CONNECTICUT LIFE AND HEALTH INSURANCE STANDARD
EXAM SHEET 2025/2026 QUESTIONS WITH SOLUTIONS
GRADED A+
✔✔Defined Contribution Plan - ✔✔- indicates amount of contribution from employer
without knowing the benefit
✔✔What is taxable in an IRA - ✔✔- both the contributions and the growth or earnings
✔✔How much can you contribute to an IRA - ✔✔100% of earnings or not to exceed
5,000
✔✔Until What age can you contribute to an IRA - ✔✔70.5
✔✔Group Insurance - ✔✔- consist of term life insurance or whole insurance
- the employer is the owner and receives the master contract
- the employees are cirtificate holders which outlines the details of it
- underwriting is much more liberal because its a large group and probably wont have
adverse selection
- offered only 1x per year
- if you want to get in at another time, employee has to show insurability
✔✔Can any group form an insurance plan - ✔✔NO , you need a common bond (eg
trade association)
✔✔Group Plan Insurance Conversion - ✔✔- can convert within 31 days without proof of
insurability, if they leave
- You normally convert to a universal life polity
- pricing is based on age
- the employer still ows the policy but he cant name the beneficiaries
✔✔Group Life insurance Premiums - ✔✔- employer pays all of it (non-contributory plan)
- Contributory - employee pays all of it
- but 75% of employees have to participate
✔✔Group Life Insurance Premiums Tax issues - ✔✔- The beneficiary still recieves the
death benefit tax free and its still an employer expense (tax deductible) but if the
insurance is over 50k, the employee counts the premium paid by the employer as
income
✔✔Social Security - ✔✔- employee and employer pay 7.65% of their payroll
- Self employed pay 15.3%
✔✔What are the benefits of Social Security - ✔✔- provides for retirement check
,- provides for disability
- benefit to survivors
- death benefit of $255
✔✔What do you need to get Social Secutiry - ✔✔- You have to work for 40 qtrs or 10
years
✔✔What benefits do you get from SS - ✔✔- it depends on how much you've contributed
or your Primary Insurance Amount (PIA)
✔✔Insurance Definiation - ✔✔- Transfer of risk from 1 party to another utilizing a legal
contract through the pooling or accumulation of funds
- transfering financial consequences of death to the insurance company to help pay
✔✔Consideration - ✔✔Premium payment + application
✔✔Indemnity - ✔✔- Stated amount of death benefit in the contract
✔✔Risk - ✔✔the uncertainty or chance of loss
✔✔Mortality Tables - ✔✔show statistical averages or possibility of death at a certain
age
- helps determing premium
✔✔Morbidity Tables - ✔✔shows statistical average or possibilty of becomeing disabled
and the extent of it
✔✔Pure Risk - ✔✔Chance of loss with no means of profit
- only pure risk is insurable
✔✔Speculative Risk - ✔✔Chance of loss or gain
✔✔Loss Exposure - ✔✔the amount of risk in dollars the insurance company is taking
✔✔What kind of Risks are insurable - ✔✔- loss must be accidental
- loss must be definable (or calculable)
- must not be financially catastrophic
- premiums must be reasonable
✔✔Retention - ✔✔The act of the individual taking on the risk themselves, or retaining
some of the cost themselves
✔✔Peril - ✔✔An example of what caused the loss (ie: death)
- a fire
, ✔✔Hazard - ✔✔A condition that exists that increases the chance of a loss occuring
✔✔What are the 3 types of Hazards - ✔✔1) Physical
2) Moral
3) Morale (ie apathy, carelessness, smoking)
✔✔Life insurance adds to what? - ✔✔The estate of the individual
✔✔What are the 6 things that need to be in a life insurance contract - ✔✔1) the parties
2) the party who is the insured
3) the insurable interest of the owner of the policy
4) the risk being insured agains (ie death)
5) the coverage period
6) the premium and the mode
✔✔Insurable Interest - ✔✔- the amount that the insurance co is at risk for; One can
have an insurable interest in another
✔✔What does the insurance company need to pay the death benefit - ✔✔- death
cirtificate
- completed claim form
✔✔Human Value approach - ✔✔- the approach to determine how much insurance one
should get
- it looks at the lost earnings potential if someone should die
- often limited to 10x annual income
✔✔Needs Approach - ✔✔- the amount of money to pay off debts, funeral, shcool, etc
✔✔How are life insurance premiums determined - ✔✔1) Mortality (the probability of
death)
2) Interest (how much the insurance co earns on the premiums)
3) Expenses (cost of issuing the policy)
✔✔Net Premium - ✔✔Mortality + Interest costs
✔✔Gross Prium - ✔✔Mortality + interest costs + expense costs
✔✔Rate - ✔✔The price of insurance per 1000 of coverage
ie if it costs 3.45 / unit than u multiply by 1000 to get total cost
✔✔Earned Premium - ✔✔the amount of premium that has been paid to date
