent
Which of the following is an example of a moral hazard? - correct
answers✅✅An individual sets fire to a building to collect the
insurance money
Which of the following insurance policies pays a specific amount
of insurance for each day an individual is hospitalized? - correct
answers✅✅Hospital Indemnity Insurance
Without written consent, a policy owner CAN NOT change the
beneficiary if he has named: - correct answers✅✅An
irrevocable beneficiary
Which of the following would be the most appropriate reason for a
35-year-old male in good health, who is the father of school-aged
children, to purchase term life insurance? - correct
answers✅✅Provide financial security for dependents
,PSi Exam Questions and Answers A+
Guide
Reinsurance is a specialized branch of the insurance industry
because they: - correct answers✅✅Insure Insurers
On an individual insurance application, which of the following
signatures is NOT Required? - correct answers✅✅Insurer
Which is an accurate statement regarding the taxation of personal
life insurance? - correct answers✅✅Lump sum death benefits
are income tax free
If an insurer determined the insured is totally disabled, the policy
owner is relieved of paying the policy premium as long as the
disability continues. This statement describes the: - correct
answers✅✅Waiver of premium rider
Which of the following is an example of risk sharing? - correct
answers✅✅Purchasing an insurance policy to cover liability
exposures
In Nebraska, Insurance companies must charge the same rate for
disability income insurance for individuals: - correct
answers✅✅Of the same class and same hazard
The primary reason for purchasing life insurance is to provide: -
correct answers✅✅death benefits
, PSi Exam Questions and Answers A+
Guide
Which of the following is a characteristic of level premium life
insurance? - correct answers✅✅It can be used for cash value
Who does not have insurable interest in the insured? - correct
answers✅✅The insured's neighbor
How many days after a major medical policy is delivered does a
consumer have to return it for a full refund? - correct
answers✅✅10 days
The person who can request changes to an individual life
insurance contract is the: - correct answers✅✅Policy owner
Generally, if a life application is NOT prepaid, the effective date of
coverage begins on the date the: - correct answers✅✅Policy is
delivered and accepted
Which of the following individuals is required to be licensed as an
insurance consultant in the State of Nebraska? - correct
answers✅✅A person providing insurance advice for a fee
Publishing an article which includes false statements about the
financial condition of an insurer is an example of: - correct
answers✅✅Defamation
Guide
Which statement is NOT a characteristic of Group Life Insurance
Plans? - correct answers✅✅Individual Underwriting
Individuals who are eligible for Medicare on the first day of the
month in which they turn age 65 are automatically enrolled in: -
correct answers✅✅Part B
A contract will be deemed invalid if: - correct answers✅✅One
party was not competent
Which of the following is an example of a moral hazard? - correct
answers✅✅An individual sets fire to a building to collect the
insurance money
Which of the following insurance policies pays a specific amount
of insurance for each day an individual is hospitalized? - correct
answers✅✅Hospital Indemnity Insurance
Without written consent, a policy owner CAN NOT change the
beneficiary if he has named: - correct answers✅✅An
irrevocable beneficiary
Which of the following would be the most appropriate reason for a
35-year-old male in good health, who is the father of school-aged
children, to purchase term life insurance? - correct
answers✅✅Provide financial security for dependents
,PSi Exam Questions and Answers A+
Guide
Reinsurance is a specialized branch of the insurance industry
because they: - correct answers✅✅Insure Insurers
On an individual insurance application, which of the following
signatures is NOT Required? - correct answers✅✅Insurer
Which is an accurate statement regarding the taxation of personal
life insurance? - correct answers✅✅Lump sum death benefits
are income tax free
If an insurer determined the insured is totally disabled, the policy
owner is relieved of paying the policy premium as long as the
disability continues. This statement describes the: - correct
answers✅✅Waiver of premium rider
Which of the following is an example of risk sharing? - correct
answers✅✅Purchasing an insurance policy to cover liability
exposures
In Nebraska, Insurance companies must charge the same rate for
disability income insurance for individuals: - correct
answers✅✅Of the same class and same hazard
The primary reason for purchasing life insurance is to provide: -
correct answers✅✅death benefits
, PSi Exam Questions and Answers A+
Guide
Which of the following is a characteristic of level premium life
insurance? - correct answers✅✅It can be used for cash value
Who does not have insurable interest in the insured? - correct
answers✅✅The insured's neighbor
How many days after a major medical policy is delivered does a
consumer have to return it for a full refund? - correct
answers✅✅10 days
The person who can request changes to an individual life
insurance contract is the: - correct answers✅✅Policy owner
Generally, if a life application is NOT prepaid, the effective date of
coverage begins on the date the: - correct answers✅✅Policy is
delivered and accepted
Which of the following individuals is required to be licensed as an
insurance consultant in the State of Nebraska? - correct
answers✅✅A person providing insurance advice for a fee
Publishing an article which includes false statements about the
financial condition of an insurer is an example of: - correct
answers✅✅Defamation
