Georgia Life and Health Mock Exam
An employee of 20 years recently [retired] at age 59 1/2. This
employee's group life contract can be:
1. converted to an individual permanent policy at an individual rate
2. converted to an individual permanent policy at a group rate
3. continued at an individual rate
4.continued at a group rate Correct answers 1. converted to an
individual permanent policy at an individual rate
A [level] premium indicates:
1. the premium is fixed for a period stated in the contract, then becomes
variable
2. the premium can only be changed with the consent of the insurer
3. the premium stays level until the policy's renewal date
4.the premium is fixed for the entire duration of the contract Correct
answers 4. the premium is fixed for the entire duration of the contract
S takes out an accident and sickness insurance policy which contains a
provision that states that the [agent does not have the authority] to change
the policy or waive any of its provisions. Which health [policy] provision is
this?
5. legal actions
6. insurance with other insurers
7. entire contract
8. reinstatement Correct answers 3. entire contract
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?
9. waiver of premium
10.recurring disability
11.residual disability
12.presumptive disability Correct answers 3. residual disability
P is a Major Medical policy owner who hospitalized as a result of injuries
sustained from participating in a [carjacking]. How will the insurer most likely
handle the claim?
13.claim will be denied and policy terminated
14.claim will partially paid
15.claim will be paid
16.clim will be denied Correct answers 4. claim will be denied
A [mutual] insurance company and a [stock] insurance company have
one main [difference] between them. What is this major contrast?
, 1.stock company is regulated by the state where its incorporated.
Mutual company is regulated by its policy owners.
2.stock company is considered an authorized insurer. Mutual company is
considered an unauthorized insurer.
3.stock company is owned by its policyowners. Mutual company is
owned by its shareholders.
4.stock company is owned by its shareholders. Mutual company is owned
by its policyholders. Correct answers 4. stock company is owned by its
shareholders. Mutual
company is owned by its policyholders.
During the application process, the [agent's primary responsibility] is to
5. the Commissioner
6. the applicant
7. the insurance company
8. the State of Georgia Correct answers 3. the insurance company
B receives [yearly] dividends and interest from a participating life
insurance policy. Which of these should B include as [gross income] for
[federal income tax] purposes?
9. interest and dividends
10.interest only
11.dividends only
12.neither interest nor dividends are taxable Correct answers 2. interest
only
Insurance agents do [NOT] have a fiduciary [responsibility] to
13.insurance companies
14.insureds
15.applicants
16.another agent Correct answers 4. another agent
What type of rider would be [added] to an Accident and Health policy if the
policy owner wants to [ensure] the policy will continue if he/she ever
becomes totally disabled?
17.Accidental Death and Dismemberment rider
18.Disability Income rider
19.Guaranteed Insurability rider
20.Waiver of Premium rider Correct answers 4. Waiver of Premium rider
(they would want to add it if they are already a A&H policy owner)
Common exclusions to continuation of group coverage include:
1. dental care
2. other prescription drugs
3. all of the above Correct answers 3. all of the above
Health insurance [benefits NOT covered] due to an act of war are:
1. excluded by the insurer in the contract provisions
2. assigned to a reinsurer
3. given a longer probationary period
An employee of 20 years recently [retired] at age 59 1/2. This
employee's group life contract can be:
1. converted to an individual permanent policy at an individual rate
2. converted to an individual permanent policy at a group rate
3. continued at an individual rate
4.continued at a group rate Correct answers 1. converted to an
individual permanent policy at an individual rate
A [level] premium indicates:
1. the premium is fixed for a period stated in the contract, then becomes
variable
2. the premium can only be changed with the consent of the insurer
3. the premium stays level until the policy's renewal date
4.the premium is fixed for the entire duration of the contract Correct
answers 4. the premium is fixed for the entire duration of the contract
S takes out an accident and sickness insurance policy which contains a
provision that states that the [agent does not have the authority] to change
the policy or waive any of its provisions. Which health [policy] provision is
this?
5. legal actions
6. insurance with other insurers
7. entire contract
8. reinstatement Correct answers 3. entire contract
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?
9. waiver of premium
10.recurring disability
11.residual disability
12.presumptive disability Correct answers 3. residual disability
P is a Major Medical policy owner who hospitalized as a result of injuries
sustained from participating in a [carjacking]. How will the insurer most likely
handle the claim?
13.claim will be denied and policy terminated
14.claim will partially paid
15.claim will be paid
16.clim will be denied Correct answers 4. claim will be denied
A [mutual] insurance company and a [stock] insurance company have
one main [difference] between them. What is this major contrast?
, 1.stock company is regulated by the state where its incorporated.
Mutual company is regulated by its policy owners.
2.stock company is considered an authorized insurer. Mutual company is
considered an unauthorized insurer.
3.stock company is owned by its policyowners. Mutual company is
owned by its shareholders.
4.stock company is owned by its shareholders. Mutual company is owned
by its policyholders. Correct answers 4. stock company is owned by its
shareholders. Mutual
company is owned by its policyholders.
During the application process, the [agent's primary responsibility] is to
5. the Commissioner
6. the applicant
7. the insurance company
8. the State of Georgia Correct answers 3. the insurance company
B receives [yearly] dividends and interest from a participating life
insurance policy. Which of these should B include as [gross income] for
[federal income tax] purposes?
9. interest and dividends
10.interest only
11.dividends only
12.neither interest nor dividends are taxable Correct answers 2. interest
only
Insurance agents do [NOT] have a fiduciary [responsibility] to
13.insurance companies
14.insureds
15.applicants
16.another agent Correct answers 4. another agent
What type of rider would be [added] to an Accident and Health policy if the
policy owner wants to [ensure] the policy will continue if he/she ever
becomes totally disabled?
17.Accidental Death and Dismemberment rider
18.Disability Income rider
19.Guaranteed Insurability rider
20.Waiver of Premium rider Correct answers 4. Waiver of Premium rider
(they would want to add it if they are already a A&H policy owner)
Common exclusions to continuation of group coverage include:
1. dental care
2. other prescription drugs
3. all of the above Correct answers 3. all of the above
Health insurance [benefits NOT covered] due to an act of war are:
1. excluded by the insurer in the contract provisions
2. assigned to a reinsurer
3. given a longer probationary period
