FLORIDA HEALTH AND LIFE
INSURANCE STATE EXAM
PRACTICE PART 1AND 2 2025
[Document subtitle]
[DATE]
[COMPANY NAME]
[Company address]
,1. Which Accident and Health policy provision addresses preexisting
conditions?
Answer: Time Limit on Certain Defenses.
2. Which of the following individual health insurance policies will provide the
broadest protection?
Answer: Major Medical.
3. Which of the following situations does NOT apply to the Florida
Replacement Rule?
Answer: An existing policyholder purchases an additional policy from the same
insurer.
4. Agent J takes an application and initial premium from an applicant and
sends the application and premium check to the insurance company. The
insurance company returns the check back to J because the check is made
out to J instead of the insurance company. What action should J take?
Answer: Return to the customer, collect a new check made out to the insurance
company, and send the new check out to the insurance company.
5. Under which of the following circumstances will the benefits under COBRA
continuation coverage end?
Answer: All group health plans are terminated by the employer.
6. Which type of renewability best describes a Disability Income policy that
covers an individual until the age of 65, but the insurer has the right to
change the premium rate for the overall risk class?
Answer: Guaranteed Renewable.
7. An incomplete life insurance application submitted to an insurer will result
in which of these actions?
Answer: Application will be returned to the writing agent.
8. The waiting period for a pre-existing condition under a Medicare Supplement
policy may NOT go beyond
Answer: 6 Months.
9. Which of these statements is INCORRECT regarding the federal income tax
treatment of life insurance?
Answer: Entire cash surrender value is taxable.
10. Which of these is considered a mandatory provision?
Answer: Payment of Claims.
11. Which of the following actions will an insurance company most likely NOT
take if an applicant, who has diabetes, applies for a Disability Income
, policy?
Answer: Issue the policy with an altered Time of Payment of Claims provision.
12. Which of the following phrases refers to the fees charged by a healthcare
professional?
Answer: Usual, customary, and reasonable expenses.
13. D was actively serving in the Marines when he was killed in an automobile
accident while on leave. His $100,000 Whole life policy contains a War
Exclusion clause. How much will D's beneficiary's receive?
Answer: The full face amount.
14. N is covered under an individual Disability policy with a 30-day Elimination
period and a monthly benefit of $500. N is totally disabled for 3 1/2 months.
N's total benefit received on this claim is:
Answer: $1,250 (No benefits are available during the elimination period).
15. Who does an agent represent during the solicitation of insurance?
Answer: The insurance company.
16. Which of the following costs would a Basic Hospital/Surgical policy likely
cover?
Answer: Surgically removing a facial birthmark.
17. The federal income tax treatment of employer-provided group Medical
Expense insurance can be accurately described as:
Answer: Employee's premiums paid by the employer is tax-deductible to the
employer as a business expenditure.
18. What must the policyowner provide to the insurer for validation that a loss
has occurred?
Answer: Proof of loss.
19. Association Plans that are designed to provide health benefits to their
members are regulated by the state because
Answer: They are insured by and authorized insurer.
20. Which of the following statements is CORRECT about the period in which a
Term Policy can be converted?
Answer: It varies according to contracts.
21. When does a life insurance contract become effective if the initial premium
is not collected during the application process?
Answer: When the producer delivers the policy and collects the initial premium.
INSURANCE STATE EXAM
PRACTICE PART 1AND 2 2025
[Document subtitle]
[DATE]
[COMPANY NAME]
[Company address]
,1. Which Accident and Health policy provision addresses preexisting
conditions?
Answer: Time Limit on Certain Defenses.
2. Which of the following individual health insurance policies will provide the
broadest protection?
Answer: Major Medical.
3. Which of the following situations does NOT apply to the Florida
Replacement Rule?
Answer: An existing policyholder purchases an additional policy from the same
insurer.
4. Agent J takes an application and initial premium from an applicant and
sends the application and premium check to the insurance company. The
insurance company returns the check back to J because the check is made
out to J instead of the insurance company. What action should J take?
Answer: Return to the customer, collect a new check made out to the insurance
company, and send the new check out to the insurance company.
5. Under which of the following circumstances will the benefits under COBRA
continuation coverage end?
Answer: All group health plans are terminated by the employer.
6. Which type of renewability best describes a Disability Income policy that
covers an individual until the age of 65, but the insurer has the right to
change the premium rate for the overall risk class?
Answer: Guaranteed Renewable.
7. An incomplete life insurance application submitted to an insurer will result
in which of these actions?
Answer: Application will be returned to the writing agent.
8. The waiting period for a pre-existing condition under a Medicare Supplement
policy may NOT go beyond
Answer: 6 Months.
9. Which of these statements is INCORRECT regarding the federal income tax
treatment of life insurance?
Answer: Entire cash surrender value is taxable.
10. Which of these is considered a mandatory provision?
Answer: Payment of Claims.
11. Which of the following actions will an insurance company most likely NOT
take if an applicant, who has diabetes, applies for a Disability Income
, policy?
Answer: Issue the policy with an altered Time of Payment of Claims provision.
12. Which of the following phrases refers to the fees charged by a healthcare
professional?
Answer: Usual, customary, and reasonable expenses.
13. D was actively serving in the Marines when he was killed in an automobile
accident while on leave. His $100,000 Whole life policy contains a War
Exclusion clause. How much will D's beneficiary's receive?
Answer: The full face amount.
14. N is covered under an individual Disability policy with a 30-day Elimination
period and a monthly benefit of $500. N is totally disabled for 3 1/2 months.
N's total benefit received on this claim is:
Answer: $1,250 (No benefits are available during the elimination period).
15. Who does an agent represent during the solicitation of insurance?
Answer: The insurance company.
16. Which of the following costs would a Basic Hospital/Surgical policy likely
cover?
Answer: Surgically removing a facial birthmark.
17. The federal income tax treatment of employer-provided group Medical
Expense insurance can be accurately described as:
Answer: Employee's premiums paid by the employer is tax-deductible to the
employer as a business expenditure.
18. What must the policyowner provide to the insurer for validation that a loss
has occurred?
Answer: Proof of loss.
19. Association Plans that are designed to provide health benefits to their
members are regulated by the state because
Answer: They are insured by and authorized insurer.
20. Which of the following statements is CORRECT about the period in which a
Term Policy can be converted?
Answer: It varies according to contracts.
21. When does a life insurance contract become effective if the initial premium
is not collected during the application process?
Answer: When the producer delivers the policy and collects the initial premium.
