Indiana Life and Health
A husband and wife both incur expenses that are attributed to a single major medical insurance
deductibles. Which type of deductible do they have in their policy?
a) Flat
b) Annual
c) Per occurrence
d) Family - ANS-D
A Major Medical Expense policy would exclude for all of the following treatments EXCPET
a) Cosmetic surgery
b) Drug addiction
c) Eye refractions
d) Dental care - ANS-B
According to the Life Insurance Solicitation Rule 24, what would be defined as cost?
a) The dividend projections.
b) The difference between what the insured pays and what he gets in return.
c) The amount the insured pays in premium.
d) The difference between what the insured pays in premium and what the insurer spends in
administrative expenses. - ANS-B
All of the following are characteristics of group health insurance plan EXCEPT
a) The benefits under a group plan are more extensive than those under individual plans.
b) The parties that hold a group health insurance contract are the employees and the
employers.
c) The cost of insuring an individual is less than what would be charged for comparable benefits
under an individual plan.
d) Employers may require the employees to contribute to the premium payments. - ANS-B
All of the following are features of catastrophic plans EXCEPT
a) Out-of-pocket costs
b) High deductibles
c) Essential benefits
d) High premiums - ANS-D
All of the following must sign an application for health insurance EXCEPT the
a) The proposed insured.
b) Applicant
c) Producer
d) Insurer - ANS-D
An elimination period may NOT have to be satisfied for a disability in which of the following?
a) An insured suffers a relapse of a prior disability within 6 months of the initial covered
disability.
b) An insured suffered the disability from the results of active duty with the US Armed Forces.
c) An insured is disabled from a work-related accident.
, d) An insured contracts an incurable disease. - ANS-A
An employee has a Flexible Spending Account with a $5,000 annual benefit. This year the
employee used $3,000. What would be the amount of the benefit available to the employee next
year.
a) $7,000
b) $5,000
c) $3,000
d) $2,000 - ANS-B
An insured needs ongoing treatment for a diabetic condition. Under PPACA, which of the
following is correct?
a) Treatment is subject to an annual dollar maximum.
b) The condition must be covered under the insured's plan.
c) The condition is covered if the insured's plan specifies the condition.
d) Treatment is subject to pre-existing conditions exclusions. - ANS-B
An IRA owner who is 57 years old wants to make a withdrawal from her traditional IRA. What
penalty will be imposed?
a) No penalty
b) 6%
c) 10%
d) 20% - ANS-C
HMO's are known as what type of plans?
a) Consumer driven
b) Reimbursement
c) Service
d) Health savings - ANS-C
If a life insurance policy is purchased by someone who has no insurable interest in the insured,
it is considered
a) A STOLI policy
b) Estate liquidation
c) Third-party ownership
d) A specialized policy - ANS-A
If an insured pays a health insurance premium each month, how long would the grace period be
under the policy?
a) 7 days
b) 10 days
c) 14 days
d) 25 days - ANS-B
J is receiving fixed amount benefit payments from his late wife's insurance policy. He was told
that if he dies before all of the benefits are paid, the remaining amount will go to the contingent
beneficiary. Which settlement option did J choose?
a) Joint and Survivor
b) Fixed Amount
c) Fixed Period
d) Interest Only - ANS-B
A husband and wife both incur expenses that are attributed to a single major medical insurance
deductibles. Which type of deductible do they have in their policy?
a) Flat
b) Annual
c) Per occurrence
d) Family - ANS-D
A Major Medical Expense policy would exclude for all of the following treatments EXCPET
a) Cosmetic surgery
b) Drug addiction
c) Eye refractions
d) Dental care - ANS-B
According to the Life Insurance Solicitation Rule 24, what would be defined as cost?
a) The dividend projections.
b) The difference between what the insured pays and what he gets in return.
c) The amount the insured pays in premium.
d) The difference between what the insured pays in premium and what the insurer spends in
administrative expenses. - ANS-B
All of the following are characteristics of group health insurance plan EXCEPT
a) The benefits under a group plan are more extensive than those under individual plans.
b) The parties that hold a group health insurance contract are the employees and the
employers.
c) The cost of insuring an individual is less than what would be charged for comparable benefits
under an individual plan.
d) Employers may require the employees to contribute to the premium payments. - ANS-B
All of the following are features of catastrophic plans EXCEPT
a) Out-of-pocket costs
b) High deductibles
c) Essential benefits
d) High premiums - ANS-D
All of the following must sign an application for health insurance EXCEPT the
a) The proposed insured.
b) Applicant
c) Producer
d) Insurer - ANS-D
An elimination period may NOT have to be satisfied for a disability in which of the following?
a) An insured suffers a relapse of a prior disability within 6 months of the initial covered
disability.
b) An insured suffered the disability from the results of active duty with the US Armed Forces.
c) An insured is disabled from a work-related accident.
, d) An insured contracts an incurable disease. - ANS-A
An employee has a Flexible Spending Account with a $5,000 annual benefit. This year the
employee used $3,000. What would be the amount of the benefit available to the employee next
year.
a) $7,000
b) $5,000
c) $3,000
d) $2,000 - ANS-B
An insured needs ongoing treatment for a diabetic condition. Under PPACA, which of the
following is correct?
a) Treatment is subject to an annual dollar maximum.
b) The condition must be covered under the insured's plan.
c) The condition is covered if the insured's plan specifies the condition.
d) Treatment is subject to pre-existing conditions exclusions. - ANS-B
An IRA owner who is 57 years old wants to make a withdrawal from her traditional IRA. What
penalty will be imposed?
a) No penalty
b) 6%
c) 10%
d) 20% - ANS-C
HMO's are known as what type of plans?
a) Consumer driven
b) Reimbursement
c) Service
d) Health savings - ANS-C
If a life insurance policy is purchased by someone who has no insurable interest in the insured,
it is considered
a) A STOLI policy
b) Estate liquidation
c) Third-party ownership
d) A specialized policy - ANS-A
If an insured pays a health insurance premium each month, how long would the grace period be
under the policy?
a) 7 days
b) 10 days
c) 14 days
d) 25 days - ANS-B
J is receiving fixed amount benefit payments from his late wife's insurance policy. He was told
that if he dies before all of the benefits are paid, the remaining amount will go to the contingent
beneficiary. Which settlement option did J choose?
a) Joint and Survivor
b) Fixed Amount
c) Fixed Period
d) Interest Only - ANS-B
