EXAM QUESTIONS AND ANSWERS
What amount will be paid under a policy where the insured misstated his/her age? - ANS an
amount the premium would have purchased at the correct age
the acceptance of a credit life application requires the submission of a certificate of insurance
to the insured within_____ days - ANS 30 days
which of these is considered to be a Living benefit option in a life insurance policy -
ANS Accelerated death benefit
loans obtained by a policy owner against the cash value of a life insurance policy - ANS would
not be treated as taxable income
A long term care policy typically provides all of the following levels of care EXCEPT -
ANS acute care
the elimination period under a hospital indemnity plan is - ANS the specific # of days an
insured must wait before becoming eligible to receive benefits for each hospitalization
what is an insurance policy's grace period? - ANS Period of time after the premium is due but
the policy remains in force
1 COPYRIGHT © 2025 SIRJOEL ALL RIGHTS RESERVED
,How do interest earnings accumulate in a deferred annuity - ANS On a tax-deferred basis
a licensee who is required to take continuing education Must include how many ethics
coursework hours - ANS 3
the automatic premium loan provision authorizes an insurer to withdraw from a policy's cash
value the amount of - ANS Past due premiums that have not been paid by the end of the
grace period
health insurance involves two perils, accident and ______ - ANS sickness
Who is responsible for assembling the policy forms for insureds - ANS Insurance carriers
a securities license is required for a life insurance producer to sell - ANS variable life
insurance
Which of the following is NOT an illegal inducement - ANS giving the insured an article of
merchandise printed with the producers name costing 5$
Which of the following is NOT a federal requirement of a qualified plan? - ANS employee
must be able to make unlimited contributions
Which dividend option would an insurer invest the policy owner's money and add any interest
earnings as the dividends accrue? - ANS Accumulation at interest option
a health insurance policy will typically cover - ANS preventative health services
2 COPYRIGHT © 2025 SIRJOEL ALL RIGHTS RESERVED
, a life insurance policy owner was injured in a car accident which results in a total and
permanent disability. which rider would pay a monthly amount because of this disability? -
ANS Disability income rider
in addition to the actual policy, an entire contract includes which of the following? - ANS the
application
field underwriting preformed by the producer involves - ANS completing the application and
collecting initial premium
Kathy pays a monthly premium on her health insurance policy. How long is her grace period? -
ANS 10 days
Pierre is covered by his employer's group major medical plan. His employer pays for 75% of the
premium and he pays for 25%. How much would a $10,000 benefit be taxable as income under
this plan? - ANS 0$
-benefits that fall under a major medical plan are considered to be a reimbursement for a loss,
and is not taxable as income
After an insured gives notice of loss, what must he/she do if the insurer does not furnish forms?
- ANS file a written proof of loss
Under long term care insurance, which of the following MUST an insurer offer to each policy
owner at the time of purchase? - ANS An inflation protection feature
What is the primary factor that determines the benefits paid under a disability income policy? -
ANS Wages
What is the tax liability for employer contributions in Health Savings Accounts (HSA's)? -
ANS No tax payment needed
3 COPYRIGHT © 2025 SIRJOEL ALL RIGHTS RESERVED