CEBS GBA EXAM 1 2026 2027
VERIFIED ANSWERS ACTUAL
UPDATED PRACTICE
QUESTIONS HIGH YIELD STUDY
GUIDE EXAM PREP MATERIAL
LATEST VERSION REAL EXAM
QUESTIONS AND ANSWERS
GRADED A+
Which of the following statements correctly describes minimum requirements that
group benefit plans typically must meet in order to be prospectively rated on
contract renewal? - The more unpredictable the event that will trigger a claim, the
larger the minimum group size and premium requirements
Which of the following statements correctly describes the term graduation as it
applies to mortality tables? - It is a mathematical process that removes anomalies
that should not appear in the mortality data
If the plan sponsor pays the premium, which of the following group insured benefits
is taxable to the plan member? - Long-term disability (LTD)
Which of the following statements correctly describes phases of a group plan
marketing? - Plan features of both contributory and noncontributory benefit plans must
be communicated to plan members during the enrollment process
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,CEBS GBA QUESTIONS AND ANSWERS
Which of the following statements correctly describes a characteristic of an insurable
risk? - The loss must have financial significance to the insured (The loss must not be
catastrophic to the insurer. Option C: The loss must occur by chance. Option D: The
loss must be predictable for the insurer.)
With respect to marketing a group insurance plan, which of the following statements
best describes insurer representatives known as account executives? - They are
involved in enrolling group members and installing new plans
Which of the following statements correctly describes the statistical concept known
as the law of large numbers? - Future probabilities of loss are not valid unless a
large number of incidents exist to ensure the outcomes are less likely to deviate
Which of the following statements correctly describes an insured plan that is insurer-
administered? - For self-insured plans with an administrative services only (ASO)
arrangement, the insurer bills the plan sponsor monthly for administration fees
If the probability that an individual will live one year is 0.95 and the probability
of dying in the following year is 0.10, what is the probability that an individual
will survive both years? - 0.855 (P (Survive both years) = (0.95) x (1 - 0.1) = 0.95
x 0.90 = 0.855.)
Which of the following statements correctly describes the group benefits enrollment
process for new employees? - An employee can enroll in the plan any time between
his or her date of hire and the end of a waiting period
A type of service offered under a third-party administrators (TPAs) claims settlement
only arrangement is: - Adjudicating and paying claims
Unless otherwise specified in the group insurance contract, a plan member's status
under a group benefits plan terminates the earliest at which: - The plan member
retires (Unless otherwise specified in the group insurance contract, the order in
which coverage terminates is effective the earliest date the plan member retires, the
plan member's service with the plan sponsor is terminated, the plan member ceases
active work, and the plan member is no longer a member of an eligible class and
premium payments stop.)
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CEBS GBA Exam 1 QUESTIONS AND ANSWERS
GUARANTEED PASS EXPERT VERIFIED
SOLUTIONS ALREADY GRADED A+ 2023
Which of the following statements correctly describes eligibility requirements
under most group insurance plans? - Unmarried children under a specified age and
dependent on the plan member for support are eligible for coverage
Which of the following statements correctly describes the negotiated placement
method of marketing a group benefits plan? - Once potential insurers are identified,
each company submits a brief report that highlights its general strategy, philosophy and
proposed group benefits plan
True North Insurance has established a waiver-of-premium reserve of $100,000 and
will have to pay out an optional life insurance benefit of $200,000. With an interest
rate of 6% compounded annually, how many years will it take for the
Downloaded by: dukejosh116 | Want to earn $1.236 Distribution
of this document is illegal extra per year?
VERIFIED ANSWERS ACTUAL
UPDATED PRACTICE
QUESTIONS HIGH YIELD STUDY
GUIDE EXAM PREP MATERIAL
LATEST VERSION REAL EXAM
QUESTIONS AND ANSWERS
GRADED A+
Which of the following statements correctly describes minimum requirements that
group benefit plans typically must meet in order to be prospectively rated on
contract renewal? - The more unpredictable the event that will trigger a claim, the
larger the minimum group size and premium requirements
Which of the following statements correctly describes the term graduation as it
applies to mortality tables? - It is a mathematical process that removes anomalies
that should not appear in the mortality data
If the plan sponsor pays the premium, which of the following group insured benefits
is taxable to the plan member? - Long-term disability (LTD)
Which of the following statements correctly describes phases of a group plan
marketing? - Plan features of both contributory and noncontributory benefit plans must
be communicated to plan members during the enrollment process
Downloaded by: dukejosh116 | Want to earn $1.236 Distribution
of this document is illegal extra per year?
,CEBS GBA QUESTIONS AND ANSWERS
Which of the following statements correctly describes a characteristic of an insurable
risk? - The loss must have financial significance to the insured (The loss must not be
catastrophic to the insurer. Option C: The loss must occur by chance. Option D: The
loss must be predictable for the insurer.)
With respect to marketing a group insurance plan, which of the following statements
best describes insurer representatives known as account executives? - They are
involved in enrolling group members and installing new plans
Which of the following statements correctly describes the statistical concept known
as the law of large numbers? - Future probabilities of loss are not valid unless a
large number of incidents exist to ensure the outcomes are less likely to deviate
Which of the following statements correctly describes an insured plan that is insurer-
administered? - For self-insured plans with an administrative services only (ASO)
arrangement, the insurer bills the plan sponsor monthly for administration fees
If the probability that an individual will live one year is 0.95 and the probability
of dying in the following year is 0.10, what is the probability that an individual
will survive both years? - 0.855 (P (Survive both years) = (0.95) x (1 - 0.1) = 0.95
x 0.90 = 0.855.)
Which of the following statements correctly describes the group benefits enrollment
process for new employees? - An employee can enroll in the plan any time between
his or her date of hire and the end of a waiting period
A type of service offered under a third-party administrators (TPAs) claims settlement
only arrangement is: - Adjudicating and paying claims
Unless otherwise specified in the group insurance contract, a plan member's status
under a group benefits plan terminates the earliest at which: - The plan member
retires (Unless otherwise specified in the group insurance contract, the order in
which coverage terminates is effective the earliest date the plan member retires, the
plan member's service with the plan sponsor is terminated, the plan member ceases
active work, and the plan member is no longer a member of an eligible class and
premium payments stop.)
Downloaded by: dukejosh116 | Want to earn $1.236 Distribution
of this document is illegal extra per year?
, Stuvia.com - The Marketplace to Buy and Sell your Study Material
CEBS GBA Exam 1 QUESTIONS AND ANSWERS
GUARANTEED PASS EXPERT VERIFIED
SOLUTIONS ALREADY GRADED A+ 2023
Which of the following statements correctly describes eligibility requirements
under most group insurance plans? - Unmarried children under a specified age and
dependent on the plan member for support are eligible for coverage
Which of the following statements correctly describes the negotiated placement
method of marketing a group benefits plan? - Once potential insurers are identified,
each company submits a brief report that highlights its general strategy, philosophy and
proposed group benefits plan
True North Insurance has established a waiver-of-premium reserve of $100,000 and
will have to pay out an optional life insurance benefit of $200,000. With an interest
rate of 6% compounded annually, how many years will it take for the
Downloaded by: dukejosh116 | Want to earn $1.236 Distribution
of this document is illegal extra per year?
