XCEL Life and Health Insurance Test Review Questions with
Answers 100% Pass
Which annuity payout option allows the policy grandfathered plan? - ANSWERS - March
owner to choose a pre-determined number of 23, 2010
benefit payments? - ANSWERS - Period
Certain
Which of the following is NOT a type of Medicare
Advantage Plan? - ANSWERS - Social
Which annuity payout option has no additional Security Disability Income (SSDI)
payouts regardless of when the annuitant dies -
ANSWERS - Life only annuity
Coordination of Benefits regulation applies to all
of the following plans EXCEPT -
a professional liability for which producers can be ANSWERS - Preferred Provider
sued for mistakes of putting a policy into effect - Organization plan (PPO)
ANSWERS - Errors and Omissions
Both long-term care insurance and Medicare
requires the beneficiary's signature for any Supplement policies may be returned by the
change to the beneficiary - ANSWERS - insured for a full refund within -
irrevocable beneficiary ANSWERS - 30 days
statements made by an insurance applicant on Which type of coverage pays an amount per day
an application - ANSWERS - for hospitalization directly to the insured
representations regardless of the insured's other health
insurance? - ANSWERS - Hospital
Indemnity
life insurance policies guarantee the beneficiary
what upon the death of the insured -
ANSWERS - a specified amount of money Low frequency diseases can be exclusively
covered by what kind of health insurance
policies? - ANSWERS - Limited Policies
common exclusion on a dental policy -
ANSWERS - Endodontics
What type of injury would NOT be covered under
a health insurance policy? - ANSWERS -
Which type of long-term care benefit would be Work-related
most appropriate for a stroke victim who requires
speech therapy administered at her home? -
ANSWERS - Home health care Without a Section 125 Plan in place, what would
happen to an employee's payroll contribution to
an HSA? - ANSWERS - It would be
According to the Affordable Care Act, any plan in considered taxable income to the employee
existence prior to which date is considered a
,XCEL Life and Health Insurance Test Review Questions with
Answers 100% Pass
A single premium cash value policy can be sources EXCEPT - ANSWERS - the
described as - ANSWERS - a policy that is beneficiary
paid up after only one payment
What happens to the coverage under a children's
How does one become eligible for Part D: term rider when that child reaches a certain
Prescription Drug coverage? - ANSWERS - specified age? - ANSWERS - Coverage is
Must have Medicare coverage eliminated
An example of endodontic treatment is a - Which of the following actions may an insurance
ANSWERS - root canal company NOT do in a health policy that contains
a guaranteed renewable premium benefit? -
ANSWERS - increase the premiums on an
Under US Code 1033, crimes by or affecting individual basis
persons engaged in the business of insurance
which affect interstate commerce are prosecuted
by the - ANSWERS - US Attorney General When the superintendent believes an agent is
causing substantial and material harm, the
superintendent has the authority to -
What would be an expense factor in an ANSWERS - issue a cease and desist order
insurance program? - ANSWERS - against the agent
Mortality costs
Upon policy delivery, which of the following must
Which of the following signatures is not required a producer have an applicant sign if no initial
on an individual insurance application? - premium was collected with the life insurance
ANSWERS - Insurer application? - ANSWERS - A good health
statement
All of the following are defined as supplemental
health insuring corporation (HIC) services Index whole life insurance contains a securities
EXCEPT - ANSWERS - outpatient medical component that acts as a(n) - ANSWERS -
services Hedge against inflation
"Maximum benefits" refers to the - Which of the following statements regarding
ANSWERS - upper limit of the total lifetime Group Disability Income insurance is TRUE? -
benefits the insurance company will pay ANSWERS - It provides benefits for
nonoccupational illnesses and injuries
Signatures for an insurance application MUST be
obtained by the producer from all of the following Which of the following is NOT a federal
requirement of a qualified plan? -
, XCEL Life and Health Insurance Test Review Questions with
Answers 100% Pass
ANSWERS - Employee must be able to
make unlimited contributions When comparing an HIC to a PPO, the PPO -
ANSWERS - provides a greater choice of
providers
Which clause defines total disability as being
unable to perform the major duties of the
insured's regular occupation? - Loss of income insurance provides -
ANSWERS - Own occupation clause ANSWERS - an individual the means to
replace wages
How are premiums paid by the insured for
personally owned disability income insurance A health insurance policy that allows an insurer to
treated for tax purposes? - ANSWERS - not change the policyowner's premiums, but NOT
tax deductible cancel the policy is called a(n) -
ANSWERS - guaranteed renewable policy
A limited payment whole life policy provides -
ANSWERS - lifetime protection An insurer will accept a premium from the insured
and continue the coverage in full force as though
it was NOT late during which time period? -
When can a group health policy renewal be ANSWERS - grace period
denied according to the Health Insurance
Portability and Accountability Act (HIPAA)? -
ANSWERS - when contribution or A deliberate lie by an insured to the insurer to
participation rules have been violated obtain a lower premium is an example of -
ANSWERS - fraud
Medicare Part A does not pay for medical
benefits provided for treatment in a skilled Why are dividends from a mutual insurer not
nursing facility beyond - ANSWERS - 100 subject to taxation? - ANSWERS - because
days dividends are considered to be a return of
premium
An insurer has a right to screen applicants for
HIV in which of the following ways? - A life insurance policyowner does NOT have the
ANSWERS - blood test for HIV right to - ANSWERS - revoke an absolute
assignment
A closed network plan offers a a primary
physician copay of $25. If a subscriber chooses a Which of the following does Coordination of
primary care physician outside of the network, Benefits allow? - ANSWERS - allows the
the subscriber will likely pay - ANSWERS - secondary payor to reduce their benefit payment
100% of the billed amount so that no more than 100% of the claim is paid
