MICHIGAN LIFE AND HEALTH FINAL TEST EXAM AND PRACTICE EXAM
QUESTIONS 2025 CURRENTLY TESTING COMPLETE EXAM QUESTIONS
WITH DETAILED VERIFIED ANSWERS (100% CORRECT ANSWERS)
/ALREADY GRADED A+
What amount will be paid under a policy where the insured misstated his/her
age? - ANSWER an amount the premium would have purchased at the correct age
the acceptance of a credit life application requires the submission of a certificate
of insurance to the insured within_____ days - ANSWER 30 days
which of these is considered to be a Living benefit option in a life insurance policy
- ANSWER Accelerated death benefit
loans obtained by a policy owner against the cash value of a life insurance policy -
ANSWER would not be treated as taxable income
A long term care policy typically provides all of the following levels of care EXCEPT
acute care
the elimination period under a hospital indemnity plan is - ANSWER the specific #
of days an insured must wait before becoming eligible to receive benefits for each
hospitalization
what is an insurance policy's grace period? - ANSWER Period of time after the
premium is due but the policy remains in force
How do interest earnings accumulate in a deferred annuity - ANSWER On a tax-
deferred basis
a licensee who is required to take continuing education Must include how many
ethics coursework hours - ANSWER 3
,the automatic premium loan provision authorizes an insurer to withdraw from a
policy's cash value the amount of - ANSWER Past due premiums that have not
been paid by the end of the grace period
health insurance involves two perils, accident and ______ - ANSWER sickness
Who is responsible for assembling the policy forms for insureds - ANSWER
Insurance carriers
a securities license is required for a life insurance producer to sell - ANSWER
variable life insurance
Which of the following is NOT an illegal inducement - ANSWER giving the insured
an article of merchandise printed with the producers name costing 5$
Which of the following is NOT a federal requirement of a qualified plan? -
ANSWER employee must be able to make unlimited contributions
Which dividend option would an insurer invest the policy owner's money and add
any interest earnings as the dividends accrue? - ANSWER Accumulation at interest
option
a health insurance policy will typically cover - ANSWER preventative health
services
a life insurance policy owner was injured in a car accident which results in a total
and permanent disability. which rider would pay a monthly amount because of
this disability? - ANSWER Disability income rider
in addition to the actual policy, an entire contract includes which of the following?
- ANSWER the application
, field underwriting preformed by the producer involves - ANSWER completing the
application and collecting initial premium
Kathy pays a monthly premium on her health insurance policy. How long is her
grace period? - ANSWER 10 days
Pierre is covered by his employer's group major medical plan. His employer pays
for 75% of the premium and he pays for 25%. How much would a $10,000 benefit
be taxable as income under this plan? - ANSWER 0$
-benefits that fall under a major medical plan are considered to be a
reimbursement for a loss, and is not taxable as income
After an insured gives notice of loss, what must he/she do if the insurer does not
furnish forms? - ANSWER file a written proof of loss
Under long term care insurance, which of the following MUST an insurer offer to
each policy owner at the time of purchase? - ANSWER An inflation protection
feature
What is the primary factor that determines the benefits paid under a disability
income policy? - ANSWER Wages
What is the tax liability for employer contributions in Health Savings Accounts
(HSA's)? - ANSWER No tax payment needed
-Employer paid contributions to HSA's are tax free to the employee
In the state of MI, properly filed health claims are not timely paid require the
insurer to pay simple interest from a date 60 days from satisfactory proof of loss at
the rate of? - ANSWER 12% annum
QUESTIONS 2025 CURRENTLY TESTING COMPLETE EXAM QUESTIONS
WITH DETAILED VERIFIED ANSWERS (100% CORRECT ANSWERS)
/ALREADY GRADED A+
What amount will be paid under a policy where the insured misstated his/her
age? - ANSWER an amount the premium would have purchased at the correct age
the acceptance of a credit life application requires the submission of a certificate
of insurance to the insured within_____ days - ANSWER 30 days
which of these is considered to be a Living benefit option in a life insurance policy
- ANSWER Accelerated death benefit
loans obtained by a policy owner against the cash value of a life insurance policy -
ANSWER would not be treated as taxable income
A long term care policy typically provides all of the following levels of care EXCEPT
acute care
the elimination period under a hospital indemnity plan is - ANSWER the specific #
of days an insured must wait before becoming eligible to receive benefits for each
hospitalization
what is an insurance policy's grace period? - ANSWER Period of time after the
premium is due but the policy remains in force
How do interest earnings accumulate in a deferred annuity - ANSWER On a tax-
deferred basis
a licensee who is required to take continuing education Must include how many
ethics coursework hours - ANSWER 3
,the automatic premium loan provision authorizes an insurer to withdraw from a
policy's cash value the amount of - ANSWER Past due premiums that have not
been paid by the end of the grace period
health insurance involves two perils, accident and ______ - ANSWER sickness
Who is responsible for assembling the policy forms for insureds - ANSWER
Insurance carriers
a securities license is required for a life insurance producer to sell - ANSWER
variable life insurance
Which of the following is NOT an illegal inducement - ANSWER giving the insured
an article of merchandise printed with the producers name costing 5$
Which of the following is NOT a federal requirement of a qualified plan? -
ANSWER employee must be able to make unlimited contributions
Which dividend option would an insurer invest the policy owner's money and add
any interest earnings as the dividends accrue? - ANSWER Accumulation at interest
option
a health insurance policy will typically cover - ANSWER preventative health
services
a life insurance policy owner was injured in a car accident which results in a total
and permanent disability. which rider would pay a monthly amount because of
this disability? - ANSWER Disability income rider
in addition to the actual policy, an entire contract includes which of the following?
- ANSWER the application
, field underwriting preformed by the producer involves - ANSWER completing the
application and collecting initial premium
Kathy pays a monthly premium on her health insurance policy. How long is her
grace period? - ANSWER 10 days
Pierre is covered by his employer's group major medical plan. His employer pays
for 75% of the premium and he pays for 25%. How much would a $10,000 benefit
be taxable as income under this plan? - ANSWER 0$
-benefits that fall under a major medical plan are considered to be a
reimbursement for a loss, and is not taxable as income
After an insured gives notice of loss, what must he/she do if the insurer does not
furnish forms? - ANSWER file a written proof of loss
Under long term care insurance, which of the following MUST an insurer offer to
each policy owner at the time of purchase? - ANSWER An inflation protection
feature
What is the primary factor that determines the benefits paid under a disability
income policy? - ANSWER Wages
What is the tax liability for employer contributions in Health Savings Accounts
(HSA's)? - ANSWER No tax payment needed
-Employer paid contributions to HSA's are tax free to the employee
In the state of MI, properly filed health claims are not timely paid require the
insurer to pay simple interest from a date 60 days from satisfactory proof of loss at
the rate of? - ANSWER 12% annum
