LA SERIES 103 TEST PAPER 2025/2026 QUESTIONS AND
ANSWERS RATED A+
✔✔Accelerated benefits - ✔✔A policy owner who anticipates death or develops a life
threatening condition may obtain proceeds from a life insurance contract. These
proceeds are known as
✔✔Benefits are fully taxable - ✔✔XYZ Corp pays the tax-deductible insurance
premiums for a key employee disability policy. Which of the following would be the
appropriate tax consequence?
✔✔Exclusions on a new policy - ✔✔One of the most important considerations when
replacing health insurance would be the
✔✔Time deductible - ✔✔A disability elimination period is best described as a
✔✔Consideration - ✔✔In an insurance contract, the element that shows each party is
giving something of value is called
✔✔Must not duplicate Medicare benefits - ✔✔Benefits for a Medicare Supplement
policy
✔✔Reciprocal arrangement exists with the state of domicile - ✔✔A nonresident
producer from a state outside of Louisiana may become licensed in Louisiana IF a(n)
✔✔Limited pay policy - ✔✔A permanent life insurance policy where the policyowner
pays premiums for a specified number of years is called a(n)
✔✔Losing money at a casino - ✔✔All of the following are examples of pure risk
EXCEPT
✔✔$5,000 - ✔✔Ken is a producer who has obtained Consumer Information Reports
under false pretenses. Under the fair credit reporting act, what is the maximum penalty
that may be imposed on Ken?
✔✔Removing excess fat from an insured's waistline - ✔✔An example of elective
cosmetic surgery would be
✔✔MEWA (Multiple Employer Welfare Arrangement) - ✔✔Small employers who are
sponsored by an insurer to provide group benefits to its employees are called
✔✔Obtain a producer's license - ✔✔A business entity wishing to act as an insurance
producer MUST
, ✔✔Sharing commissions with other licensed producers - ✔✔Which of the following
actions by a producer would NOT result in a license suspension or revocation?
✔✔Defined contribution plan - ✔✔An example of a tax-qualified retirement plan would
be a(n)
✔✔Member's part-time employment status - ✔✔Group health plans may deny
participation based upon the
✔✔Employer - ✔✔Which of the following would be considered a possible applicant and
contract policyholder for group health benefits?
✔✔Authorized insurer - ✔✔A company that is authorized by the Commissioner to
transact insurance business in Louisiana is called a(n)
✔✔Preferred - ✔✔A person who is a nonsmoker, of average weight, and in excellent
health would most likely be in which risk classification?
✔✔Endodontics - ✔✔A common exclusion or limitation on a dental policy is
✔✔60 days - ✔✔Within how many days must a Traditional IRA be rolled over to another
IRA in order to avoid tax consequences?
✔✔with guidelines regarding credit reporting and distribution - ✔✔The Fair Credit
Reporting Act protects consumers
✔✔proof of insurability - ✔✔Which of the following is a reinstatement condition?
✔✔Fraud - ✔✔Sharon the producer intentionally submitted a false statement in support
of a claim. This is considered a form of
✔✔Variable life insurance - ✔✔A securities license is required for a life insurance
producer to sell
✔✔Blackout period - ✔✔The period in which there are no Social Security benefits for
the surviving spouse is called the
✔✔Liquidity - ✔✔Insurance premium is determined by each of the following factors
EXCEPT
✔✔Employee - ✔✔Under group health insurance, a certificate of coverage is issued to
the
ANSWERS RATED A+
✔✔Accelerated benefits - ✔✔A policy owner who anticipates death or develops a life
threatening condition may obtain proceeds from a life insurance contract. These
proceeds are known as
✔✔Benefits are fully taxable - ✔✔XYZ Corp pays the tax-deductible insurance
premiums for a key employee disability policy. Which of the following would be the
appropriate tax consequence?
✔✔Exclusions on a new policy - ✔✔One of the most important considerations when
replacing health insurance would be the
✔✔Time deductible - ✔✔A disability elimination period is best described as a
✔✔Consideration - ✔✔In an insurance contract, the element that shows each party is
giving something of value is called
✔✔Must not duplicate Medicare benefits - ✔✔Benefits for a Medicare Supplement
policy
✔✔Reciprocal arrangement exists with the state of domicile - ✔✔A nonresident
producer from a state outside of Louisiana may become licensed in Louisiana IF a(n)
✔✔Limited pay policy - ✔✔A permanent life insurance policy where the policyowner
pays premiums for a specified number of years is called a(n)
✔✔Losing money at a casino - ✔✔All of the following are examples of pure risk
EXCEPT
✔✔$5,000 - ✔✔Ken is a producer who has obtained Consumer Information Reports
under false pretenses. Under the fair credit reporting act, what is the maximum penalty
that may be imposed on Ken?
✔✔Removing excess fat from an insured's waistline - ✔✔An example of elective
cosmetic surgery would be
✔✔MEWA (Multiple Employer Welfare Arrangement) - ✔✔Small employers who are
sponsored by an insurer to provide group benefits to its employees are called
✔✔Obtain a producer's license - ✔✔A business entity wishing to act as an insurance
producer MUST
, ✔✔Sharing commissions with other licensed producers - ✔✔Which of the following
actions by a producer would NOT result in a license suspension or revocation?
✔✔Defined contribution plan - ✔✔An example of a tax-qualified retirement plan would
be a(n)
✔✔Member's part-time employment status - ✔✔Group health plans may deny
participation based upon the
✔✔Employer - ✔✔Which of the following would be considered a possible applicant and
contract policyholder for group health benefits?
✔✔Authorized insurer - ✔✔A company that is authorized by the Commissioner to
transact insurance business in Louisiana is called a(n)
✔✔Preferred - ✔✔A person who is a nonsmoker, of average weight, and in excellent
health would most likely be in which risk classification?
✔✔Endodontics - ✔✔A common exclusion or limitation on a dental policy is
✔✔60 days - ✔✔Within how many days must a Traditional IRA be rolled over to another
IRA in order to avoid tax consequences?
✔✔with guidelines regarding credit reporting and distribution - ✔✔The Fair Credit
Reporting Act protects consumers
✔✔proof of insurability - ✔✔Which of the following is a reinstatement condition?
✔✔Fraud - ✔✔Sharon the producer intentionally submitted a false statement in support
of a claim. This is considered a form of
✔✔Variable life insurance - ✔✔A securities license is required for a life insurance
producer to sell
✔✔Blackout period - ✔✔The period in which there are no Social Security benefits for
the surviving spouse is called the
✔✔Liquidity - ✔✔Insurance premium is determined by each of the following factors
EXCEPT
✔✔Employee - ✔✔Under group health insurance, a certificate of coverage is issued to
the