Answers 100% Pass
Which annuity payout option allows the policy grandfathered plan? - ANSWERS - March
owner to choose a pre-determined number of 23, 2010
benefit payments? - ANSWERS - Period
Certain
Which of the following is NOT a type of Medicare
Advantage Plan? - ANSWERS - Social
Which annuity payout option has no additional Security Disability Income (SSDI)
payouts regardless of when the annuitant dies -
ANSWERS - Life only annuity
Coordination of Benefits regulation applies to all
of the following plans EXCEPT -
a professional liability for which producers can be ANSWERS - Preferred Provider
sued for mistakes of putting a policy into effect - Organization plan (PPO)
ANSWERS - Errors and Omissions
Both long-term care insurance and Medicare
requires the beneficiary's signature for any Supplement policies may be returned by the
change to the beneficiary - ANSWERS - insured for a full refund within -
irrevocable beneficiary ANSWERS - 30 days
statements made by an insurance applicant on Which type of coverage pays an amount per day
an application - ANSWERS - for hospitalization directly to the insured
representations regardless of the insured's other health
insurance? - ANSWERS - Hospital
Indemnity
life insurance policies guarantee the beneficiary
what upon the death of the insured -
ANSWERS - a specified amount of money Low frequency diseases can be exclusively
covered by what kind of health insurance
policies? - ANSWERS - Limited Policies
common exclusion on a dental policy -
ANSWERS - Endodontics
What type of injury would NOT be covered under
a health insurance policy? - ANSWERS -
Which type of long-term care benefit would be Work-related
most appropriate for a stroke victim who requires
speech therapy administered at her home? -
ANSWERS - Home health care Without a Section 125 Plan in place, what would
happen to an employee's payroll contribution to
an HSA? - ANSWERS - It would be
According to the Affordable Care Act, any plan in considered taxable income to the employee
existence prior to which date is considered a
,XCEL Life and Health Insurance Test Review Questions with
Answers 100% Pass
A single premium cash value policy can be sources EXCEPT - ANSWERS - the
described as - ANSWERS - a policy that is beneficiary
paid up after only one payment
What happens to the coverage under a children's
How does one become eligible for Part D: term rider when that child reaches a certain
Prescription Drug coverage? - ANSWERS - specified age? - ANSWERS - Coverage is
Must have Medicare coverage eliminated
An example of endodontic treatment is a - Which of the following actions may an insurance
ANSWERS - root canal company NOT do in a health policy that contains
a guaranteed renewable premium benefit? -
ANSWERS - increase the premiums on an
Under US Code 1033, crimes by or affecting individual basis
persons engaged in the business of insurance
which affect interstate commerce are prosecuted
by the - ANSWERS - US Attorney General When the superintendent believes an agent is
causing substantial and material harm, the
superintendent has the authority to -
What would be an expense factor in an ANSWERS - issue a cease and desist order
insurance program? - ANSWERS - against the agent
Mortality costs
Upon policy delivery, which of the following must
Which of the following signatures is not required a producer have an applicant sign if no initial
on an individual insurance application? - premium was collected with the life insurance
ANSWERS - Insurer application? - ANSWERS - A good health
statement
All of the following are defined as supplemental
health insuring corporation (HIC) services Index whole life insurance contains a securities
EXCEPT - ANSWERS - outpatient medical component that acts as a(n) - ANSWERS -
services Hedge against inflation
"Maximum benefits" refers to the - Which of the following statements regarding
ANSWERS - upper limit of the total lifetime Group Disability Income insurance is TRUE? -
benefits the insurance company will pay ANSWERS - It provides benefits for
nonoccupational illnesses and injuries
Signatures for an insurance application MUST be
obtained by the producer from all of the following Which of the following is NOT a federal
requirement of a qualified plan? -
, XCEL Life and Health Insurance Test Review Questions with
Answers 100% Pass
ANSWERS - Employee must be able to
make unlimited contributions When comparing an HIC to a PPO, the PPO -
ANSWERS - provides a greater choice of
providers
Which clause defines total disability as being
unable to perform the major duties of the
insured's regular occupation? - Loss of income insurance provides -
ANSWERS - Own occupation clause ANSWERS - an individual the means to
replace wages
How are premiums paid by the insured for
personally owned disability income insurance A health insurance policy that allows an insurer to
treated for tax purposes? - ANSWERS - not change the policyowner's premiums, but NOT
tax deductible cancel the policy is called a(n) -
ANSWERS - guaranteed renewable policy
A limited payment whole life policy provides -
ANSWERS - lifetime protection An insurer will accept a premium from the insured
and continue the coverage in full force as though
it was NOT late during which time period? -
When can a group health policy renewal be ANSWERS - grace period
denied according to the Health Insurance
Portability and Accountability Act (HIPAA)? -
ANSWERS - when contribution or A deliberate lie by an insured to the insurer to
participation rules have been violated obtain a lower premium is an example of -
ANSWERS - fraud
Medicare Part A does not pay for medical
benefits provided for treatment in a skilled Why are dividends from a mutual insurer not
nursing facility beyond - ANSWERS - 100 subject to taxation? - ANSWERS - because
days dividends are considered to be a return of
premium
An insurer has a right to screen applicants for
HIV in which of the following ways? - A life insurance policyowner does NOT have the
ANSWERS - blood test for HIV right to - ANSWERS - revoke an absolute
assignment
A closed network plan offers a a primary
physician copay of $25. If a subscriber chooses a Which of the following does Coordination of
primary care physician outside of the network, Benefits allow? - ANSWERS - allows the
the subscriber will likely pay - ANSWERS - secondary payor to reduce their benefit payment
100% of the billed amount so that no more than 100% of the claim is paid
