XCEL TESTING SOLUTIONS- LIFE AND
HEALTH INSURANCE- WEIGHTED
EXAM- 150 QUESTIONS WITH
VERIFIED ANSWERS
Which type of Medicare Supplement information can be used without prior state
approval? - ANSWER-Government publications
Insurers can use government publications for communicating Medicare Supplement
information without prior state approval.
Which annuity payout option allows the policyowner to choose a pre-determined
number of benefit payments? - ANSWER-period certain
An annuity where the policyowner chooses a pre-determined number of benefit
payments is called period certain.
An insurer must furnish to a claimant forms for filing proof of loss within ___ days
upon receiving a notice of claim. - ANSWER-15
Upon receipt of notice of claim, the insurance company will furnish to the claimant
forms for filing proof of loss within 15 days.
Written notice for a health claim must be given to the insurer ___ days after the
occurrence of the loss. - ANSWER-20
Written notice for a health claim must be given to the insurer 20 days after the
occurrence of the loss.
In an employer-sponsored contributory group Disability Income plan, the employer
pays 60% of the premium and each employee pays 40% of the premium. Any
income benefits paid are taxed to the employee at - ANSWER-60% of the benefit
60% of an income benefit is taxed to the employee because 60% of the premiums
paid come from the employer.
An insurer need NOT pay interest on death benefits if the proceeds of the life policy
are paid within - ANSWER-20 days after the date of the death of the insured
An insurer need not pay interest on benefits if the proceeds of the policy are paid
within 20 days after the date of death of the insured.
Ted has a health insurance plan that requires him to pay a specific sum out of pocket
before any benefits are paid in a calendar year. Which of these does his health plan
have? - ANSWER-Calendar-year deductible
Which of the following is NOT a common exclusion for a medical expense policy? -
ANSWER-Physical Therapy
All of the following actions are considered rebating EXCEPT - ANSWER-sharing
commissions with other licensed and appointed agents
,Jennifer is required to pay a specific sum out of pocket before any benefits are paid
in a year. Her health policy most likely contains a(n) - ANSWER-deductible
A deductible is a stated initial dollar amount that the individual insured is required to
pay before insurance benefits are paid.
Life insurance policies can refuse to pay benefits for death from all of the following
causes of death EXCEPT - ANSWER-heart attack
A life insurance policy normally contains a provision that restricts coverage in the
event of death under all of the following situations EXCEPT - ANSWER-fare-paying
passenger
A policy may contain provisions excluding or restricting coverage as specified in the
event of death under all of these situations EXCEPT a fare-paying passenger.
What types of life insurance are normally used for key employee indemnification? -
ANSWER-term, whole, and universal life insurance
The types of life insurance generally used to cover key employee indemnification are
term, whole, and universal life insurance.
An insurance producer is BEST defined as - ANSWER-a person who has a contract
with an insurance company to represent it
"Insurance producer" or "producer" is a person required to be licensed pursuant to
the laws of this state to sell, solicit, or negotiate insurance.
Justin is receiving disability income benefits from a group policy paid for by his
employer. How are these benefits treated for tax purposes? - ANSWER-Taxable
income
Disability insurance benefits from a group policy paid for by an employer is
considered taxable income.
How is a health provider reimbursed if they do NOT have an agreement in place with
the insurance company? - ANSWER-With a usual, customary, and reasonable fee
In order to qualify for a company convention, an insurance producer agrees to pay
the first quarterly premium for the applicant for new insurance. This is called a -
ANSWER-rebate
This situation is considered a rebate, which is illegal.
The Louisiana Health Plan is best described as - ANSWER-A health insurance plan
for individuals who have been denied coverage elsewhere
The Louisiana Health Plan is best described as a health insurance plan for
individuals who have been denied coverage elsewhere.
The Commissioner may suspend a producer's license for all of the following reasons
EXCEPT - ANSWER-Sharing commissions with other licensed producers
Sharing commissions with other licensed producers is allowed.
