Certification Exam: Florida Life and
Health Pre-Licensing
A beneficiary change can occur - ANS -normally at any time during the policy term
\A beneficiary has just received a claim payment for a life insurance policy. Which of the
following is TRUE regarding the federal income tax liability owed? - ANS -No federal income tax
is owed on life insurance proceeds
\A clause that allows an insurer the right to terminate coverage at any anniversary date is called
a(n) - ANS -optional renewability clause
\A health insurance policy that allows an insurer to change the policy owners premiums but not
cancel the policy is called a(n) - ANS -guaranteed renewable policy
\A health insurance policy where the insurer has the right to terminate the policy for reasons
other than the insured's health is called - ANS -conditionally renewable
\A life insurance policy owner may sell their policy to a(n) ____ in order to receive a percentage
of the policy's face value - ANS -Viatical settlement provider
\A life insurance policy that contains a guaranteed interest rate with the chance to earn a rate
that is higher than the guaranteed rate is called - ANS -Universal Life
\A life insurance policy that is subject to a contract interest rate is referred to as - ANS
-Universal Life
\A life insurance policy's grace period entitles the insured a period of no less than ____ days to
make the premium payment - ANS -30
\A life insurance policyowner was injured in an automobile accident which results in a total and
permanent disability. Which rider would pay a monthly amount because of this disability? - ANS
-Disability income rider
\A life insurance policyowner would like to file a complaint against a life insurance agent. In
Florida, the entity that oversees these complaints is called the - ANS -Department of Financial
Services
\A life policy loan in Florida cannot charge a fixed rate of interest higher than - ANS -10%
\A Medicare supplement policy must not contain benefits which - ANS -duplicate Medicare
benefits
\A person insured under a health policy is required to give the insurance company a Notice of
Claim within how many days after a covered loss? - ANS -twenty
\A provision that allows a policyowner to temporarily give up ownership rights to secure a loan is
called a(n) - ANS -collateral assignment
\According to family law, in which of the following situations would a dependent handicapped
child NOT be covered under a family health policy? - ANS -The premiums for the handicapped
child are not paid
\According to Floridas rules on disclosure, a life insurance applicant is expected to be provided
with - ANS -a Buyer's Guide and Policy Summary
\According to life insurance contract law, insurable interest exists - ANS -At the time of
application
, \After an insured gives notice of loss, what must he/she do if the insurer does not furnish forms?
- ANS -File written proof of loss
\Agents that have been licensed for less than six years must complete __ hours of continuing
education every two years. - ANS -24
\All of the following are considered appropriate uses of life insurance for business purposes
except - ANS -Protecting the business by covering entry level employees with life insurance
\All of the following are core benefits of Medicare supplement plan A except - ANS -Deductible
payments for the first 60 days of hospitalization under Medicare hospitalization insurance
\All of the following are functions of insuring clause except - ANS -Primarily describes the
free-look period
\All of the following are qualifications for establishing a health savings account (HSA) except -
ANS -Enrolled in a health plan with a prescription drug benefit
\All of the following entries are classified under the four principal areas of Florida insurance law
except - ANS -An agent's commission
\All of these are characteristics of a major medical expense policy except - ANS -elimination
periods
\All of these are standard exclusions found in a life insurance policy EXCEPT - ANS -disability
\All of these are valid policy dividend options for a life insurance policyowner EXCEPT - ANS
-accumulate without interest
\All of these policy statements concerning whole life insurance are false except - ANS -When a
whole life policy is surrendered, income taxes may be owed
\Amy has a group medical policy through her employer with a $500 deductible and a 90%
coinsurance provision. She incurs $1,500 in covered health care services. How much will her
group insurance carrier pay? - ANS -$900
\An accident and health insurer has just received written proof of loss from one of its insureds.
