214 Florida Insurance Test Questions with 100% Verified
Answers Graded A+
Which type of insurance protects an agent and to guarantee that his policy will continue without
even pays claims if a lawsuit is brought against further commitment from him and that income will
the agent as a result of failing to provide a be paid to him if he becomes totally and
service to a client? - ANSWER -Errors and permanently disabled? - ANSWER -Waiver
Omissions Insurance of premium and Disability Income Riders
Which of the following terms is known as the In a contributory group plan, what percentage of
voluntary relinquishment of a given right or eligible employees must be covered? -
privilege? - ANSWER -Waiver ANSWER -75%
This Supreme Court case placed the regulation Which statement regarding annuities is
of insurance within the authority of the federal CORRECT? - ANSWER -Variable annuity
government by defining insurance as a form of units are fixed but the annuity payment will vary
interstate commerce? - ANSWER -United according to the value of the annuity unit.
States v. Southeastern Underwriters Association
(1944)
In order to be considered currently insured and
thus eligible for limited survivor benefits from
Tim was just hired today by MAB INC and wants Social Security, a worker must have earned ___
to join the company's group insurance policy. credits during the 13-quarter period ending with
What period of time is he currently in and when the quarter in which the worker died. -
can he join the plan? - ANSWER - ANSWER -6
Probationary period, he can sign up after 90
days
Social security is also known as: -
ANSWER -Old Age Survivors and Disability
If Justin submitted an initial premium with his life Insurance (OASDI)
insurance application, was provided a conditional
receipt by the insurance company and was
ultimately issued a policy as applied for, when Insurance is not intended to protect against? -
would his insurance policy be considered in ANSWER -Speculative Risk
force? - ANSWER -The date of his
application or the day he completed any required
medical exam Under a family plan life insurance policy,
coverage on the breadwinner is often provided by
which of the following insurance types? -
When dividends are issued, the policyowner has ANSWER -Whole Life
the following dividend options in utilizing a return
EXCEPT: - ANSWER -Life Income Option
Which of the following statements regarding
annuity settlement or payout options is NOT
Which two life insurance riders can Bill purchase true? - ANSWER -If the annuitant dies
, 214 Florida Insurance Test Questions with 100% Verified
Answers Graded A+
before the principal sum is depleted, the Refund the recommendation on an approved form, which
Life Annuity Option will pay the entire annuity upon completion, must be signed by the applicant
amount to the beneficiary in a lump sum payment and agent. Within what period of time must an
or over scheduled installments. agent submit this form to the insurer once it is
complete? - ANSWER -Within 10 days
The following statements regarding 401(k)
retirement plans are correct EXCEPT: - Shelly is considered to be terminally ill and has
ANSWER -Plans rarely have a matching decided to sell her life insurance policy in
contribution component by an employer exchange for living benefits to fulfill some final
comforts and expenses before her death. In
selling her life insurance policy, Shelly is referred
All of the statements below pertaining to group to as a(n)_________and she will receive a
life insurance are correct EXCEPT: - percentage of her life policy's face amount in
ANSWER -If the insurance coverage is less exchange for ownership of her policy. -
than $75,000, employees do not have to report ANSWER -Viator
the employer-paid premiums as income
Which of the following is NOT a type of
According to Florida Statues, entering into any speculative risk? - ANSWER -
agreement to commit any act of intimidation Unemployment
resulting in the business of insurance is known
as: - ANSWER -Coercion
Which agency collects and provides reliable
medical information regarding an applicant's
William, age 67, has owned his life insurance health history? - ANSWER -The MIB
policy for the past 15 years and has mailed his
monthly premiums to his life insurance company.
Last month he failed to mail the monthly payment Tonya failed to pay her life policy's premium on
on his premium due date as well as during his the date in which it is normally due and is
policy's grace period. As a result, which of the currently 23 days late. As a result of her policy's
following scenarios will MOST likely occur? - grace period provision, which outcome will
ANSWER -The insurer will provide occur? - ANSWER -Tonya is within her
notification of impending lapse in coverage, and grace period and can pay her premium up to 30
allow at least 21 additional days beyond the or 31 days after the date in which the premium is
grace period to make a payment to prevent the normally due; however, she does not need to pay
policy from lapse back any outstanding loans to the insurer.