EXAM SHEET 2025/2026 QUESTIONS WITH SOLUTIONS
GRADED A+
✔✔Defined Contribution Plan - ✔✔- indicates amount of contribution from employer
without knowing the benefit
✔✔What is taxable in an IRA - ✔✔- both the contributions and the growth or earnings
✔✔How much can you contribute to an IRA - ✔✔100% of earnings or not to exceed
5,000
✔✔Until What age can you contribute to an IRA - ✔✔70.5
✔✔Group Insurance - ✔✔- consist of term life insurance or whole insurance
- the employer is the owner and receives the master contract
- the employees are cirtificate holders which outlines the details of it
- underwriting is much more liberal because its a large group and probably wont have
adverse selection
- offered only 1x per year
- if you want to get in at another time, employee has to show insurability
✔✔Can any group form an insurance plan - ✔✔NO , you need a common bond (eg
trade association)
✔✔Group Plan Insurance Conversion - ✔✔- can convert within 31 days without proof of
insurability, if they leave
- You normally convert to a universal life polity
- pricing is based on age
- the employer still ows the policy but he cant name the beneficiaries
✔✔Group Life insurance Premiums - ✔✔- employer pays all of it (non-contributory plan)
- Contributory - employee pays all of it
- but 75% of employees have to participate
✔✔Group Life Insurance Premiums Tax issues - ✔✔- The beneficiary still recieves the
death benefit tax free and its still an employer expense (tax deductible) but if the
insurance is over 50k, the employee counts the premium paid by the employer as
income
✔✔Social Security - ✔✔- employee and employer pay 7.65% of their payroll
- Self employed pay 15.3%
✔✔What are the benefits of Social Security - ✔✔- provides for retirement check
,- provides for disability
- benefit to survivors
- death benefit of $255
✔✔What do you need to get Social Secutiry - ✔✔- You have to work for 40 qtrs or 10
years
✔✔What benefits do you get from SS - ✔✔- it depends on how much you've contributed
or your Primary Insurance Amount (PIA)
✔✔Insurance Definiation - ✔✔- Transfer of risk from 1 party to another utilizing a legal
contract through the pooling or accumulation of funds
- transfering financial consequences of death to the insurance company to help pay
✔✔Consideration - ✔✔Premium payment + application
✔✔Indemnity - ✔✔- Stated amount of death benefit in the contract
✔✔Risk - ✔✔the uncertainty or chance of loss
✔✔Mortality Tables - ✔✔show statistical averages or possibility of death at a certain
age
- helps determing premium
✔✔Morbidity Tables - ✔✔shows statistical average or possibilty of becomeing disabled
and the extent of it
✔✔Pure Risk - ✔✔Chance of loss with no means of profit
- only pure risk is insurable
✔✔Speculative Risk - ✔✔Chance of loss or gain
✔✔Loss Exposure - ✔✔the amount of risk in dollars the insurance company is taking
✔✔What kind of Risks are insurable - ✔✔- loss must be accidental
- loss must be definable (or calculable)
- must not be financially catastrophic
- premiums must be reasonable
✔✔Retention - ✔✔The act of the individual taking on the risk themselves, or retaining
some of the cost themselves
✔✔Peril - ✔✔An example of what caused the loss (ie: death)
- a fire
, ✔✔Hazard - ✔✔A condition that exists that increases the chance of a loss occuring
✔✔What are the 3 types of Hazards - ✔✔1) Physical
2) Moral
3) Morale (ie apathy, carelessness, smoking)
✔✔Life insurance adds to what? - ✔✔The estate of the individual
✔✔What are the 6 things that need to be in a life insurance contract - ✔✔1) the parties
2) the party who is the insured
3) the insurable interest of the owner of the policy
4) the risk being insured agains (ie death)
5) the coverage period
6) the premium and the mode
✔✔Insurable Interest - ✔✔- the amount that the insurance co is at risk for; One can
have an insurable interest in another
✔✔What does the insurance company need to pay the death benefit - ✔✔- death
cirtificate
- completed claim form
✔✔Human Value approach - ✔✔- the approach to determine how much insurance one
should get
- it looks at the lost earnings potential if someone should die
- often limited to 10x annual income
✔✔Needs Approach - ✔✔- the amount of money to pay off debts, funeral, shcool, etc
✔✔How are life insurance premiums determined - ✔✔1) Mortality (the probability of
death)
2) Interest (how much the insurance co earns on the premiums)
3) Expenses (cost of issuing the policy)
✔✔Net Premium - ✔✔Mortality + Interest costs
✔✔Gross Prium - ✔✔Mortality + interest costs + expense costs
✔✔Rate - ✔✔The price of insurance per 1000 of coverage
ie if it costs 3.45 / unit than u multiply by 1000 to get total cost
✔✔Earned Premium - ✔✔the amount of premium that has been paid to date
