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PEARSON VUE TEXAS LIFE AND HEALTH
INSURANCE TEST EXAM NEWEST 2026 ACTUAL
EXAM QUESTIONS AND CORRECT DETAILED
ANSWERS (VERIFIED ANSWERS) ALL
ANSWERED {150 Q & A} ALREADY GRADED A+ |
BRAND NEW! | 100% GUARANTEED PASS
An agent makes a mistake on the application and then corrects
his mistakes by physically entering the necessary information.
Who must then initial that charge?
A. Executive officer of the company
B. Insured
C. Agent
D. Applicant - ✔✔✔ Correct Answer > Applicant
Which of the following is NOT true regarding the Life with
Guaranteed Minimum annuity settlement option?
A. It is life contingency option
B. The beneficiary receives the remainder of the principal amount
upon the annuitant's death
C. Payments can be made in installments and as a single cash
refund
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D. It does not guarantee that the entire principal amount will be
paid out - ✔✔✔ Correct Answer > D. It does not guarantee that the
entire principal amount will be paid out
The form of life annuity which pays benefits throughout the
lifetime of the annuitant and also guarantees payment for a
minimum number of years is called
A. Life income with period certain
B. Life income with refund
C. Joint and survivorship
D. Joint life annuity - ✔✔✔ Correct Answer > Life income with period
certain
An insured's long-tern care policy is scheduled to pay fixed
amount of coverage of $120 per day. The long-term care facility
only charged $100 per day. How much will the insurance
company pay?
A. 20% of the total cost
B. $120 a day
C. $100 a day
D. 80% of the total cost - ✔✔✔ Correct Answer > B. $120 a day
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In comparison to a policy that uses the accidental means
definition, a policy that uses the accidental bodily injury definition
would provide coverage that is
A. More limited in duration
B. Broader in duration
C. Broder in general
D. More limited in general - ✔✔✔ Correct Answer > C. Broader in
general
An individual has been diagnosed with Alzheimer's disease. He is
insured under a life insurance policy with the accelerated
benefits rider. Which of the following is true regarding taxation of
the accelerated benefits?
A. The entire living benefits is considered taxable income
B. A portion of the benefits up to a limit is tax-free; the rest is
taxable income
C. Principle is tax free, but interest is taxed
D. The entire benefits will be received tax free - ✔✔✔ Correct Answer >
B. B. A portion of the benefits up to a limit is tax-free; the rest is
taxable income
All of the following are true of an annuity owner EXCEPT
A. The owner has the right to name the beneficiary
B. The owner is the party who may surrender the annuity
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C. The owner must be the party to receive benefits
D. The owner pays the premiums on the annuity - ✔✔✔ Correct
Answer > C. The owner must be the party to receive benefits
How is emergency care covered for a member of an HMO?
A. An HMO emergency specialist will cover the patient
B. A member of an HMO can receive care in or out of the HMO
service area, but care is preferred in the service area
C. A member of an HMO may receive care at any emergency
facility, at the same cost as if in his or her own service area
D. HMOs have salaried member physicians, but they do not cover
emergency care - ✔✔✔ Correct Answer > B. A member of an HMO can
receive care in or out of the HMO service area, but care is
preferred in the service area
Death benefits payable to a beneficiary under a life insurance
policy are generally
A. Subject to income taxation by the federal government
B. Exempt from income taxation if under $10,000
C. Exempt from income taxation if over $10,000
D. Not subject to income taxation by the federal government -
✔✔✔ Correct Answer > D. Not subject to income taxation by the federal
government
PEARSON VUE TEXAS LIFE AND HEALTH
INSURANCE TEST EXAM NEWEST 2026 ACTUAL
EXAM QUESTIONS AND CORRECT DETAILED
ANSWERS (VERIFIED ANSWERS) ALL
ANSWERED {150 Q & A} ALREADY GRADED A+ |
BRAND NEW! | 100% GUARANTEED PASS
An agent makes a mistake on the application and then corrects
his mistakes by physically entering the necessary information.
Who must then initial that charge?
A. Executive officer of the company
B. Insured
C. Agent
D. Applicant - ✔✔✔ Correct Answer > Applicant
Which of the following is NOT true regarding the Life with
Guaranteed Minimum annuity settlement option?
A. It is life contingency option
B. The beneficiary receives the remainder of the principal amount
upon the annuitant's death
C. Payments can be made in installments and as a single cash
refund
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D. It does not guarantee that the entire principal amount will be
paid out - ✔✔✔ Correct Answer > D. It does not guarantee that the
entire principal amount will be paid out
The form of life annuity which pays benefits throughout the
lifetime of the annuitant and also guarantees payment for a
minimum number of years is called
A. Life income with period certain
B. Life income with refund
C. Joint and survivorship
D. Joint life annuity - ✔✔✔ Correct Answer > Life income with period
certain
An insured's long-tern care policy is scheduled to pay fixed
amount of coverage of $120 per day. The long-term care facility
only charged $100 per day. How much will the insurance
company pay?
A. 20% of the total cost
B. $120 a day
C. $100 a day
D. 80% of the total cost - ✔✔✔ Correct Answer > B. $120 a day
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In comparison to a policy that uses the accidental means
definition, a policy that uses the accidental bodily injury definition
would provide coverage that is
A. More limited in duration
B. Broader in duration
C. Broder in general
D. More limited in general - ✔✔✔ Correct Answer > C. Broader in
general
An individual has been diagnosed with Alzheimer's disease. He is
insured under a life insurance policy with the accelerated
benefits rider. Which of the following is true regarding taxation of
the accelerated benefits?
A. The entire living benefits is considered taxable income
B. A portion of the benefits up to a limit is tax-free; the rest is
taxable income
C. Principle is tax free, but interest is taxed
D. The entire benefits will be received tax free - ✔✔✔ Correct Answer >
B. B. A portion of the benefits up to a limit is tax-free; the rest is
taxable income
All of the following are true of an annuity owner EXCEPT
A. The owner has the right to name the beneficiary
B. The owner is the party who may surrender the annuity
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C. The owner must be the party to receive benefits
D. The owner pays the premiums on the annuity - ✔✔✔ Correct
Answer > C. The owner must be the party to receive benefits
How is emergency care covered for a member of an HMO?
A. An HMO emergency specialist will cover the patient
B. A member of an HMO can receive care in or out of the HMO
service area, but care is preferred in the service area
C. A member of an HMO may receive care at any emergency
facility, at the same cost as if in his or her own service area
D. HMOs have salaried member physicians, but they do not cover
emergency care - ✔✔✔ Correct Answer > B. A member of an HMO can
receive care in or out of the HMO service area, but care is
preferred in the service area
Death benefits payable to a beneficiary under a life insurance
policy are generally
A. Subject to income taxation by the federal government
B. Exempt from income taxation if under $10,000
C. Exempt from income taxation if over $10,000
D. Not subject to income taxation by the federal government -
✔✔✔ Correct Answer > D. Not subject to income taxation by the federal
government
