Life, health, & accident insurance30
Regarding an organizational license, what happens when a corporation is dissolved? -
ANSWERSThe license is terminated
john applies for a variable annuity and does not request that the premiums be immediately
invested in a stock or bond portfolio. After the annuity is issued, John returns the annuity
contract to the insurer within the free look period. What will John receive from the insurer? -
ANSWERSThe entire premium
Which of the following in NOT of the common personal uses for life insurance? -
ANSWERSFunding a buy-sell agreement
Which type of life insurance policy gives the policy owner the right to share in the insurer's
surplus? - ANSWERSParticipating
The insured bought an annuity ten years ago. He will retire in five years. To determine the value
of his annuity, he must multiply the value of the "accumulation units" he owns, times the value
of the "separate account". This type of annuity is known as a - ANSWERSVariable annuity
Medicare Part A begins automatically at age: - ANSWERS65
An individual license is considered terminated: - ANSWERSOn the death of the licensee
Usually, in order to join a group insurance plan without proving insurability, an employee must: -
ANSWERSJoin the plan during the enrollment period
,A single deductible amount for all members of the same family and a right to single family
member deductibles is known as: - ANSWERSFamily deductible
COBRA applies to employers with at least - ANSWERS20 employees
The policy provision which comes into effect when the insured and primary beneficiary die in a
simultaneous (common) accident with no evidence as to who died first is: - ANSWERSCommon
disaster provision
Unless it is merely a statement of an expectation or a belief, a representation as to the future is
considered which of the following? - ANSWERSPromise
In group insurance the Certificates of Insurance are issued to: - ANSWERSThe group members
What is a disability income policy that covers injuries suffered by an insured on or off the job
called? - ANSWERSAn occupational policy
Twelve months ago, a man slipped and fell down a flight of stairs at his workplace. As a result he
has a paralysis for which he is not expected to recover. This 46 year old person will probably be
able to collect disability income benefits from: - ANSWERSWorkers Compensation
What must an insurer do who accepts an application from an agent who is not specifically
appointed by an insurer and then issues a policy from that application? - ANSWERSForward to
the Insurance Commissioner a Notice of Appointment within 14 days of receipt of application
If one were to receive the principal sum benefit of death in a disability policy, the death must
occur: - ANSWERSWithin a specified number of days after injury occurs
Which of the following is true regarding participation in a group health plan? - ANSWERSA non-
contributory group health plan must involve all members
, An insurer owned by policyholders is a: - ANSWERSMutual insurer
Why should a contingent beneficiary be named in a life insurance policy? - ANSWERSTo
determine who receives the policy benefits if the primary beneficiary is deceased
When a family policy covers children, all of the following are true EXCEPT - ANSWERSEvidence of
insurability is required if coverage for children is permanent insurance
Each of the following terms is an important characteristic of a major medical policy, EXCEPT: -
ANSWERSCapitation
What would a person be guilty of who refuses to submit books and records to the
Commissioner? - ANSWERSMisdemeanor
An insured bought a $150,000 non-participating whole life policy many years ago. She is 100
years old today. She has never borrowed from the policy, and has made all premium payments
when due. The policy cash value is: - ANSWERS$150,000
Accidental Death and Dismemberment insurance, which of the following would not be
considered accidental? - ANSWERSEmployee requires abdominal surgery after food poisoning in
the lunch room
An association of industry specific employers who are joined together in order to qualify for, or
gain premium advantages, in group insurance is: - ANSWERSMET
Which of the following is a true statement regarding the social security (OASHI) program? -
ANSWERSThe program provides a minimum floor of income, and is meant to supplement a
retiree's own personal program
Regarding an organizational license, what happens when a corporation is dissolved? -
ANSWERSThe license is terminated
john applies for a variable annuity and does not request that the premiums be immediately
invested in a stock or bond portfolio. After the annuity is issued, John returns the annuity
contract to the insurer within the free look period. What will John receive from the insurer? -
ANSWERSThe entire premium
Which of the following in NOT of the common personal uses for life insurance? -
ANSWERSFunding a buy-sell agreement
Which type of life insurance policy gives the policy owner the right to share in the insurer's
surplus? - ANSWERSParticipating
The insured bought an annuity ten years ago. He will retire in five years. To determine the value
of his annuity, he must multiply the value of the "accumulation units" he owns, times the value
of the "separate account". This type of annuity is known as a - ANSWERSVariable annuity
Medicare Part A begins automatically at age: - ANSWERS65
An individual license is considered terminated: - ANSWERSOn the death of the licensee
Usually, in order to join a group insurance plan without proving insurability, an employee must: -
ANSWERSJoin the plan during the enrollment period
,A single deductible amount for all members of the same family and a right to single family
member deductibles is known as: - ANSWERSFamily deductible
COBRA applies to employers with at least - ANSWERS20 employees
The policy provision which comes into effect when the insured and primary beneficiary die in a
simultaneous (common) accident with no evidence as to who died first is: - ANSWERSCommon
disaster provision
Unless it is merely a statement of an expectation or a belief, a representation as to the future is
considered which of the following? - ANSWERSPromise
In group insurance the Certificates of Insurance are issued to: - ANSWERSThe group members
What is a disability income policy that covers injuries suffered by an insured on or off the job
called? - ANSWERSAn occupational policy
Twelve months ago, a man slipped and fell down a flight of stairs at his workplace. As a result he
has a paralysis for which he is not expected to recover. This 46 year old person will probably be
able to collect disability income benefits from: - ANSWERSWorkers Compensation
What must an insurer do who accepts an application from an agent who is not specifically
appointed by an insurer and then issues a policy from that application? - ANSWERSForward to
the Insurance Commissioner a Notice of Appointment within 14 days of receipt of application
If one were to receive the principal sum benefit of death in a disability policy, the death must
occur: - ANSWERSWithin a specified number of days after injury occurs
Which of the following is true regarding participation in a group health plan? - ANSWERSA non-
contributory group health plan must involve all members
, An insurer owned by policyholders is a: - ANSWERSMutual insurer
Why should a contingent beneficiary be named in a life insurance policy? - ANSWERSTo
determine who receives the policy benefits if the primary beneficiary is deceased
When a family policy covers children, all of the following are true EXCEPT - ANSWERSEvidence of
insurability is required if coverage for children is permanent insurance
Each of the following terms is an important characteristic of a major medical policy, EXCEPT: -
ANSWERSCapitation
What would a person be guilty of who refuses to submit books and records to the
Commissioner? - ANSWERSMisdemeanor
An insured bought a $150,000 non-participating whole life policy many years ago. She is 100
years old today. She has never borrowed from the policy, and has made all premium payments
when due. The policy cash value is: - ANSWERS$150,000
Accidental Death and Dismemberment insurance, which of the following would not be
considered accidental? - ANSWERSEmployee requires abdominal surgery after food poisoning in
the lunch room
An association of industry specific employers who are joined together in order to qualify for, or
gain premium advantages, in group insurance is: - ANSWERSMET
Which of the following is a true statement regarding the social security (OASHI) program? -
ANSWERSThe program provides a minimum floor of income, and is meant to supplement a
retiree's own personal program
