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XCEL Health & Life Insurance PART 2 -
Comprehensive Exam Review (Alabama)
Questions with Detailed Verified Answers
(100% Correct Answers) /Already Graded
A+
T has Disability Income policy that pays a monthly benefit of $5000. If T
becomes partially disabled, what can he likely expect?
Ans: Less than $5000 per month benefit regardless of the cause
At certain ages, an insured can increase the stated benefit under their disability
income policy, regardless of health. Which policy rider does this describe?
Ans: Cost of Living Adjustment (COLA)
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?
Ans: Residual disability
R had received full disability income benefits for 6 months. When he returns to
work, he is only able to resume half his normal daily workload. Which provision
pays reduced benefits to R while he is not working at full capacity?
Ans: Residual disability
With Disability Income insurance, an insurance company may limit the monthly
benefit amount a prospective policy holder may obtain because of the insured's:
Ans: Gross income at the time of purchase
Mary and Paul have individual disability income policies that both pay a
$5,000/month benefit. Mary's policy has a 30-day elimination period, and
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Paul's policy has a five month elimination period. Which of the following
statements is true?
Ans: Paul's premium is probably less than Mary's
An individual Disability Income insurance applicant may be required to submit all
of the following information EXCEPT:
A. Medical history
B. Gross income
C. Occupation
D. Spouse's occupation
Ans: Spouse's occupation
P received Disability income benefits for 3 months then returns to work. She is
able to work one month before her condition returns, leaving her disabled once
again. What would the insurance company most likely regard this second period
of disability as?
Ans: A recurrent disability
A Long Term Care insured must be unable to perform a minimum of ____
Activities of Daily Living (ADLs) to receive benefits.
Ans: 2
A Long Term Care (LTC) policy has a minimum renewability level of:
Ans: Guaranteed renewable
Katherine is a retiree and was recently hospitalized for 10 days. Which type of
insurance policy would best cover her for excess hospital expenses?
Ans: Medicare supplement
Extended residence in a nursing home is covered by a(n):
Ans: Long-term care policy
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Long Term Care policies normally provide benefits for:
Ans: Home health care
The Long Term Care Partnership program is designed to allow seniors to:
Ans: Shelter assets from the spend-down requirements of Medicaid
Who would most likely own a Medicare Supplement policy?
Ans: 69-year old female covered by Medicare
An individual unable to perform two or more Activities of Daily Living (ADLs) will
trigger coverage from a ___________ policy.
Ans: Long Term Care (LTC)
Jackie has just enrolled in Medicare Part B for the first time. He cannot be
refused or rated for a Medicare supplement policy as long as he applies for
coverage within 6 months of enrolling in Part B what is this requirement called:
Ans: Guaranteed issue
Which is NOT true regarding Medicare Supplement policies?
A. Designed fo individuals who are enrolled in Medicare
B. Must define all terms the same as the federal Medicare program
C. Must include a minimum 20-day Free Look provision
D. Must not duplicate Medicare benefits
Ans: Must include a minimum 20-day Free Look provision
Eligibile participants are required to make premium payments for which part of
Medicare?
Ans: Part B
Medicare Advantage (Medicare Part C) allows the utilization of benefits through
a(n):
Click here for more: Preppass - Stuvia
XCEL Health & Life Insurance PART 2 -
Comprehensive Exam Review (Alabama)
Questions with Detailed Verified Answers
(100% Correct Answers) /Already Graded
A+
T has Disability Income policy that pays a monthly benefit of $5000. If T
becomes partially disabled, what can he likely expect?
Ans: Less than $5000 per month benefit regardless of the cause
At certain ages, an insured can increase the stated benefit under their disability
income policy, regardless of health. Which policy rider does this describe?
Ans: Cost of Living Adjustment (COLA)
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?
Ans: Residual disability
R had received full disability income benefits for 6 months. When he returns to
work, he is only able to resume half his normal daily workload. Which provision
pays reduced benefits to R while he is not working at full capacity?
Ans: Residual disability
With Disability Income insurance, an insurance company may limit the monthly
benefit amount a prospective policy holder may obtain because of the insured's:
Ans: Gross income at the time of purchase
Mary and Paul have individual disability income policies that both pay a
$5,000/month benefit. Mary's policy has a 30-day elimination period, and
,Page | 2
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Paul's policy has a five month elimination period. Which of the following
statements is true?
Ans: Paul's premium is probably less than Mary's
An individual Disability Income insurance applicant may be required to submit all
of the following information EXCEPT:
A. Medical history
B. Gross income
C. Occupation
D. Spouse's occupation
Ans: Spouse's occupation
P received Disability income benefits for 3 months then returns to work. She is
able to work one month before her condition returns, leaving her disabled once
again. What would the insurance company most likely regard this second period
of disability as?
Ans: A recurrent disability
A Long Term Care insured must be unable to perform a minimum of ____
Activities of Daily Living (ADLs) to receive benefits.
Ans: 2
A Long Term Care (LTC) policy has a minimum renewability level of:
Ans: Guaranteed renewable
Katherine is a retiree and was recently hospitalized for 10 days. Which type of
insurance policy would best cover her for excess hospital expenses?
Ans: Medicare supplement
Extended residence in a nursing home is covered by a(n):
Ans: Long-term care policy
, Page | 3
Click here for more: Preppass - Stuvia
Long Term Care policies normally provide benefits for:
Ans: Home health care
The Long Term Care Partnership program is designed to allow seniors to:
Ans: Shelter assets from the spend-down requirements of Medicaid
Who would most likely own a Medicare Supplement policy?
Ans: 69-year old female covered by Medicare
An individual unable to perform two or more Activities of Daily Living (ADLs) will
trigger coverage from a ___________ policy.
Ans: Long Term Care (LTC)
Jackie has just enrolled in Medicare Part B for the first time. He cannot be
refused or rated for a Medicare supplement policy as long as he applies for
coverage within 6 months of enrolling in Part B what is this requirement called:
Ans: Guaranteed issue
Which is NOT true regarding Medicare Supplement policies?
A. Designed fo individuals who are enrolled in Medicare
B. Must define all terms the same as the federal Medicare program
C. Must include a minimum 20-day Free Look provision
D. Must not duplicate Medicare benefits
Ans: Must include a minimum 20-day Free Look provision
Eligibile participants are required to make premium payments for which part of
Medicare?
Ans: Part B
Medicare Advantage (Medicare Part C) allows the utilization of benefits through
a(n):
