XCEL OHIO LIFE AND HEALTH STATE
PRACTICE EXAM QUESTIONS WITH
COMPLETE SOLUTIONS
Which of the following is a legal entity created for the sole purpose of providing
affordable group health coverage to its participants? - ANSWER-Multiple Employer
Welfare Arrangement (MEWA)
The premium payment mode that results in the highest overall cost would be -
ANSWER-monthly
Major medical insurance will typically cover medical expenses that result from -
ANSWER-a negative reaction to prescribed medication
Who assumes the investment risk with a fixed annuity contract? - ANSWER-The
insurer
Carole is a licensed agent who lives in Michigan and transacts insurance in Ohio. In
Ohio, Carole is considered to be a(n) - ANSWER-non-resident agent
Which of these statements regarding the annuitant is CORRECT? - ANSWER-The
annuitant's life expectancy determines the annuity payments
Fraternal Benefit Society has each of the following characteristics EXCEPT -
ANSWER-Exist for profit
Medicaid is a government-funded program designed to provide health care to -
ANSWER-poor people
Which of the following is typically NOT eligible for coverage in a group health policy?
- ANSWER-Temporary employee
Which of the following is considered to be an act of misrepresentation? - ANSWER-
Falsifying the terms, benefits, advantages, or conditions of an insurance policy
A life insurance claim which involves a per capita distribution of policy proceeds
would be payable to the - ANSWER-named living primary beneficiaries
Which type of long-term care benefit would be most appropriate for a stroke victim
who requires speech therapy administered at her home? - ANSWER-Home health
care
A health insurance policy where the insurer has the right to terminate the policy for
reasons other than the insured's health is called - ANSWER-conditionally renewable
Which of these is considered to be a document that describes the critical segments
of a life insurance policy? - ANSWER-Policy summary
, XYZ Corp pays the tax-deductible insurance premiums for a key employee disability
policy. Which of the following would be the appropriate tax consequence? -
ANSWER-Benefits are fully taxable
Under the Affordable Care Act, which of these plans is designed to provide coverage
that is actuarially equivalent of 80% of thee full actuarial value of the benefits
provided under the plan? - ANSWER-Gold
All Health Benefit Plans issued after January 1, 2014 must provide - ANSWER-
preventative health care
A life insurance policy's advertising material MUST contain all of the following
information EXCEPT - ANSWER-Agent's commission
An insurer can exclude coverage for a preexisting condition on a Medicare
Supplement policy for up to - ANSWER-6 months
What is an insurance policy's grace period? - ANSWER-Period of time after the
premium is due but the policy remains in force
A life insurance applicant in Ohio may backdate the application for up to ___ months
- ANSWER-3
An insurer's ability to make unpredictable payouts to policyowners is called -
ANSWER-liquidity
Inducement is BEST defined as - ANSWER-offering to buy, sell, give, or allow a
prospective insured employment, stock or special favors in exchange for an
insurance transaction
Shawn, Mike, and Dave are brothers who have a $100,000 "first to die" joint life
policy covering all three of their lives. If Mike dies first, the policy proceeds -
ANSWER-will no longer provide insurance protection
All of these are characteristics of a universal life insurance policy EXCEPT -
ANSWER-Flexible surrender value
Distribution from a Health Savings Account (HSA) for qualified medical expenses are
- ANSWER-tax-free
In Ohio, a Long-Term Care policy must be ___ renewable - ANSWER-Guaranteed
What is the purpose of the Ohio Life and Health Insurance Guaranty Association? -
ANSWER-Ensures that claim filed against insolvent insurance companies will be
paid
Kurt is an active duty serviceman who was recently killed in an accident while home
on leave. Which military service exclusion clause would pay upon his death? -
ANSWER-Results
PRACTICE EXAM QUESTIONS WITH
COMPLETE SOLUTIONS
Which of the following is a legal entity created for the sole purpose of providing
affordable group health coverage to its participants? - ANSWER-Multiple Employer
Welfare Arrangement (MEWA)
The premium payment mode that results in the highest overall cost would be -
ANSWER-monthly
Major medical insurance will typically cover medical expenses that result from -
ANSWER-a negative reaction to prescribed medication
Who assumes the investment risk with a fixed annuity contract? - ANSWER-The
insurer
Carole is a licensed agent who lives in Michigan and transacts insurance in Ohio. In
Ohio, Carole is considered to be a(n) - ANSWER-non-resident agent
Which of these statements regarding the annuitant is CORRECT? - ANSWER-The
annuitant's life expectancy determines the annuity payments
Fraternal Benefit Society has each of the following characteristics EXCEPT -
ANSWER-Exist for profit
Medicaid is a government-funded program designed to provide health care to -
ANSWER-poor people
Which of the following is typically NOT eligible for coverage in a group health policy?
- ANSWER-Temporary employee
Which of the following is considered to be an act of misrepresentation? - ANSWER-
Falsifying the terms, benefits, advantages, or conditions of an insurance policy
A life insurance claim which involves a per capita distribution of policy proceeds
would be payable to the - ANSWER-named living primary beneficiaries
Which type of long-term care benefit would be most appropriate for a stroke victim
who requires speech therapy administered at her home? - ANSWER-Home health
care
A health insurance policy where the insurer has the right to terminate the policy for
reasons other than the insured's health is called - ANSWER-conditionally renewable
Which of these is considered to be a document that describes the critical segments
of a life insurance policy? - ANSWER-Policy summary
, XYZ Corp pays the tax-deductible insurance premiums for a key employee disability
policy. Which of the following would be the appropriate tax consequence? -
ANSWER-Benefits are fully taxable
Under the Affordable Care Act, which of these plans is designed to provide coverage
that is actuarially equivalent of 80% of thee full actuarial value of the benefits
provided under the plan? - ANSWER-Gold
All Health Benefit Plans issued after January 1, 2014 must provide - ANSWER-
preventative health care
A life insurance policy's advertising material MUST contain all of the following
information EXCEPT - ANSWER-Agent's commission
An insurer can exclude coverage for a preexisting condition on a Medicare
Supplement policy for up to - ANSWER-6 months
What is an insurance policy's grace period? - ANSWER-Period of time after the
premium is due but the policy remains in force
A life insurance applicant in Ohio may backdate the application for up to ___ months
- ANSWER-3
An insurer's ability to make unpredictable payouts to policyowners is called -
ANSWER-liquidity
Inducement is BEST defined as - ANSWER-offering to buy, sell, give, or allow a
prospective insured employment, stock or special favors in exchange for an
insurance transaction
Shawn, Mike, and Dave are brothers who have a $100,000 "first to die" joint life
policy covering all three of their lives. If Mike dies first, the policy proceeds -
ANSWER-will no longer provide insurance protection
All of these are characteristics of a universal life insurance policy EXCEPT -
ANSWER-Flexible surrender value
Distribution from a Health Savings Account (HSA) for qualified medical expenses are
- ANSWER-tax-free
In Ohio, a Long-Term Care policy must be ___ renewable - ANSWER-Guaranteed
What is the purpose of the Ohio Life and Health Insurance Guaranty Association? -
ANSWER-Ensures that claim filed against insolvent insurance companies will be
paid
Kurt is an active duty serviceman who was recently killed in an accident while home
on leave. Which military service exclusion clause would pay upon his death? -
ANSWER-Results
