XCEL - NY - Exam Simulator 1 Verified Guide
Jonas is a whole life insurance policyholder and would like to add coverage for his two children. Which
of the following products would allow him to do this?
✔️ Child Term Rider.
Lisa has recently bought a fixed annuity. Which of these is considered a disadvantage of owning this type
of annuity?
✔️ During periods of inflation, annuitants will experience a decrease in purchasing power of their
payments.
In contrast to a guaranteed renewable policy, a noncancellable policy
✔️ may never raise premiums.
What is implied authority defined as?
✔️ Authority that is not specifically given to an agent in the agency contract, but that an agent can
reasonably assume to carry out his/her duties.
A disability income policy can prevent an insured from earning a higher income than if he/she were
working by utilizing
✔️ benefit limits.
An indemnity plan limitation that will pay dental bills after a small amount is paid by the insured is called
✔️ coinsurance.
The entire contract provision includes all of the following EXCEPT the
✔️ Changes made by the agent.
Converting a group plan to permanent life insurance requires
✔️ the conversion being applied for within 31 days of termination.
,An agent who sells an individual life insurance policy in New York MUST deliver to the policyholder a(n)
✔️ Policy Summary and Buyer's Guide.
Which type of plan would be most appropriate for an individual on Medicare who is concerned that
Medicare will NOT pay or cover charges exceeding the approved amount?
✔️ Medicare Supplement Plan F.
Which of the following is present when an applicant stands to lose value if the insured dies?
✔️ Insurable interest.
What is the primary factor that determines the benefits paid under a disability income policy?
✔️ Wages.
Suitability is best described as:
✔️ obtaining information from the applicant to determine whether an insurance or annuity product is
appropriate.
How does one become eligible for Part D: Prescription Drug coverage?
✔️ Must have Medicare coverage.
Fixed annuities provide each of the following EXCEPT
✔️ Hedge against inflation.
Which of these riders will pay a death benefit if the insured's spouse dies?
✔️ Family term insurance rider.
Loss of income insurance provides
✔️ an individual the means to replace wages.
, After ___ year(s) from date of issue, an individual health insurance policy can no longer be cancelled by
the insurer for misstatements (except for fraud).
✔️ 2.
Which of the following is included in the entire contract according to the entire contract provision?
✔️ Application.
A person who is a nonsmoker, of average weight, and in excellent health would most likely be in which
risk classification?
✔️ Preferred.
When a Medicare Supplement insurance policy is being replaced, who must sign the notice of
replacement?
✔️ The agent and the applicant.
Which of the following actions may an insurance company NOT do in a health policy that contains a
guaranteed renewable premium benefit?
✔️ Increase the premiums on an individual basis.
The premium payment mode that results in the highest overall cost would be:
✔️ Monthly.
Disability income plans which require that the insurer can NEVER change or alter premium rates are
usually considered
✔️ Noncancellable.
The power given to an individual producer that is not specifically addressed in his/her contract is
considered what type of authority?
✔️ Implied.
Jonas is a whole life insurance policyholder and would like to add coverage for his two children. Which
of the following products would allow him to do this?
✔️ Child Term Rider.
Lisa has recently bought a fixed annuity. Which of these is considered a disadvantage of owning this type
of annuity?
✔️ During periods of inflation, annuitants will experience a decrease in purchasing power of their
payments.
In contrast to a guaranteed renewable policy, a noncancellable policy
✔️ may never raise premiums.
What is implied authority defined as?
✔️ Authority that is not specifically given to an agent in the agency contract, but that an agent can
reasonably assume to carry out his/her duties.
A disability income policy can prevent an insured from earning a higher income than if he/she were
working by utilizing
✔️ benefit limits.
An indemnity plan limitation that will pay dental bills after a small amount is paid by the insured is called
✔️ coinsurance.
The entire contract provision includes all of the following EXCEPT the
✔️ Changes made by the agent.
Converting a group plan to permanent life insurance requires
✔️ the conversion being applied for within 31 days of termination.
,An agent who sells an individual life insurance policy in New York MUST deliver to the policyholder a(n)
✔️ Policy Summary and Buyer's Guide.
Which type of plan would be most appropriate for an individual on Medicare who is concerned that
Medicare will NOT pay or cover charges exceeding the approved amount?
✔️ Medicare Supplement Plan F.
Which of the following is present when an applicant stands to lose value if the insured dies?
✔️ Insurable interest.
What is the primary factor that determines the benefits paid under a disability income policy?
✔️ Wages.
Suitability is best described as:
✔️ obtaining information from the applicant to determine whether an insurance or annuity product is
appropriate.
How does one become eligible for Part D: Prescription Drug coverage?
✔️ Must have Medicare coverage.
Fixed annuities provide each of the following EXCEPT
✔️ Hedge against inflation.
Which of these riders will pay a death benefit if the insured's spouse dies?
✔️ Family term insurance rider.
Loss of income insurance provides
✔️ an individual the means to replace wages.
, After ___ year(s) from date of issue, an individual health insurance policy can no longer be cancelled by
the insurer for misstatements (except for fraud).
✔️ 2.
Which of the following is included in the entire contract according to the entire contract provision?
✔️ Application.
A person who is a nonsmoker, of average weight, and in excellent health would most likely be in which
risk classification?
✔️ Preferred.
When a Medicare Supplement insurance policy is being replaced, who must sign the notice of
replacement?
✔️ The agent and the applicant.
Which of the following actions may an insurance company NOT do in a health policy that contains a
guaranteed renewable premium benefit?
✔️ Increase the premiums on an individual basis.
The premium payment mode that results in the highest overall cost would be:
✔️ Monthly.
Disability income plans which require that the insurer can NEVER change or alter premium rates are
usually considered
✔️ Noncancellable.
The power given to an individual producer that is not specifically addressed in his/her contract is
considered what type of authority?
✔️ Implied.
