Maryland Life and Health Insurance
Licensing Exam. Latest Edition 2025-
2026. Questions with Correct Verified
Answers. Graded A
20 – ANS How many employees must an employer have for a terminated
employee to be eligible for COBRA?
30 days - ANS The standard grace period for a life insurance policy sold in
Maryland is
60 - ANSUnder a small group health plan, an insurer is required to provide
a newly-married employee at least ____ days to add the new spouse to the
plan
A common exclusion or limitation on a dental policy is - ANSEndodontics
A common exclusion with Vision plans is - ANSLasik surgery
A health insurance policy will typically cover - ANSPreventative health
services
A life insurance claim which involves a per capita distribution of policy
proceeds would be payable to the - ANSNamed living primary beneficiaries
("per capita" is a method of life insurance distribution using total number of
1
,individuals. This means that all living members that are identified in the life
insurance policy will receive an equal amount of the life insurance
proceeds. Using per capita distribution means that if one of the
beneficiaries becomes deceased before the insured, then the other
beneficiaries will simply have their share increased accordingly)
A life insurance company has transferred some of its risk to another
insurer. The insurer assuming the risk is called the - ANSReinsurer
A life insurance policy written on one contract for two people in which it is
payable upon the first death is called - ANSJoint
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? - ANSDisability income rider
A nonparticipating company is sometimes called a(n) - ANSStock insurer
(Because policyholders do not participate in dividends resulting from stock
ownership)
A person who has a contract with an insurance company to represent it
("Insurance producer" or "producer" is a person required to be licensed
pursuant to the laws of this state to sell, solicit, or negotiate insurance) -
ANSAn insurance producer is BEST defined as
A person's health claim information - ANSHIPAA considers which of the
following as "individually identifiable health information"?
2
, A plan in which an employer pays insurance benefits from a fund derived
from the employer's current revenues is called - ANSA self-funded plan
A policyowner is prohibited from making any changes to the policy without
the beneficiary's written consent under which beneficiary designation? -
ANSIrrevocable benficiary
A provision that allows a policyowner to temporarily give up ownership
rights to secure a loan is called a(n) - ANSCollateral assignment
A separate converted policy may, at the option of the insurance company,
be issued to cover a(n) - ANSDependent
A type of insurer that is owned by its policyowners is called - ANSMutual
Accept payment based upon a defined Medicare schedule as payment in
full - ANSA medical provider that accepts Medicare Assignment must
Acute care - ANSA long-term care policy typically provides all of the
following levels of care EXCEPT
Adjustable Life (Adjustable Life allows the policyowner to change two policy
features: premium and face amount) - ANSA policyowner may change two
policy features on what type of life
3
Licensing Exam. Latest Edition 2025-
2026. Questions with Correct Verified
Answers. Graded A
20 – ANS How many employees must an employer have for a terminated
employee to be eligible for COBRA?
30 days - ANS The standard grace period for a life insurance policy sold in
Maryland is
60 - ANSUnder a small group health plan, an insurer is required to provide
a newly-married employee at least ____ days to add the new spouse to the
plan
A common exclusion or limitation on a dental policy is - ANSEndodontics
A common exclusion with Vision plans is - ANSLasik surgery
A health insurance policy will typically cover - ANSPreventative health
services
A life insurance claim which involves a per capita distribution of policy
proceeds would be payable to the - ANSNamed living primary beneficiaries
("per capita" is a method of life insurance distribution using total number of
1
,individuals. This means that all living members that are identified in the life
insurance policy will receive an equal amount of the life insurance
proceeds. Using per capita distribution means that if one of the
beneficiaries becomes deceased before the insured, then the other
beneficiaries will simply have their share increased accordingly)
A life insurance company has transferred some of its risk to another
insurer. The insurer assuming the risk is called the - ANSReinsurer
A life insurance policy written on one contract for two people in which it is
payable upon the first death is called - ANSJoint
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? - ANSDisability income rider
A nonparticipating company is sometimes called a(n) - ANSStock insurer
(Because policyholders do not participate in dividends resulting from stock
ownership)
A person who has a contract with an insurance company to represent it
("Insurance producer" or "producer" is a person required to be licensed
pursuant to the laws of this state to sell, solicit, or negotiate insurance) -
ANSAn insurance producer is BEST defined as
A person's health claim information - ANSHIPAA considers which of the
following as "individually identifiable health information"?
2
, A plan in which an employer pays insurance benefits from a fund derived
from the employer's current revenues is called - ANSA self-funded plan
A policyowner is prohibited from making any changes to the policy without
the beneficiary's written consent under which beneficiary designation? -
ANSIrrevocable benficiary
A provision that allows a policyowner to temporarily give up ownership
rights to secure a loan is called a(n) - ANSCollateral assignment
A separate converted policy may, at the option of the insurance company,
be issued to cover a(n) - ANSDependent
A type of insurer that is owned by its policyowners is called - ANSMutual
Accept payment based upon a defined Medicare schedule as payment in
full - ANSA medical provider that accepts Medicare Assignment must
Acute care - ANSA long-term care policy typically provides all of the
following levels of care EXCEPT
Adjustable Life (Adjustable Life allows the policyowner to change two policy
features: premium and face amount) - ANSA policyowner may change two
policy features on what type of life
3