Before executing an exchange of an annuity Which type of E&O policy provides permanent
contract resulting from a recommendation to a coverage for the actions of an agent during which
senior consumer, an insurance agent should time he or she was covered under such policy,
make reasonable efforts to obtain information regardless of when a lawsuit is filed against the
from the applicant concerning the suitability of agent? - ANSWER -Occurrence Policy
Answers Graded A+
Which type of insurance protects an agent and to guarantee that his policy will continue without
even pays claims if a lawsuit is brought against further commitment from him and that income will
the agent as a result of failing to provide a be paid to him if he becomes totally and
service to a client? - ANSWER -Errors and permanently disabled? - ANSWER -Waiver
Omissions Insurance of premium and Disability Income Riders
Which of the following terms is known as the In a contributory group plan, what percentage of
voluntary relinquishment of a given right or eligible employees must be covered? -
privilege? - ANSWER -Waiver ANSWER -75%
This Supreme Court case placed the regulation Which statement regarding annuities is
of insurance within the authority of the federal CORRECT? - ANSWER -Variable annuity
government by defining insurance as a form of units are fixed but the annuity payment will vary
interstate commerce? - ANSWER -United according to the value of the annuity unit.
States v. Southeastern Underwriters Association
(1944)
In order to be considered currently insured and
thus eligible for limited survivor benefits from
Tim was just hired today by MAB INC and wants Social Security, a worker must have earned ___
to join the company's group insurance policy. credits during the 13-quarter period ending with
What period of time is he currently in and when the quarter in which the worker died. -
can he join the plan? - ANSWER - ANSWER -6
Probationary period, he can sign up after 90
days
Social security is also known as: -
ANSWER -Old Age Survivors and Disability
If Justin submitted an initial premium with his life Insurance (OASDI)
insurance application, was provided a conditional
receipt by the insurance company and was
ultimately issued a policy as applied for, when Insurance is not intended to protect against? -
would his insurance policy be considered in ANSWER -Speculative Risk
force? - ANSWER -The date of his
application or the day he completed any required
medical exam Under a family plan life insurance policy,
coverage on the breadwinner is often provided by
which of the following insurance types? -
When dividends are issued, the policyowner has ANSWER -Whole Life
the following dividend options in utilizing a return
EXCEPT: - ANSWER -Life Income Option
Which of the following statements regarding
annuity settlement or payout options is NOT
Which two life insurance riders can Bill purchase true? - ANSWER -If the annuitant dies
, 214 Florida Insurance Test Questions with 100% Verified
Answers Graded A+
before the principal sum is depleted, the Refund the recommendation on an approved form, which
Life Annuity Option will pay the entire annuity upon completion, must be signed by the applicant
amount to the beneficiary in a lump sum payment and agent. Within what period of time must an
or over scheduled installments. agent submit this form to the insurer once it is
complete? - ANSWER -Within 10 days
The following statements regarding 401(k)
retirement plans are correct EXCEPT: - Shelly is considered to be terminally ill and has
ANSWER -Plans rarely have a matching decided to sell her life insurance policy in
contribution component by an employer exchange for living benefits to fulfill some final
comforts and expenses before her death. In
selling her life insurance policy, Shelly is referred
All of the statements below pertaining to group to as a(n)_________and she will receive a
life insurance are correct EXCEPT: - percentage of her life policy's face amount in
ANSWER -If the insurance coverage is less exchange for ownership of her policy. -
than $75,000, employees do not have to report ANSWER -Viator
the employer-paid premiums as income
Which of the following is NOT a type of
According to Florida Statues, entering into any speculative risk? - ANSWER -
agreement to commit any act of intimidation Unemployment
resulting in the business of insurance is known
as: - ANSWER -Coercion
Which agency collects and provides reliable
medical information regarding an applicant's
William, age 67, has owned his life insurance health history? - ANSWER -The MIB
policy for the past 15 years and has mailed his
monthly premiums to his life insurance company.
Last month he failed to mail the monthly payment Tonya failed to pay her life policy's premium on
on his premium due date as well as during his the date in which it is normally due and is
policy's grace period. As a result, which of the currently 23 days late. As a result of her policy's
following scenarios will MOST likely occur? - grace period provision, which outcome will
ANSWER -The insurer will provide occur? - ANSWER -Tonya is within her
notification of impending lapse in coverage, and grace period and can pay her premium up to 30
allow at least 21 additional days beyond the or 31 days after the date in which the premium is
grace period to make a payment to prevent the normally due; however, she does not need to pay
policy from lapse back any outstanding loans to the insurer.
Before executing an exchange of an annuity Which type of E&O policy provides permanent
contract resulting from a recommendation to a coverage for the actions of an agent during which
senior consumer, an insurance agent should time he or she was covered under such policy,
make reasonable efforts to obtain information regardless of when a lawsuit is filed against the
from the applicant concerning the suitability of agent? - ANSWER -Occurrence Policy
