1
OHIO LIFE/HEALTH INSURANCE EXAM 2025
ACTUAL EXAM QUESTIONS AND CORRECT
DETAILED ANSWERS (VERIFIED ANSWERS)
ALL ANSWERED {139 Q & A} ALREADY GRADED
A+ | GUARANTEED PASS
A viator is the owner of a life insurance policy and transferred
ownership by a ______ agreed to by___ and ______ through a _____.
- ✔✔✔ Correct Answer > viatical settlement contract; the viator; the viatical
settlement provider; viatical settlement broker
Which statement is FALSE about the replacement of Life
Insurance?
a. Agents must review the existing policy prior to replacement to
see if it contains any limitations
b. Replacement is illegal
c. Replacement to the detriment of the client is illegal
d. Special forms must be given to clients electing to replace
coverage - ✔✔✔ Correct Answer > b. Replacement is illegal
Which of the following is NOT a true statement about advertising?
a. The agent controls who will receive the advertising
,2
b. The company cannot control who receives the advertising
c. Deceptive practices are prohibited
d. Direct mail is advertising - ✔✔✔ Correct Answer > The agent controls
who will receive the advertising
What type of insurance consists of an unincorporated group of
persons that provides insurance among themselves through an
exchange of indemnity agreements? - ✔✔✔ Correct Answer > Reciprocal
Insurer
Choose the incorrect statement regarding qualified plans?
a. Qualified plans have a special tax advantages under ERISA
b. Rollovers are subject to tax unless reinvested within 30 days
c. Trustee to trustee rollovers are permitted without actual
distribution of funds
d. TSA (403b) plans are salary reduction plans with contributions
in before-tax dollars - ✔✔✔ Correct Answer > b. Rollovers are subject to
tax unless reinvested within 30 days
What are the tax implications when an annuitant, at age 56,
elects to take a cash surrender of a Deferred Annuity during the
accumulation period? - ✔✔✔ Correct Answer > Only the interest is taxable
as ordinary income, but the interest is also subject to an IRS 10%
early withdrawal penalty
, 3
What statement about insurance is FALSE?
a. It involves the pooling of large numbers of individual risks
b. It is a form of gambling because it may or may not pay off
c. It is a social device for spreading loss over large numbers of
people
d. It transfers risk from one party to a group - ✔✔✔ Correct Answer > b. It
is a form of gambling because it may or may not pay off
A valid 1035 exchange of a Life Insurance contract must be - ✔✔✔
Correct Answer > On the life of the same person
Once classified as a Modified Endowment Contract (MEC), the
contract will remain that way - ✔✔✔ Correct Answer > Forever
Insurable interest exists only when a number of condition are
met. Which of the following is NOT one of the requirements for
insurable interest?
a. The applicant must face a risk of loss
b. The applicant must have an interest in protecting what is
insured
c. The applicant must not have a potential for gain because of the
insurance
OHIO LIFE/HEALTH INSURANCE EXAM 2025
ACTUAL EXAM QUESTIONS AND CORRECT
DETAILED ANSWERS (VERIFIED ANSWERS)
ALL ANSWERED {139 Q & A} ALREADY GRADED
A+ | GUARANTEED PASS
A viator is the owner of a life insurance policy and transferred
ownership by a ______ agreed to by___ and ______ through a _____.
- ✔✔✔ Correct Answer > viatical settlement contract; the viator; the viatical
settlement provider; viatical settlement broker
Which statement is FALSE about the replacement of Life
Insurance?
a. Agents must review the existing policy prior to replacement to
see if it contains any limitations
b. Replacement is illegal
c. Replacement to the detriment of the client is illegal
d. Special forms must be given to clients electing to replace
coverage - ✔✔✔ Correct Answer > b. Replacement is illegal
Which of the following is NOT a true statement about advertising?
a. The agent controls who will receive the advertising
,2
b. The company cannot control who receives the advertising
c. Deceptive practices are prohibited
d. Direct mail is advertising - ✔✔✔ Correct Answer > The agent controls
who will receive the advertising
What type of insurance consists of an unincorporated group of
persons that provides insurance among themselves through an
exchange of indemnity agreements? - ✔✔✔ Correct Answer > Reciprocal
Insurer
Choose the incorrect statement regarding qualified plans?
a. Qualified plans have a special tax advantages under ERISA
b. Rollovers are subject to tax unless reinvested within 30 days
c. Trustee to trustee rollovers are permitted without actual
distribution of funds
d. TSA (403b) plans are salary reduction plans with contributions
in before-tax dollars - ✔✔✔ Correct Answer > b. Rollovers are subject to
tax unless reinvested within 30 days
What are the tax implications when an annuitant, at age 56,
elects to take a cash surrender of a Deferred Annuity during the
accumulation period? - ✔✔✔ Correct Answer > Only the interest is taxable
as ordinary income, but the interest is also subject to an IRS 10%
early withdrawal penalty
, 3
What statement about insurance is FALSE?
a. It involves the pooling of large numbers of individual risks
b. It is a form of gambling because it may or may not pay off
c. It is a social device for spreading loss over large numbers of
people
d. It transfers risk from one party to a group - ✔✔✔ Correct Answer > b. It
is a form of gambling because it may or may not pay off
A valid 1035 exchange of a Life Insurance contract must be - ✔✔✔
Correct Answer > On the life of the same person
Once classified as a Modified Endowment Contract (MEC), the
contract will remain that way - ✔✔✔ Correct Answer > Forever
Insurable interest exists only when a number of condition are
met. Which of the following is NOT one of the requirements for
insurable interest?
a. The applicant must face a risk of loss
b. The applicant must have an interest in protecting what is
insured
c. The applicant must not have a potential for gain because of the
insurance
