California Life Insurance State Exam Simulator 200 Practice
exam Questions and Answers
The California life and health insurance guarantee association covers all of these types of policies,
EXCEPT - Self-funded plans
All of these are common exclusions to a life insurance policy EXCEPT - accidental death
An individual can enroll in a part C Medicare advantage plan at what time? - When becoming
eligible for Medicare
Which of the following is an NOT protected under the California life and health guarantee association? -
Insurers
The authority granted to a licensed producer is provided via the - Law of Agency
A common exclusion or limitation on dental policy is - Endodontics
Key person insurance is intended to - cover business losses due to the death of a key employee
A terminated employee that has exercised the conversion privileges able to convert - Term
insurance into permanent insurance
The role of the federal government was expanded when Medicaid was established by allowing the state
to - receive matching funds to expand public assistance programs
_________ is NOT An element of a valid contract. - countersignature
,Which type of coverage pays an amount per day for hospitalization directly to the insured regardless of
the insurance other health insurance? - Hospital indemnity
How long must an individual be unable to engage in any gainful activity due to physical or mental
disability in order to qualify for Social Security total disability? - 12 months
Life insurance surplus must be distributed to policy owners at what frequency? - Annually
What is involved when a life insurance policy has been backdated? - Making the policy effective
on an earlier date than the present
What prevents a life insurance policy from being rescinded by the insurer after being in force for two
years? - Incontestability clause
When intentional concealment is involved, what course of action is the injured party entitled to? -
Rescission of the contract
Medicare part D has an initial enrollment period. How many months after an individual's 65th birthday
month does this enrollment period end? - 3 months
Who acts as the gate keeper in a health maintenance organization (HMO)? - Primary care
physician
What is required after a life agent sells an insurance policy to an applicant without being appointed by
the insurer? - Notice of appointment must be submitted to the Commissioner
Free look provision gives the policy owner - the right to return the policy for a full refund within a
specified number of days
Written notice for a health claim must be given to the insurer ______ days after the occurrence of the
loss. - 20 days
, A person who asserts a right of recovery under an insurance policy is called - claimant
Which of the following is NOT a primary objective of insurance regulation? - Interpret policy
provisions
Failure to report background changes within 30 days as required under section 1729.2 of the California
insurance code could subject a license or applicant to - All of these: denial, suspension, & Fine
A representation may be altered or withdrawn - only before the insurance is in effect
Which of the following describes a contributory group insurance plan? - Part of the premium is
paid by the employee
A health insurance policy will typically cover - preventative health services
Pete is a life agent who has misappropriated fiduciary funds to his own use. What is Pete guilty of? -
theft
Which of the following is Medicare part B also known as? - medical insurance
Which of the following would qualify a companies retirement plan from receiving favorable tax
treatment? - It is temporary
Under a nonqualified annuity, interest is taxed after the - Exclusion ratio has been calculated
The California insurance code defines "policy" as a(n) - Written contract
If a material warranty violation on the part of the insured is found, what recourse does an insurer have? -
Rescind the policy
exam Questions and Answers
The California life and health insurance guarantee association covers all of these types of policies,
EXCEPT - Self-funded plans
All of these are common exclusions to a life insurance policy EXCEPT - accidental death
An individual can enroll in a part C Medicare advantage plan at what time? - When becoming
eligible for Medicare
Which of the following is an NOT protected under the California life and health guarantee association? -
Insurers
The authority granted to a licensed producer is provided via the - Law of Agency
A common exclusion or limitation on dental policy is - Endodontics
Key person insurance is intended to - cover business losses due to the death of a key employee
A terminated employee that has exercised the conversion privileges able to convert - Term
insurance into permanent insurance
The role of the federal government was expanded when Medicaid was established by allowing the state
to - receive matching funds to expand public assistance programs
_________ is NOT An element of a valid contract. - countersignature
,Which type of coverage pays an amount per day for hospitalization directly to the insured regardless of
the insurance other health insurance? - Hospital indemnity
How long must an individual be unable to engage in any gainful activity due to physical or mental
disability in order to qualify for Social Security total disability? - 12 months
Life insurance surplus must be distributed to policy owners at what frequency? - Annually
What is involved when a life insurance policy has been backdated? - Making the policy effective
on an earlier date than the present
What prevents a life insurance policy from being rescinded by the insurer after being in force for two
years? - Incontestability clause
When intentional concealment is involved, what course of action is the injured party entitled to? -
Rescission of the contract
Medicare part D has an initial enrollment period. How many months after an individual's 65th birthday
month does this enrollment period end? - 3 months
Who acts as the gate keeper in a health maintenance organization (HMO)? - Primary care
physician
What is required after a life agent sells an insurance policy to an applicant without being appointed by
the insurer? - Notice of appointment must be submitted to the Commissioner
Free look provision gives the policy owner - the right to return the policy for a full refund within a
specified number of days
Written notice for a health claim must be given to the insurer ______ days after the occurrence of the
loss. - 20 days
, A person who asserts a right of recovery under an insurance policy is called - claimant
Which of the following is NOT a primary objective of insurance regulation? - Interpret policy
provisions
Failure to report background changes within 30 days as required under section 1729.2 of the California
insurance code could subject a license or applicant to - All of these: denial, suspension, & Fine
A representation may be altered or withdrawn - only before the insurance is in effect
Which of the following describes a contributory group insurance plan? - Part of the premium is
paid by the employee
A health insurance policy will typically cover - preventative health services
Pete is a life agent who has misappropriated fiduciary funds to his own use. What is Pete guilty of? -
theft
Which of the following is Medicare part B also known as? - medical insurance
Which of the following would qualify a companies retirement plan from receiving favorable tax
treatment? - It is temporary
Under a nonqualified annuity, interest is taxed after the - Exclusion ratio has been calculated
The California insurance code defines "policy" as a(n) - Written contract
If a material warranty violation on the part of the insured is found, what recourse does an insurer have? -
Rescind the policy