A life insurance policyowner was injured in an automobile accident which results in a
total and permanent disability. Which rider would pay a monthly amount because of
this disability? - ANSWER-Disability income rider
, The rider which pays a life insurance policyowner a monthly amount in the event of
total and permanent disability is called a disability income rider.
The waiting period for a disability insurance policy - ANSWER-excludes payments
for a short-term illness or injury
With regard to disability insurance, the waiting (elimination) period is to exclude
payments for a short-term illness or injury.
Which of the following is considered to be an alternative to a life settlement? -
ANSWER-Accelerated death benefit rider
An alternative to a life settlement is an accelerated death benefit rider.
A licensed producer who changes a residential or business address must notify the
Commissioner within how many days? - ANSWER-30
A licensed producer who changes a residential or business address must notify the
Commissioner within 30 days.
If the annuitant dies before the annuity start date, - ANSWER-the premiums paid
plus interest earned will be given to the beneficiary
If the annuitant dies before the annuity start date, the beneficiary receives the
premiums paid plus interest earned.
A limited payment whole life policy provides - ANSWER-lifetime protection
Premiums on limited payment whole life insurance are paid for a limited number of
years, but the benefits last a lifetime.
The life insurance and annuity replacement regulation defines replacement as -
ANSWER-exchanging an existing policy for a new policy
Replacement regulation defines replacement as exchanging (or altering) an existing
policy for a new policy.
Claims settlement practices of insurers are regulated by: - ANSWER-State insurance
departments
Claims settlement practices of insurers are regulated by state insurance
departments.
Which is true about the licensing of business entities in Louisiana? - ANSWER-A
licensed producer must be designated as responsible for compliance with state
insurance laws and regulations
A licensed producer must be designated as responsible for compliance with state
insurance laws and regulations.
A temporary producer's license is effective for - ANSWER-180 days
A temporary producer's license is effective for 180 days.
G had recently been terminated from his job that covered him for group life
insurance. How long does he have to convert his coverage to an individual policy? -
ANSWER-31 days
HEALTH INSURANCE- WEIGHTED
EXAM- 150 QUESTIONS WITH
VERIFIED ANSWERS
Which type of Medicare Supplement information can be used without prior state
approval? - ANSWER-Government publications
Insurers can use government publications for communicating Medicare Supplement
information without prior state approval.
Which annuity payout option allows the policyowner to choose a pre-determined
number of benefit payments? - ANSWER-period certain
An annuity where the policyowner chooses a pre-determined number of benefit
payments is called period certain.
An insurer must furnish to a claimant forms for filing proof of loss within ___ days
upon receiving a notice of claim. - ANSWER-15
Upon receipt of notice of claim, the insurance company will furnish to the claimant
forms for filing proof of loss within 15 days.
Written notice for a health claim must be given to the insurer ___ days after the
occurrence of the loss. - ANSWER-20
Written notice for a health claim must be given to the insurer 20 days after the
occurrence of the loss.
In an employer-sponsored contributory group Disability Income plan, the employer
pays 60% of the premium and each employee pays 40% of the premium. Any
income benefits paid are taxed to the employee at - ANSWER-60% of the benefit
60% of an income benefit is taxed to the employee because 60% of the premiums
paid come from the employer.
An insurer need NOT pay interest on death benefits if the proceeds of the life policy
are paid within - ANSWER-20 days after the date of the death of the insured
An insurer need not pay interest on benefits if the proceeds of the policy are paid
within 20 days after the date of death of the insured.
Ted has a health insurance plan that requires him to pay a specific sum out of pocket
before any benefits are paid in a calendar year. Which of these does his health plan
have? - ANSWER-Calendar-year deductible
Which of the following is NOT a common exclusion for a medical expense policy? -
ANSWER-Physical Therapy
All of the following actions are considered rebating EXCEPT - ANSWER-sharing
commissions with other licensed and appointed agents
,Jennifer is required to pay a specific sum out of pocket before any benefits are paid
in a year. Her health policy most likely contains a(n) - ANSWER-deductible
A deductible is a stated initial dollar amount that the individual insured is required to
pay before insurance benefits are paid.