The insured must now wait 60 days before - ANS -bringing legal action against the insurer
\An agent selling Medicare Supplement policies must provide every applicant with a(n) - ANS
-Suitability form
\An agent who makes misleading statements that lead to the termination of an existing
insurance policy so that a new policy with another insurer can be taken out has committed -
ANS -twisting
\An applicant intentionally lying to an insurance company on an application in order to obtain a
cheaper premium is an example of - ANS -fraud
\An applicant's character and personal habits can be obtained for underwriting purposes from
which source? - ANS -Investigative consumer report
\An employee under a group insurance policy has the right to name a beneficiary and the right
to - ANS -convert to an individual policy in the event of employment termination
\An example of sliding would be - ANS -charging for an additional product without the applicant's
consent
\An indemnity plan - ANS -provides the insured a specific dollar amount for services
\An insurance company must act on accident and health insurance application for reinstatement
within ____ days - ANS -45
\An insurer must furnish to a claimant forms for filing proof of loss within ___ days upon
receiving a notice of claim. - ANS -15
Health Pre-Licensing
A beneficiary change can occur - ANS -normally at any time during the policy term
\A beneficiary has just received a claim payment for a life insurance policy. Which of the
following is TRUE regarding the federal income tax liability owed? - ANS -No federal income tax
is owed on life insurance proceeds
\A clause that allows an insurer the right to terminate coverage at any anniversary date is called
a(n) - ANS -optional renewability clause
\A health insurance policy that allows an insurer to change the policy owners premiums but not
cancel the policy is called a(n) - ANS -guaranteed renewable policy
\A health insurance policy where the insurer has the right to terminate the policy for reasons
other than the insured's health is called - ANS -conditionally renewable
\A life insurance policy owner may sell their policy to a(n) ____ in order to receive a percentage
of the policy's face value - ANS -Viatical settlement provider
\A life insurance policy that contains a guaranteed interest rate with the chance to earn a rate
that is higher than the guaranteed rate is called - ANS -Universal Life
\A life insurance policy that is subject to a contract interest rate is referred to as - ANS
-Universal Life
\A life insurance policy's grace period entitles the insured a period of no less than ____ days to
make the premium payment - ANS -30
\A life insurance policyowner was injured in an automobile accident which results in a total and
permanent disability. Which rider would pay a monthly amount because of this disability? - ANS
-Disability income rider
\A life insurance policyowner would like to file a complaint against a life insurance agent. In
Florida, the entity that oversees these complaints is called the - ANS -Department of Financial
Services
\A life policy loan in Florida cannot charge a fixed rate of interest higher than - ANS -10%
\A Medicare supplement policy must not contain benefits which - ANS -duplicate Medicare
benefits
\A person insured under a health policy is required to give the insurance company a Notice of
Claim within how many days after a covered loss? - ANS -twenty
\A provision that allows a policyowner to temporarily give up ownership rights to secure a loan is
called a(n) - ANS -collateral assignment
\According to family law, in which of the following situations would a dependent handicapped
child NOT be covered under a family health policy? - ANS -The premiums for the handicapped
child are not paid
\According to Floridas rules on disclosure, a life insurance applicant is expected to be provided
with - ANS -a Buyer's Guide and Policy Summary
\According to life insurance contract law, insurable interest exists - ANS -At the time of
application
, \After an insured gives notice of loss, what must he/she do if the insurer does not furnish forms?
- ANS -File written proof of loss
\Agents that have been licensed for less than six years must complete __ hours of continuing
education every two years. - ANS -24
\All of the following are considered appropriate uses of life insurance for business purposes
except - ANS -Protecting the business by covering entry level employees with life insurance
\All of the following are core benefits of Medicare supplement plan A except - ANS -Deductible
payments for the first 60 days of hospitalization under Medicare hospitalization insurance
\All of the following are functions of insuring clause except - ANS -Primarily describes the
free-look period
\All of the following are qualifications for establishing a health savings account (HSA) except -
ANS -Enrolled in a health plan with a prescription drug benefit
\All of the following entries are classified under the four principal areas of Florida insurance law
except - ANS -An agent's commission
\All of these are characteristics of a major medical expense policy except - ANS -elimination
periods
\All of these are standard exclusions found in a life insurance policy EXCEPT - ANS -disability
\All of these are valid policy dividend options for a life insurance policyowner EXCEPT - ANS
-accumulate without interest
\All of these policy statements concerning whole life insurance are false except - ANS -When a
whole life policy is surrendered, income taxes may be owed
\Amy has a group medical policy through her employer with a $500 deductible and a 90%
coinsurance provision. She incurs $1,500 in covered health care services. How much will her
group insurance carrier pay? - ANS -$900
\An accident and health insurer has just received written proof of loss from one of its insureds.
The insured must now wait 60 days before - ANS -bringing legal action against the insurer
\An agent selling Medicare Supplement policies must provide every applicant with a(n) - ANS
-Suitability form
\An agent who makes misleading statements that lead to the termination of an existing
insurance policy so that a new policy with another insurer can be taken out has committed -
ANS -twisting
\An applicant intentionally lying to an insurance company on an application in order to obtain a
cheaper premium is an example of - ANS -fraud
\An applicant's character and personal habits can be obtained for underwriting purposes from
which source? - ANS -Investigative consumer report
\An employee under a group insurance policy has the right to name a beneficiary and the right
to - ANS -convert to an individual policy in the event of employment termination
\An example of sliding would be - ANS -charging for an additional product without the applicant's
consent
\An indemnity plan - ANS -provides the insured a specific dollar amount for services
\An insurance company must act on accident and health insurance application for reinstatement
within ____ days - ANS -45
\An insurer must furnish to a claimant forms for filing proof of loss within ___ days upon
receiving a notice of claim. - ANS -15
