Pearson Vue Health Insurance Practice Test
Pearson Vue Health Insurance Practice Test
Questions & Answers
Question 1
A producer and an applicant complete an application for a health policy and submit it
to the insurer for underwriting without any premium. The underwriter issues a policy
and mails it to the producer for delivery to the applicant. The producer should take all
of the following actions during the delivery of the policy to the applicant EXCEPT:
A. collect the initial premium payment
B. issue a conditional receipt
C. have the applicant complete a statement of continued good health
D. explain the Free Look provision which begins on the policy delivery date
Correct Answer
issue a conditional receipt
Question 2
Which of the following types of provisions guarantees renewability to a specified date
or age unless certain specified events occur?
A. Noncancellable
B. Optionally Renewable
C. Guaranteed Renewable
D. Conditionally Renewable
Correct Answer
Conditionally Renewable
Page 1 of 20
, Pearson Vue Health Insurance Practice Test
Question 3
An individual who has had a heart murmur since birth is likely to be issued an
individual disability policy that includes:
A. a Guaranteed Insurability rider
B. an Exclusionary/ Impairment rider
c. a Waiver of Premium rider
D. a Double Indemnity rider
Correct Answer
an Exclusionary/ Impairment rider
Question 4
Which of the following reports may include information obtained by a telephone call
to the proposed insured?
A. Medical Information Bureau (MIB) report
B. Attending physician's report
C. inspection report
D. Precertification Review
Correct Answer
inspection report
Question 5
A 68 year-old employee that is covered by a group medical insurance plan has
medical expenses. The employee's company health plan is the:
A. Ancillary payor
B. Primary payor
C. Renewable davor
D. Secondary payor
Correct Answer
Primary payor
Page 2 of 20
, Pearson Vue Health Insurance Practice Test
Question 6
Medicare Supplement policies are primarily designed to:
A. offset the high cost of Medicare
B. provide additional retirement income to supplement Social Security retirement
benefits
C. provide additional benefits beyond those provided by Medicare
D. provide a reinsurance network that spreads the Medicare risk among private
insurance companies
Correct Answer
provide additional benefits beyond those provided by Medicare
Question 7
In an Accidental Death and Dismemberment (AD&D) policy, capital sum refers to:
A. the benefit paid for death caused by a dread disease
B. a lump sum payment made for an accidental dismemberment
C. a lump sum payment made when disease causes the amputation of an arm or a lea
D. the monthly disability income paid if an insured loses a limb or the sight in one or
both eves
Correct Answer
a lump sum payment made for an accidental dismemberment
Question 8
The Coordination of Benefits clause found in group health master contracts is used to:
A. integrate Disability Income benefits with Major Medical benefits
B. avoid double payment of benefits to an insured who has duplicate group
coverages
C. investigate the claims history of an insured
D. avoid duplicate claims to an employer for the same employee
Correct Answer
avoid double payment of benefits to an insured who has duplicate group
Page 3 of 20
Pearson Vue Health Insurance Practice Test
Questions & Answers
Question 1
A producer and an applicant complete an application for a health policy and submit it
to the insurer for underwriting without any premium. The underwriter issues a policy
and mails it to the producer for delivery to the applicant. The producer should take all
of the following actions during the delivery of the policy to the applicant EXCEPT:
A. collect the initial premium payment
B. issue a conditional receipt
C. have the applicant complete a statement of continued good health
D. explain the Free Look provision which begins on the policy delivery date
Correct Answer
issue a conditional receipt
Question 2
Which of the following types of provisions guarantees renewability to a specified date
or age unless certain specified events occur?
A. Noncancellable
B. Optionally Renewable
C. Guaranteed Renewable
D. Conditionally Renewable
Correct Answer
Conditionally Renewable
Page 1 of 20
, Pearson Vue Health Insurance Practice Test
Question 3
An individual who has had a heart murmur since birth is likely to be issued an
individual disability policy that includes:
A. a Guaranteed Insurability rider
B. an Exclusionary/ Impairment rider
c. a Waiver of Premium rider
D. a Double Indemnity rider
Correct Answer
an Exclusionary/ Impairment rider
Question 4
Which of the following reports may include information obtained by a telephone call
to the proposed insured?
A. Medical Information Bureau (MIB) report
B. Attending physician's report
C. inspection report
D. Precertification Review
Correct Answer
inspection report
Question 5
A 68 year-old employee that is covered by a group medical insurance plan has
medical expenses. The employee's company health plan is the:
A. Ancillary payor
B. Primary payor
C. Renewable davor
D. Secondary payor
Correct Answer
Primary payor
Page 2 of 20
, Pearson Vue Health Insurance Practice Test
Question 6
Medicare Supplement policies are primarily designed to:
A. offset the high cost of Medicare
B. provide additional retirement income to supplement Social Security retirement
benefits
C. provide additional benefits beyond those provided by Medicare
D. provide a reinsurance network that spreads the Medicare risk among private
insurance companies
Correct Answer
provide additional benefits beyond those provided by Medicare
Question 7
In an Accidental Death and Dismemberment (AD&D) policy, capital sum refers to:
A. the benefit paid for death caused by a dread disease
B. a lump sum payment made for an accidental dismemberment
C. a lump sum payment made when disease causes the amputation of an arm or a lea
D. the monthly disability income paid if an insured loses a limb or the sight in one or
both eves
Correct Answer
a lump sum payment made for an accidental dismemberment
Question 8
The Coordination of Benefits clause found in group health master contracts is used to:
A. integrate Disability Income benefits with Major Medical benefits
B. avoid double payment of benefits to an insured who has duplicate group
coverages
C. investigate the claims history of an insured
D. avoid duplicate claims to an employer for the same employee
Correct Answer
avoid double payment of benefits to an insured who has duplicate group
Page 3 of 20