Life insurance policies can refuse to pay benefits for death from all of the following
causes of death EXCEPT - ANSWER-heart attack
A life insurance policy normally contains a provision that restricts coverage in the
event of death under all of the following situations EXCEPT - ANSWER-fare-paying
passenger
A policy may contain provisions excluding or restricting coverage as specified in the
event of death under all of these situations EXCEPT a fare-paying passenger.
What types of life insurance are normally used for key employee indemnification? -
ANSWER-term, whole, and universal life insurance
The types of life insurance generally used to cover key employee indemnification are
term, whole, and universal life insurance.
An insurance producer is BEST defined as - ANSWER-a person who has a contract
with an insurance company to represent it
"Insurance producer" or "producer" is a person required to be licensed pursuant to
the laws of this state to sell, solicit, or negotiate insurance.
Justin is receiving disability income benefits from a group policy paid for by his
employer. How are these benefits treated for tax purposes? - ANSWER-Taxable
income
Disability insurance benefits from a group policy paid for by an employer is
considered taxable income.
How is a health provider reimbursed if they do NOT have an agreement in place with
the insurance company? - ANSWER-With a usual, customary, and reasonable fee
In order to qualify for a company convention, an insurance producer agrees to pay
the first quarterly premium for the applicant for new insurance. This is called a -
ANSWER-rebate
This situation is considered a rebate, which is illegal.
The Louisiana Health Plan is best described as - ANSWER-A health insurance plan
for individuals who have been denied coverage elsewhere
The Louisiana Health Plan is best described as a health insurance plan for
individuals who have been denied coverage elsewhere.
The Commissioner may suspend a producer's license for all of the following reasons
EXCEPT - ANSWER-Sharing commissions with other licensed producers
Sharing commissions with other licensed producers is allowed.
A life insurance policyowner was injured in an automobile accident which results in a
total and permanent disability. Which rider would pay a monthly amount because of
this disability? - ANSWER-Disability income rider
, The rider which pays a life insurance policyowner a monthly amount in the event of
total and permanent disability is called a disability income rider.
The waiting period for a disability insurance policy - ANSWER-excludes payments
for a short-term illness or injury
With regard to disability insurance, the waiting (elimination) period is to exclude
payments for a short-term illness or injury.
Which of the following is considered to be an alternative to a life settlement? -
ANSWER-Accelerated death benefit rider
An alternative to a life settlement is an accelerated death benefit rider.
A licensed producer who changes a residential or business address must notify the
Commissioner within how many days? - ANSWER-30
A licensed producer who changes a residential or business address must notify the
Commissioner within 30 days.
If the annuitant dies before the annuity start date, - ANSWER-the premiums paid
plus interest earned will be given to the beneficiary
If the annuitant dies before the annuity start date, the beneficiary receives the
premiums paid plus interest earned.
A limited payment whole life policy provides - ANSWER-lifetime protection
Premiums on limited payment whole life insurance are paid for a limited number of
years, but the benefits last a lifetime.
The life insurance and annuity replacement regulation defines replacement as -
ANSWER-exchanging an existing policy for a new policy
Replacement regulation defines replacement as exchanging (or altering) an existing
policy for a new policy.
Claims settlement practices of insurers are regulated by: - ANSWER-State insurance
departments
Claims settlement practices of insurers are regulated by state insurance
departments.
Which is true about the licensing of business entities in Louisiana? - ANSWER-A
licensed producer must be designated as responsible for compliance with state
insurance laws and regulations
A licensed producer must be designated as responsible for compliance with state
insurance laws and regulations.
A temporary producer's license is effective for - ANSWER-180 days
A temporary producer's license is effective for 180 days.
G had recently been terminated from his job that covered him for group life
insurance. How long does he have to convert his coverage to an individual policy? -
ANSWER-31 days
