FLORIDA HEALTH AND LIFE INSURANCE STATE PRACTICE EXAM 2025/2026 ACCURATE QUESTIONS WITH CORRECT DETAILED ANSWERS ||100% GUARANTEED PASS <RECENT VERSION>

FLORIDA HEALTH AND LIFE INSURANCE STATE PRACTICE EXAM 2025/2026 ACCURATE QUESTIONS WITH CORRECT DETAILED ANSWERS ||100% GUARANTEED PASS &lt;RECENT VERSION&gt; 1. Which of the following employer tasks does a Professional Employer Organization normally handle? - ANSWER Administration tasks 2. What type of life policy has a death benefit that adjusts periodically and is written for a specific period of time? - ANSWER Decreasing Term 3. Which action could result in a hearing being ordered by the Department of Financial Services? - ANSWER Performing insurance transactions without a license 4. What kind of special need would a policyowner require with an Adjustable Life insurance policy? - ANSWER Flexible Premiums 5. The premiums paid by an employer for his employee's group life insurance are usually considered to be: - ANSWER Tax deductible to the employer 6. Which of the following consists of an offer, acceptance, and consideration? - ANSWER Contract 7. Which of the following statements is true about most Blue Cross/Blue Shield organizations? - ANSWER They are non-profit organizations 8. Upon delivery of a rated life insurance policy, the Producer must obtain each of the following, EXCEPT: - ANSWER Signed HIPAA disclosure 9. Which of the following characteristics is associated with a large group disability income policy? - ANSWER No medical underwritting 10. When an insured changes to a more hazardous occupation, which disability policy provision allows an insurer to adjust policy benefits and rates? - ANSWER Change of Occupation Provision 11. What type of rider would be added to an Accident and Health policy if the policyowner wants to ensure the policy will continue if he/she ever becomes totally disabled? - ANSWER Waiver of Premium Rider 12. T applies for a life insurance policy and is told by the producer that the insurer is bound to the coverage as of the date of the application or medical examination, whichever is later. Assuming that T is an acceptable risk, what item is given to T? - ANSWER Conditional Recipt 13. A conditional recipt binds the insurer to coverage as the date of the application or medical exam, provided the proposed insured is determined to be an aceptable risk 14. When an insurer issues a policy that refuses to cover certain risks, this is referred to as a(n): - ANSWER Exclusion 15. A man decided to purchase a $100,000 Annually Renewable Term life policy to provide additional protection - ANSWER required a premium increase each renewal 16. Under which nonforfeiture option does the company pay the surrender value and have no further obligations to the policyowner? - ANSWER Cash surrender 17. Who is the owner and who is the beneficiary on a Key Person Life Insurance policy? - ANSWER Employer is the owner and beneficiary 18. A policy will pay the death benefit if the insured dies during the 20 year premium-paying period, and nothing if death occurs after the period - ANSWER level term 19. which of the following will be included in a policy summary - ANSWER premium amounts and surrender value 20. Occasional visits by which of the following medical professionals will NOT be covered under LTC's home health care? - ANSWER Attending physician 21. Group health insurance is characterized by all of the following except - ANSWER adverse selection 22. What life insurance settlement option guarantees payments for the lifetime of the recipient, but also specifies a guaranteed period, during which, if the original recipient dies, the payments will continue to a designated beneficiary? - ANSWER Life income with period certain 23. According to the Time Limit of Certain Defenses provision in an Individual Health Insurance Policy, nonfraudulent misstatements first become incontestable: - ANSWER two years from the date of the policy was issued 24. What does the ownership clause in a life insurance policy state? - ANSWER Who the policyowner is and what rights the policyowner is entitled to 25. In Florida, monthly-premium health insurance policies must provide a grace period of at least - ANSWER 10 days 26. Florida's 14-day free-look period for life insurance policies begins at the - ANSWER date of delivery 27. P is the insured on a participating life policy. Which