CONNECTICUT LIFE AND HEALTH TEST PAPER 2025/2026
QUESTIONS WITH SOLUTIONS GRADED A+
✔✔When a ceding insurer transfers a portion of its risk to an assuming insurer on a
case by case basis, this process is referred to as - ✔✔Facultative reinsurance
✔✔What is the guaranteed cash value of a whole life insurance policy when the insured
turns 65 years old? - ✔✔Less than the policy's face amount
✔✔All of these are considered features of whole life insurance EXCEPT - ✔✔Initial
premium is lower than for an equivalent amount of term insurance
✔✔If one producer provides a referral to another producer which results in the sale of
an insurance contract, who will likely be paid a commission? - ✔✔The commission will
likely be shared between the two producers
✔✔The health insurance premiums paid for by each partner in a partnership is
considered to be - ✔✔100% tax deductible
✔✔Under a key person disability income policy, benefits will be received as - ✔✔tax-
free income to the business
✔✔When an applicant applies for a large amount of life insurance coverage, which of
the following would likely NOT be an underwriting requirement? - ✔✔eye examination
✔✔If an employer pays for accidental death and dismemberment insurance for its
employees, the amount paid by the employer is generally - ✔✔tax deductible to the
business
✔✔The Guarantee of insurability option provides a long-term care policyowner the
ability to - ✔✔buy additional coverage at a later date
✔✔A producer sold a life insurance policy but did NOT provide the applicant with a
basic illustration. In this situation, the insurer is REQUIRED to provide the applicant with
a policy summary no later than the - ✔✔Policy delivery date
✔✔A trustee-to-trustee transfer of rollover funds in a qualified plan allows a participant
to avoid - ✔✔mandatory income tax withholding on the amount transferred
✔✔Which of the following is NOT included as a hospice benefit under a major medical
plan? - ✔✔Rehabilitation
, ✔✔How is a community rating used for underwriting purposes? - ✔✔The same rates
are charged for individual and group plans in the same geographical area
✔✔A life insurance policy may ONLY be contested by the insurer during the first
________ years of the contract. - ✔✔Two
✔✔Which of the following statements BEST describes the HIPPA portability rules for an
individual who changes from one group medical plan to another? - ✔✔Reduces or
eliminates any pre-existing conditions excluded under the new plan
✔✔A(n) ____________ insurer operates in the U.S but is headquartered outside the
U.S. - ✔✔Alien
✔✔According to the affordable care act (ACA), The proportion of premium revenue
spent on clinical services and quality improvement is called the - ✔✔Medical loss ratio
✔✔A policy owner Is permitted to take out a policyown on a whole life policy at what
point? - ✔✔When the policy has a cash value
✔✔An insurer may be required to sign which document at policy delivery to ensure
there has not been any adverse medical conditions since the time of the application? -
✔✔Good health statement
✔✔Which of these annuity contract features is meant to discourage withdrawals and
exchanges? - ✔✔Surrender charges
✔✔What is payable to the policy owner of a whole life policy is surrendered prior to its
maturity date? - ✔✔The cash value
✔✔If the commissioner Request access to a producers business records, the producer -
✔✔Must provide access to the records upon request
✔✔Charging different premiums to policyholders in the same risk classification is
referred to as - ✔✔Unfair discrimination
✔✔An annuity contract maybe return them for refund during the - ✔✔Free look period
✔✔Group life plans sold in Connecticut typically contain a conversion option. If the
insured's Elects this option, the new policy - ✔✔Does not require evidence of insurability
✔✔Which of these plans allow a participant to choose either in network or non-network
provider at the same time when medical care is needed? - ✔✔Point of service
QUESTIONS WITH SOLUTIONS GRADED A+
✔✔When a ceding insurer transfers a portion of its risk to an assuming insurer on a
case by case basis, this process is referred to as - ✔✔Facultative reinsurance
✔✔What is the guaranteed cash value of a whole life insurance policy when the insured
turns 65 years old? - ✔✔Less than the policy's face amount
✔✔All of these are considered features of whole life insurance EXCEPT - ✔✔Initial
premium is lower than for an equivalent amount of term insurance
✔✔If one producer provides a referral to another producer which results in the sale of
an insurance contract, who will likely be paid a commission? - ✔✔The commission will
likely be shared between the two producers
✔✔The health insurance premiums paid for by each partner in a partnership is
considered to be - ✔✔100% tax deductible
✔✔Under a key person disability income policy, benefits will be received as - ✔✔tax-
free income to the business
✔✔When an applicant applies for a large amount of life insurance coverage, which of
the following would likely NOT be an underwriting requirement? - ✔✔eye examination
✔✔If an employer pays for accidental death and dismemberment insurance for its
employees, the amount paid by the employer is generally - ✔✔tax deductible to the
business
✔✔The Guarantee of insurability option provides a long-term care policyowner the
ability to - ✔✔buy additional coverage at a later date
✔✔A producer sold a life insurance policy but did NOT provide the applicant with a
basic illustration. In this situation, the insurer is REQUIRED to provide the applicant with
a policy summary no later than the - ✔✔Policy delivery date
✔✔A trustee-to-trustee transfer of rollover funds in a qualified plan allows a participant
to avoid - ✔✔mandatory income tax withholding on the amount transferred
✔✔Which of the following is NOT included as a hospice benefit under a major medical
plan? - ✔✔Rehabilitation
, ✔✔How is a community rating used for underwriting purposes? - ✔✔The same rates
are charged for individual and group plans in the same geographical area
✔✔A life insurance policy may ONLY be contested by the insurer during the first
________ years of the contract. - ✔✔Two
✔✔Which of the following statements BEST describes the HIPPA portability rules for an
individual who changes from one group medical plan to another? - ✔✔Reduces or
eliminates any pre-existing conditions excluded under the new plan
✔✔A(n) ____________ insurer operates in the U.S but is headquartered outside the
U.S. - ✔✔Alien
✔✔According to the affordable care act (ACA), The proportion of premium revenue
spent on clinical services and quality improvement is called the - ✔✔Medical loss ratio
✔✔A policy owner Is permitted to take out a policyown on a whole life policy at what
point? - ✔✔When the policy has a cash value
✔✔An insurer may be required to sign which document at policy delivery to ensure
there has not been any adverse medical conditions since the time of the application? -
✔✔Good health statement
✔✔Which of these annuity contract features is meant to discourage withdrawals and
exchanges? - ✔✔Surrender charges
✔✔What is payable to the policy owner of a whole life policy is surrendered prior to its
maturity date? - ✔✔The cash value
✔✔If the commissioner Request access to a producers business records, the producer -
✔✔Must provide access to the records upon request
✔✔Charging different premiums to policyholders in the same risk classification is
referred to as - ✔✔Unfair discrimination
✔✔An annuity contract maybe return them for refund during the - ✔✔Free look period
✔✔Group life plans sold in Connecticut typically contain a conversion option. If the
insured's Elects this option, the new policy - ✔✔Does not require evidence of insurability
✔✔Which of these plans allow a participant to choose either in network or non-network
provider at the same time when medical care is needed? - ✔✔Point of service
