MISSOURI LIFE AND HEALTH INSURANCE EVALUATON TEST
2025/2026 QUESTIONS WITH SOLUTION GRADED A+
✔✔What must the policyowner provide to the insurer for validation that a loss has
occured? - ✔✔Proof of Loss
✔✔Insureds in the same risk classification are being charged different premiums by an
insurance company. This insurer is committing the illegal act of - ✔✔Unfair
Discrimination
✔✔A whole life insurance policyowner does not wish to continue making premium
payments. Which of the following enables the policyowner to sell the policy for more
than its cash value - ✔✔Life Settlement contract
✔✔A major medical policy typically: - ✔✔Provides benefits for reasonable and
necessary medical expenses, subject to policy liits.
✔✔The clause in an Accident and Health policy which defines the benefit amounts the
insurer will pay is called the: - ✔✔Insuring Clause
✔✔What action can a policyowner take if an application for a bank loan requires
collateral? - ✔✔Assign policy ownership to the bank
✔✔A policyowner's rights are limited under which beneficiary designation? -
✔✔Irrevocable
✔✔Which of the following BEST describes how pre-admission certification is used? -
✔✔Used to prevent nonessential medical costs
✔✔An insurance company normally has 2 years to contest information provided on an
accident and health application. This 2 year period begins on the date that the: -
✔✔Insurer dates the policy
✔✔Which of these is considered an unfair trade practice? - ✔✔A producer stating that a
policy's dividends are guaranteed
✔✔Which of these statements regarding health coverage for physically handicapped
dependents is FALSE? - ✔✔The dependent must have been over ten years of age
when the handicap was incurred
✔✔Under which circumstance MUST a health insurer have an expedited grievance
review procedure? - ✔✔When the enrollee's life or health is jeapordized
, ✔✔Which of the following types of organizations are prepaid group health plans, where
members pay in advance for the services of participating physicians and hospitals that
have agreements? - ✔✔HMO
✔✔A producer is circulating incorrect information about the benefits of a policy. This
producer may be found guilty of - ✔✔Misrepresentation
✔✔Why is an applicant's signature required on a life insurance application? - ✔✔To
attest that the statements on the application are accurate to the best of the applicant's
knowledge
✔✔The option that provides an additional death benefit for a limited amount of time at
the lowest possible cost is called a(n): - ✔✔Accidental Death and Dismemberment rider
(AD&D)
✔✔The ___ is authorized to assign a Life Insurance policy as collateral for a loan. -
✔✔Policyowner
✔✔In regards to representations or warranties, which of these statements is TRUE? -
✔✔If material to the risk, false representations will void a policy.
✔✔Which of the following is considered to be the time period after a Health Policy is
issued, during which no benefits are provided for illness? - ✔✔Probationary Period
✔✔A life policy loan in Missouri cannot charge a fixed rate of interest higher than -
✔✔8%
✔✔P purchases a $50,000 whole life insurance policy in 2005. One of the questions on
the application asks if P engages in scuba diving, to which P answers "No". The policy
is then issued with no scuba exclusions..... - ✔✔$50,000 minus any outstanding policy
loans
✔✔S is employed by a large corporation that provides group health coverage for its
employees and their dependents. If S dies, the company must allow his surviving
spouse and dependents to continue their group health coverage for a maximum of how
many months under COBRA regulations? - ✔✔36 months
✔✔The percentage of an individual's Primary Insurance Amount (PIA) determines the
benefits paid in which of the following programs - ✔✔Social Security Disability Income
✔✔When a misrepresentation on a life insurance policy application is discovered, what
action may an insurance company take? - ✔✔Void the policy only if it is discovered
during the Contestable period and proven to be material
2025/2026 QUESTIONS WITH SOLUTION GRADED A+
✔✔What must the policyowner provide to the insurer for validation that a loss has
occured? - ✔✔Proof of Loss
✔✔Insureds in the same risk classification are being charged different premiums by an
insurance company. This insurer is committing the illegal act of - ✔✔Unfair
Discrimination
✔✔A whole life insurance policyowner does not wish to continue making premium
payments. Which of the following enables the policyowner to sell the policy for more
than its cash value - ✔✔Life Settlement contract
✔✔A major medical policy typically: - ✔✔Provides benefits for reasonable and
necessary medical expenses, subject to policy liits.
✔✔The clause in an Accident and Health policy which defines the benefit amounts the
insurer will pay is called the: - ✔✔Insuring Clause
✔✔What action can a policyowner take if an application for a bank loan requires
collateral? - ✔✔Assign policy ownership to the bank
✔✔A policyowner's rights are limited under which beneficiary designation? -
✔✔Irrevocable
✔✔Which of the following BEST describes how pre-admission certification is used? -
✔✔Used to prevent nonessential medical costs
✔✔An insurance company normally has 2 years to contest information provided on an
accident and health application. This 2 year period begins on the date that the: -
✔✔Insurer dates the policy
✔✔Which of these is considered an unfair trade practice? - ✔✔A producer stating that a
policy's dividends are guaranteed
✔✔Which of these statements regarding health coverage for physically handicapped
dependents is FALSE? - ✔✔The dependent must have been over ten years of age
when the handicap was incurred
✔✔Under which circumstance MUST a health insurer have an expedited grievance
review procedure? - ✔✔When the enrollee's life or health is jeapordized
, ✔✔Which of the following types of organizations are prepaid group health plans, where
members pay in advance for the services of participating physicians and hospitals that
have agreements? - ✔✔HMO
✔✔A producer is circulating incorrect information about the benefits of a policy. This
producer may be found guilty of - ✔✔Misrepresentation
✔✔Why is an applicant's signature required on a life insurance application? - ✔✔To
attest that the statements on the application are accurate to the best of the applicant's
knowledge
✔✔The option that provides an additional death benefit for a limited amount of time at
the lowest possible cost is called a(n): - ✔✔Accidental Death and Dismemberment rider
(AD&D)
✔✔The ___ is authorized to assign a Life Insurance policy as collateral for a loan. -
✔✔Policyowner
✔✔In regards to representations or warranties, which of these statements is TRUE? -
✔✔If material to the risk, false representations will void a policy.
✔✔Which of the following is considered to be the time period after a Health Policy is
issued, during which no benefits are provided for illness? - ✔✔Probationary Period
✔✔A life policy loan in Missouri cannot charge a fixed rate of interest higher than -
✔✔8%
✔✔P purchases a $50,000 whole life insurance policy in 2005. One of the questions on
the application asks if P engages in scuba diving, to which P answers "No". The policy
is then issued with no scuba exclusions..... - ✔✔$50,000 minus any outstanding policy
loans
✔✔S is employed by a large corporation that provides group health coverage for its
employees and their dependents. If S dies, the company must allow his surviving
spouse and dependents to continue their group health coverage for a maximum of how
many months under COBRA regulations? - ✔✔36 months
✔✔The percentage of an individual's Primary Insurance Amount (PIA) determines the
benefits paid in which of the following programs - ✔✔Social Security Disability Income
✔✔When a misrepresentation on a life insurance policy application is discovered, what
action may an insurance company take? - ✔✔Void the policy only if it is discovered
during the Contestable period and proven to be material
