TEXAS INSURANCE LICENSE EXAM 3 LATEST VERSIONS (VERSION A
B AND C) 2024-2025 ACTUAL EXAM COMPLETE 400 QUESTIONS AND
CORRECT DETAILED ANSWERS
Study online at https://quizlet.com/_fphvq6
All of the following are considered to be
typical characteristics describing the na- Bilateral
ture of an insurance contract, EXCEPT
A domestic insurance company in Texas
is incorporated and formed in Texas
is considered a company that?
A certificate of
permits an insurance company to trans- authority
act business in Texas.
Which of the following BEST describes
how a Preferred Provider Organization
More physicians to choose from
(PPO) is less restrictive than a Health
Maintenance Organization (HMO)?
What type of annuity has a cash value
that is based upon the performance of it's variable
underlying investment funds?
When an insured changes to a more haz-
ardous occupation, which disability poli-
Change of occupation provision
cy provision allows an insurer to adjust
policy benefits and rates?
A plan through the Marketplace may be Any legal resident (except those impris-
purchased by oned)
A license may be denied, suspended, or is found guilty of misrepresentation in ob-
revoked if the licensee? taining the license
covers business expenses such as rent
A Business Overhead Expense policy
and utilities
The policy provision that entitles the in-
surer to establish conditions the insured Time Limit on Certain Defenses
must meet while a claim is pending is
T is the policyowner for a Life Insur-
ance policy with an Irrevocable benefi-
ciary designation, If T wishes to change beneficiary
the beneficiary, T must obtain permission
from the
, TEXAS INSURANCE LICENSE EXAM 3 LATEST VERSIONS (VERSION A
B AND C) 2024-2025 ACTUAL EXAM COMPLETE 400 QUESTIONS AND
CORRECT DETAILED ANSWERS
Study online at https://quizlet.com/_fphvq6
The individual Health Insurance policy
that offers the broadest protection is a(n) major medical
policy
When an insurance application is taken
Any changes made on the application
by a producer, which of these statements
require the applicant's initials
is true?
Term Life Policies that have the ability
to be converted to permanent coverage
varies according to the contract
may do so during a specific time period.
This conversion period
A Disability Income policy that only the
policyowner can terminate and which the noncancellable
rates will never go up is considered to be
An insurer exaggerating its dividends in
An example of false advertising would be
a magazine advertisement
B has a $100,000 Accidental Death and
Dismemberment policy that pays triple
indemnity for common carrier death. If
$300,000
B is killed from an accident on a com-
mercial flight, what will the policy pay B's
beneficiary?
Which of the following is an example of a
reduced paid-up option
nonforfeiture option?
An applicant MUST receive an Outline of
Coverage when an application is taken Medicare Supplement policy
for a(n)
Which mode of payment is NOT used by
Single Premium
health insurance policies?
What type of life policy covers two peo-
ple and pays upon the death of the last survivorship
insured?
During a sales presentation for a par-
make a prospect understand that divi-
ticipating life insurance policy, an agent
dends are NOT guaranteed
MUST
, TEXAS INSURANCE LICENSE EXAM 3 LATEST VERSIONS (VERSION A
B AND C) 2024-2025 ACTUAL EXAM COMPLETE 400 QUESTIONS AND
CORRECT DETAILED ANSWERS
Study online at https://quizlet.com/_fphvq6
What is the elimination period of an indi- Time period a disabled person must wait
vidual disability policy? before benefits are paid
When is the face amount of a Whole Life When the insured dies or at the policy's
policy paid? maturity date, whichever happens first
Which of the following statements BEST
An insured must wait at least 60 days
describes what the Legal Actions provi-
after Proof of Loss has been submitted
sion of an Accident and
before a lawsuit can be filed
Health policy requires?
Medicare is intended for all of the follow-
Those enrolled as a full-time student
ing groups, EXCEPT:
When a person returns to work after a
period of total disability but cannot earn
as much as he or she did before the Residual disability
disability, this situation is called which of
the following?
At what point does an informal agree- When consideration is provided by one
ment become a binding contract? of the parties to the contract
An employee of 20 years recently retired
converted to an individual permanent
at age 59 1/2. This employee's group life
policy at an individual rate
contract can be:
How long can a cash surrender value
payment be deferred by the insurance 6 months
company under the Nonforfeiture Law?
The provision in a health insurance poli-
cy that suspends premiums being paid to
Waiver of Premium
the insurer while the insured is disabled
is called the:
Additional coverage can be added to a
decreasing term rider
Whole Life policy by adding a(n):
K pays on a $20,000 20-Year Endow-
ment policy for 10 years and dies from
an automobile accident. $20,000 death benefit
How much will the insurance company
pay the beneficiary?