statement is true if P's premiums are waived due to a disability? - ANSWER P will still recieve declared dividends 28. What is the main reason for regulating the insurance industry? - ANSWER maintain solvency of insurance companies 29. A trustee-to-trustee transfer of rollover funds in a qualified plan allows a participant to avoid: - ANSWER mandatory income tax withholding on the transfer amount 30. Which of the following is NOT an unfair claim settlement practice? - ANSWER Needing written documentation of claim details 31. Which Unfair Trade Practice involves making a false statement on an insurance application in order to receive money from an insurer? - ANSWER misrepresentation 32. P purchases a $50,000 whole life insurance policy in 2005. One of the questions on the application asks if P engages in scuba diving, to which P answers "No". The policy is then issued with no scuba exclusions. In 2010, P takes up scuba diving and dies in a scuba-related accident in 2011. What will the insurer pay to P's beneficiary? - ANSWER $50,000 minus any outstanding policy loans 33. In Florida, a health policy that is paid on a quarterly basis requires a grace period of - ANSWER 31 days 34. Decreasing Term - ANSWER - Face amount decreases - face amount is zero when policy expires - premiums are level 35. Return of premium - ANSWER - premiums are generally higher - longer the term, lower the premium 36. Annually renewable - ANSWER - level face amount - increasing premiums 37. Increasing term - ANSWER - increasing face amount - level premiums 38. Special features of term policies - ANSWER - renewable term policies - convertible term policies 39. Renewable Term Policies - ANSWER - allow policy owner to renew without prove of insurability 40. Convertible Term Policies - ANSWER - Insureds can convert policies into permanent policies without proof of insurability - New policy will have higher premiums 41. Annuities - ANSWER - Protects against living too long and outliving funds 42. Single Premium annuity - ANSWER - SPIA (single premium immediate annuity) - payments start immediately - SPDA (single premium deffered annuity) - pays are deffered - premiums paid at once 43. Flexible Premium - ANSWER - premiums can be paid within a range 44. Immediate and Deffered Annutities - ANSWER - refers to when the annuity pay period begins 45. Immediate annuities - ANSWER - payouts begin immediately (within one year) after the annuity is purchased 46. Deffered annuities - ANSWER - payouts begin one year or later 47. Fixed annuities - ANSWER - guaranteed minimum interest rate - accrue interest during accumulation phase - premiums are invested in insurer's general account 48. Variable annuities - ANSWER - have variable interest rates and benefits - Policyowner choose where premiums are to be invested 49. Joint Life - ANSWER Insurers lives of two or more people - premiums less expensive - face amount is paid when first person dies 50. Surviviorship life - ANSWER - joint life policy that pays benefits when second person insured dies 51. Riders - ANSWER add on's to the existing policy CUSTOMIZATION OF COVERAGE 52. Provisions - ANSWER the characteristics of the policy, privileges/duties of the parties involved, and right of the policy PROTECT POLICY OWNER 53. Options - ANSWER how policy funds are used CHOICES ON HOW TO DISTRIBUTE A SUM OF MONEY 54. Waiver of Premium Rider - ANSWER - allows policy owner to not pay premium during disability - disability must be permitted and total - doesn't apply if insured is of certain age (60 or 65) 55. Guaranteed insurability - ANSWER allows insured to buy/add additional insurance at given times without providing proof of insurability 56. Payor benefit - ANSWER - if individual who is paying insurance on a minor dies, the minor's insurance stay in affect until the child reaches certain age and premiums don't have to be paid 57. Accidental death and dismemberment - ANSWER - rider that can be added to life insurance policies - pay benefits for dismemberment and accidental death - Pays principal sum for loss of both of any limbs or complete blindness 58. term riders - ANSWER rider that add term coverage to an existing life insurance coverage 59. Other insureds - ANSWER - allows policy owner to add family members to insurance plan and have them get protection 60. Long term care - ANSWER - accelerated benefit that pays long-term costs