Final Exam-Michigan Life and Health / Actual Test
Questions with Detailed Verified Answers &
Rationales (Already Graded A+)
Terms in this set (242)
a 10% exercise tax is 7.5%
normally applied to an early
withdrawal from an IRA.
according to HIPAA, this tax
will not be applied If the
withdrawal is used for
medical expenses that
exceed__ of the individuals
adjusted gross income
ABC insurance agency is illegal inducement
entering each applicant who
purchases insurance through
their agency into a drawing
to win a free trip. this is an
unlawful insurance practice
known as
the acceptance of a credit life 30 days
application requires the
submission of a certificate of
insurance to the insured
within_____ days
Participation or contribution rules have been violated
According to Health
insurance portability and
accountability act (HIPAA)
when can a group health
policy renewal be denied
,According to HIPAA, when an is eligible for coverage upon hire
insured individual leaves an
employer and immediately
begins working for a new
company that offers group
health insurance, the
individual
According to the Michigan Submit to the replacing insurer a list of all Life Insurance
Insurance Code, which of the policies or annuity contracts proposed to be replaced
following MUST a producer
do when replacing a Life
Insurance Policy?
the act of using twisting
misrepresentation to
introduce an insured person
to terminate an existing
policy and purchase a new
policy is referred to as
After an insured gives notice file a written proof of loss
of loss, what must he/she do
if the insurer does not furnish
forms?
All of the following are Protecting the business by covering entry level employees with
considered appropriate uses life insurance
of life insurance for business
purposes
EXCEPT
Deferred Compensation
All of the following are
examples of a Business
Continuation Plan except
,all of the following are Primarily describes the free-look period
functions of an insuring
clause EXCEPT
all of the following producing an inadequate amount of a new premium
occurrences may result in
license revocation
EXCEPT
All of these are Elimination Periods
characteristics of a major
medical expense policy -The elimination period is the period of time between the
EXCEPT onset of a disability, and the time you are eligible for
benefits. It is typically a characteristic of disability policies,
not major medical expense policies.
all of these are common accidental death
exclusions to a life
insurance policy except
All of these are valid accumulate without interest
policy dividend options
for a life insurance
policyowner EXCEPT
All of these statements when a whole life policy is surrendered, income taxes may be
concerning whole life owed
insurance are false except
premiums paid plus interest earned is returned to the beneficiary
Andy the annuitant dies
before the annuity start
date. Which of the following
is a TRUE statement?
, An applicant intentionally fraud
lying to an insurance
company on an
application in order to obtain
a cheaper premium is an
example of rebating coercion
fraud twisting
An association wanting to have a legitimate non-insurance purpose
buy an insurance under a
group health plan MUST
An attending physician's At the request of the insurer to assist in the underwriting
statement would be decision
appropriate for which life
insurance purpose?
the automatic premium Past due premiums that have not been paid by the end of
loan provision authorizes an the grace period
insurer to withdraw from a
policy's cash value the
amount of
Barbra's policy includes a guaranteed insurability rider
rider which allows her to
purchase additional
insurance at specific dates or
events without evidence of
insurability. This rider is
called a(n)
duplicate medicare benefits
Benefits provided by a
medicare supplement
policy must NOT
Questions with Detailed Verified Answers &
Rationales (Already Graded A+)
Terms in this set (242)
a 10% exercise tax is 7.5%
normally applied to an early
withdrawal from an IRA.
according to HIPAA, this tax
will not be applied If the
withdrawal is used for
medical expenses that
exceed__ of the individuals
adjusted gross income
ABC insurance agency is illegal inducement
entering each applicant who
purchases insurance through
their agency into a drawing
to win a free trip. this is an
unlawful insurance practice
known as
the acceptance of a credit life 30 days
application requires the
submission of a certificate of
insurance to the insured
within_____ days
Participation or contribution rules have been violated
According to Health
insurance portability and
accountability act (HIPAA)
when can a group health
policy renewal be denied
,According to HIPAA, when an is eligible for coverage upon hire
insured individual leaves an
employer and immediately
begins working for a new
company that offers group
health insurance, the
individual
According to the Michigan Submit to the replacing insurer a list of all Life Insurance
Insurance Code, which of the policies or annuity contracts proposed to be replaced
following MUST a producer
do when replacing a Life
Insurance Policy?
the act of using twisting
misrepresentation to
introduce an insured person
to terminate an existing
policy and purchase a new
policy is referred to as
After an insured gives notice file a written proof of loss
of loss, what must he/she do
if the insurer does not furnish
forms?
All of the following are Protecting the business by covering entry level employees with
considered appropriate uses life insurance
of life insurance for business
purposes
EXCEPT
Deferred Compensation
All of the following are
examples of a Business
Continuation Plan except
,all of the following are Primarily describes the free-look period
functions of an insuring
clause EXCEPT
all of the following producing an inadequate amount of a new premium
occurrences may result in
license revocation
EXCEPT
All of these are Elimination Periods
characteristics of a major
medical expense policy -The elimination period is the period of time between the
EXCEPT onset of a disability, and the time you are eligible for
benefits. It is typically a characteristic of disability policies,
not major medical expense policies.
all of these are common accidental death
exclusions to a life
insurance policy except
All of these are valid accumulate without interest
policy dividend options
for a life insurance
policyowner EXCEPT
All of these statements when a whole life policy is surrendered, income taxes may be
concerning whole life owed
insurance are false except
premiums paid plus interest earned is returned to the beneficiary
Andy the annuitant dies
before the annuity start
date. Which of the following
is a TRUE statement?
, An applicant intentionally fraud
lying to an insurance
company on an
application in order to obtain
a cheaper premium is an
example of rebating coercion
fraud twisting
An association wanting to have a legitimate non-insurance purpose
buy an insurance under a
group health plan MUST
An attending physician's At the request of the insurer to assist in the underwriting
statement would be decision
appropriate for which life
insurance purpose?
the automatic premium Past due premiums that have not been paid by the end of
loan provision authorizes an the grace period
insurer to withdraw from a
policy's cash value the
amount of
Barbra's policy includes a guaranteed insurability rider
rider which allows her to
purchase additional
insurance at specific dates or
events without evidence of
insurability. This rider is
called a(n)
duplicate medicare benefits
Benefits provided by a
medicare supplement
policy must NOT