B AND C) 2024-2025 ACTUAL EXAM COMPLETE 400 QUESTIONS AND
CORRECT DETAILED ANSWERS
Study online at https://quizlet.com/_fphvq6
All of the following are considered to be
typical characteristics describing the na- Bilateral
ture of an insurance contract, EXCEPT
A domestic insurance company in Texas
is incorporated and formed in Texas
is considered a company that?
A certificate of
permits an insurance company to trans- authority
act business in Texas.
Which of the following BEST describes
how a Preferred Provider Organization
More physicians to choose from
(PPO) is less restrictive than a Health
Maintenance Organization (HMO)?
What type of annuity has a cash value
that is based upon the performance of it's variable
underlying investment funds?
When an insured changes to a more haz-
ardous occupation, which disability poli-
Change of occupation provision
cy provision allows an insurer to adjust
policy benefits and rates?
A plan through the Marketplace may be Any legal resident (except those impris-
purchased by oned)
A license may be denied, suspended, or is found guilty of misrepresentation in ob-
revoked if the licensee? taining the license
covers business expenses such as rent
A Business Overhead Expense policy
and utilities
The policy provision that entitles the in-
surer to establish conditions the insured Time Limit on Certain Defenses
must meet while a claim is pending is
T is the policyowner for a Life Insur-
ance policy with an Irrevocable benefi-
ciary designation, If T wishes to change beneficiary
the beneficiary, T must obtain permission
from the
, TEXAS INSURANCE LICENSE EXAM 3 LATEST VERSIONS (VERSION A
B AND C) 2024-2025 ACTUAL EXAM COMPLETE 400 QUESTIONS AND
CORRECT DETAILED ANSWERS
Study online at https://quizlet.com/_fphvq6
The individual Health Insurance policy
that offers the broadest protection is a(n) major medical
policy
When an insurance application is taken
Any changes made on the application
by a producer, which of these statements
require the applicant's initials
is true?
Term Life Policies that have the ability
to be converted to permanent coverage
varies according to the contract
may do so during a specific time period.
This conversion period
A Disability Income policy that only the
policyowner can terminate and which the noncancellable
rates will never go up is considered to be
An insurer exaggerating its dividends in
An example of false advertising would be
a magazine advertisement
B has a $100,000 Accidental Death and
Dismemberment policy that pays triple
indemnity for common carrier death. If
$300,000
B is killed from an accident on a com-
mercial flight, what will the policy pay B's
beneficiary?
Which of the following is an example of a
reduced paid-up option
nonforfeiture option?
An applicant MUST receive an Outline of
Coverage when an application is taken Medicare Supplement policy
for a(n)
Which mode of payment is NOT used by
Single Premium
health insurance policies?
What type of life policy covers two peo-
ple and pays upon the death of the last survivorship
insured?
During a sales presentation for a par-
make a prospect understand that divi-
ticipating life insurance policy, an agent
dends are NOT guaranteed
MUST
, TEXAS INSURANCE LICENSE EXAM 3 LATEST VERSIONS (VERSION A
B AND C) 2024-2025 ACTUAL EXAM COMPLETE 400 QUESTIONS AND
CORRECT DETAILED ANSWERS
Study online at https://quizlet.com/_fphvq6
What is the elimination period of an indi- Time period a disabled person must wait
vidual disability policy? before benefits are paid
When is the face amount of a Whole Life When the insured dies or at the policy's
policy paid? maturity date, whichever happens first
Which of the following statements BEST
An insured must wait at least 60 days
describes what the Legal Actions provi-
after Proof of Loss has been submitted
sion of an Accident and
before a lawsuit can be filed
Health policy requires?
Medicare is intended for all of the follow-
Those enrolled as a full-time student
ing groups, EXCEPT:
When a person returns to work after a
period of total disability but cannot earn
as much as he or she did before the Residual disability
disability, this situation is called which of
the following?
At what point does an informal agree- When consideration is provided by one
ment become a binding contract? of the parties to the contract
An employee of 20 years recently retired
converted to an individual permanent
at age 59 1/2. This employee's group life
policy at an individual rate
contract can be:
How long can a cash surrender value
payment be deferred by the insurance 6 months
company under the Nonforfeiture Law?
The provision in a health insurance poli-
cy that suspends premiums being paid to
Waiver of Premium
the insurer while the insured is disabled
is called the:
Additional coverage can be added to a
decreasing term rider
Whole Life policy by adding a(n):
K pays on a $20,000 20-Year Endow-
ment policy for 10 years and dies from
an automobile accident. $20,000 death benefit
How much will the insurance company
pay the beneficiary?
