Final Exam: California Life, Accident, and Health Insurance Already Passed

Final Exam: California Life, Accident, and Health Insurance Already Passed What is an insurance solicitor authorized to do? - Answer ️️ -Help an agent or broker sell insurance According to the California Insurance Code, what is "insurance"? - Answer ️️ -A contract What does a Hospital Confinement indemnity policy pay for? - Answer ️️ -Pay a specified daily amount while the insured is confined to a hospital According to the California Insurance Code, how is the word "may" interpreted? - Answer ️️ - Permissive Which statement is CORRECT when describing a contract of adhesion? - Answer ️️ -Contract may be accepted or rejected by the insured. Retirement plans are prevented from favoring highly compensated employees under which government regulation - Answer ️️ -Nondiscrimination When calculating life insurance premium rates, which component would an agent's commission fall under? - Answer ️️ -Insurer's expenses All of the following circumstances must be met for loss retention to be an effective risk management technique, EXCEPT - Answer ️️ -Probability of loss is unknown An insurance policy written after 1988 that fails to pass the seven-pay test is known as - Answer ️️ -a modified endowment contract All of these are reasons the Commissioner may disapprove a licensee's request to use a fictitious name EXCEPT - Answer ️️ -The name is the licensee's actual name Which of the following services are health maintenance organizations (HMO's) NOT required to provide? - Answer ️️ -Prescription drugs Which of the following is NOT true regarding a family policy that covers children? - Answer ️️ -Conversion of child's coverage to permanent insurance requires evidence of insurability Which of the following types of life insurance combines a savings element along with a flexible premium option? - Answer ️️ -Universal life What determines the Social Security normal retirement age? - Answer ️️ -Year in which worker was born When an insurance company requests an attending physician's report, the request must be accompanied by a - Answer ️️ -copy of the signed authorization A savings vehicle designed to first accumulate funds and then systematically liquidates the funds is called a - Answer ️️ -deferred annuity what does ESOP stand for? - Answer ️️ -Employee Stock Ownership Plan Which Social Security status does a worker with 6 quarters of coverage during the last 13-quarter period have? - Answer ️️ -Currently insured When a claimant has coverage under more than one health plan, which group medical plan provision applies? - Answer ️️ -Coordination of benefits How is an agent's first-year commission calculated for a replacement long-term policy? - Answer ️️ -Based on the difference between the new and original policy annual premiums Jerry is an insured who understated his age on his life insurance application, paying $12 per $1,000 of insurance instead of $15 per $1,000. If he dies, how will the adjusted death benefit be calculated? - Answer ️️ -12/15th of the policy's face