NEVADA LIFE AND HEALTH LICENSE
EXAM PREP FULLY SOLVED STUDY GUIDE
WITH VERIFIED SOLUTIONS 2026
⩥ Which of the following is TRUE of a qualified plan? Answer: It has a
tax benefit for both employer and employee
⩥ An insured is covered by a partially contributory group disability
income plan that pays benefits of $4,000 a month. How much of the
monthly benefit would be taxable? Answer: $3,000.
on a partially contributory group disability income insurance, only that
portion of the benefits that are related to the employee. In this case,
because the employer pays 75% of the premium the employee will be
taxed on 75%
⩥ Which of the following is NOT a term for the period of time during
which an annuitant or beneficiary receives the money? Answer:
Depreciation period
⩥ Larry has a major medical policy with a $500 deductible and 80/20
coinsurance. Larry is hospitalized and sustains $2,500 in medical bills.
How much is Larry responsible to pay? Answer: $900 (Deductible +
20% of the bill after the deductible {20% of $2,000})
,⩥ Which provision states that the insurance company must pay Medical
Expense claims immediately? Answer: Time of Payment of Claims
⩥ In reference to the standard Medicare Supplement benefits plans, what
does the term standard mean? Answer: All providers will have the same
coverage options and conditions for each plan.
⩥ Which of the following is TRUE regarding impatient hospital care for
HMO members? Answer: Care can be provided outside of the service
area.
⩥ What is the maximum period of time during which an insurer may
contest fraudulent misstatements made in a health insurance application?
Answer: As long as the policy is in force
⩥ All of the following would be different between qualified and non
qualified retirement plans EXCEPT Answer: Taxation on accumulation
⩥ Under the mandatory uniform provision Notice of Claim, the first
notice of injury or sickness covered under an accidental policy should
include: Answer: A statement that is sufficiently clear to identify the
insured and the nature of the claim.
, ⩥ Which of the following is true about the requirements regarding HIV
exams? Answer: The applicant must give prior informed WRITTEN
consent.
⩥ Employer contributions made to a qualified plan: Answer: Are subject
to vesting requirements
⩥ Insurers may change which of the following on a guaranteed
renewable health insurance policy? Answer: Rates by Class
⩥ What happens when a policy is surrendered for its cash value?
Answer: Coverage ends and the policy CANNOT be reinstated.
⩥ Which of the following is NOT true regarding Equity Indexed
Annuities? Answer: They earn lower interest than fixed annuities.
⩥ In a replacement situation, all of the following must be considered
EXCEPT Answer: Assets
⩥ Which of the following is NOT required on an illustration used in the
sale of a life insurance policy? Answer: The name of the primary and
secondary beneficiaries
⩥ A medical expense policy that establishes the amount of benefit paid
based upon the prevailing charges which fall within the standard rates
EXAM PREP FULLY SOLVED STUDY GUIDE
WITH VERIFIED SOLUTIONS 2026
⩥ Which of the following is TRUE of a qualified plan? Answer: It has a
tax benefit for both employer and employee
⩥ An insured is covered by a partially contributory group disability
income plan that pays benefits of $4,000 a month. How much of the
monthly benefit would be taxable? Answer: $3,000.
on a partially contributory group disability income insurance, only that
portion of the benefits that are related to the employee. In this case,
because the employer pays 75% of the premium the employee will be
taxed on 75%
⩥ Which of the following is NOT a term for the period of time during
which an annuitant or beneficiary receives the money? Answer:
Depreciation period
⩥ Larry has a major medical policy with a $500 deductible and 80/20
coinsurance. Larry is hospitalized and sustains $2,500 in medical bills.
How much is Larry responsible to pay? Answer: $900 (Deductible +
20% of the bill after the deductible {20% of $2,000})
,⩥ Which provision states that the insurance company must pay Medical
Expense claims immediately? Answer: Time of Payment of Claims
⩥ In reference to the standard Medicare Supplement benefits plans, what
does the term standard mean? Answer: All providers will have the same
coverage options and conditions for each plan.
⩥ Which of the following is TRUE regarding impatient hospital care for
HMO members? Answer: Care can be provided outside of the service
area.
⩥ What is the maximum period of time during which an insurer may
contest fraudulent misstatements made in a health insurance application?
Answer: As long as the policy is in force
⩥ All of the following would be different between qualified and non
qualified retirement plans EXCEPT Answer: Taxation on accumulation
⩥ Under the mandatory uniform provision Notice of Claim, the first
notice of injury or sickness covered under an accidental policy should
include: Answer: A statement that is sufficiently clear to identify the
insured and the nature of the claim.
, ⩥ Which of the following is true about the requirements regarding HIV
exams? Answer: The applicant must give prior informed WRITTEN
consent.
⩥ Employer contributions made to a qualified plan: Answer: Are subject
to vesting requirements
⩥ Insurers may change which of the following on a guaranteed
renewable health insurance policy? Answer: Rates by Class
⩥ What happens when a policy is surrendered for its cash value?
Answer: Coverage ends and the policy CANNOT be reinstated.
⩥ Which of the following is NOT true regarding Equity Indexed
Annuities? Answer: They earn lower interest than fixed annuities.
⩥ In a replacement situation, all of the following must be considered
EXCEPT Answer: Assets
⩥ Which of the following is NOT required on an illustration used in the
sale of a life insurance policy? Answer: The name of the primary and
secondary beneficiaries
⩥ A medical expense policy that establishes the amount of benefit paid
based upon the prevailing charges which fall within the standard rates