ARKANSAS HEALTH INSURANCE EXAM 2025-2026
QUESTIONS AND ANSWERS GRADED A+ LATEST
In |order |for |a |contract |to |be |valid, |it |must:
Contain |an |offer |& |acceptance
When |does |a |nondisabled |person |first |qualify |for |a |Medicare |Supplement |Policy?
Age |65
A |life |insurance |company |has |transferred |some |of |its |risk |to |another |insurer. |The |insurer |assuming
|the |risk |is |called |the:
Reinsurer
A |common |exclusion |with |vision |plans |is:
Lasik |Surgery
What |are |applicants |statements |concerning |occupation, |hobbies |and |personal |health |history?
Representation
,States |that |have |"no |loss, |no |gain" |laws |require |a |replacing |policy |to:
Pay |for |ongoing |claims |under |the |policy |it |replaces
A |rehabilitation |benefit |is |intended |to:
Prepare |the |insured |to |return |to |employment
Which |of |the |following |does |coordination |of |benefits |allow?
The |secondary |payor |to |reduce |their |benefit |payments |so |no |more |than |100% |of |the |claim |is |paid
An |insurer |may |pay |a |commission |in |which |of |the |following |scenarios:
To |a |licensed |producer |who |is |appointed |with |the |insurer
In |which |of |the |following |situations |would |the |insurer |be |liable |for |a |loss?
The |insured |suffered |an |injury |during |a |bank |robbery
The |Fair |Credit |and |Reporting |Act's |main |purpose |is |to:
Protect |consumers |with |guidelines |regarding |credit |reporting |and |distribution
,J |is |a |producer |who |has |induced |an |insured |through |misrepresentation |to |surrender |an |existing
|insurance |policy. |What |is |J |guilty |of?
Twisting
What |is |implied |authority |defined |as?
Authority |that |is |not |specifically |given |to |an |agent |contract, |but |that |an |agent |can |reasonably |assume
|to |carry |out |his/her |duties
A |person |who |is |a |nonsmoker, |average |weight, |excellent |health |would |fall |into |what |risk |classification:
Preferred
Which |of |the |following |is |considered |to |be |the |period |when |the |accumulated |value |in |an |annuity |is
|paid |out?
Annuitization |phase
An |insurers |claim |settlement |practices |are |regulated |by |the:
State |insurance |departments
The |two |major |actions |required |for |a |policyholder |to |comply |with |the |Reinstatement |Clause |are:
provide |evidence |of |insurability, |pay |past |due |premiums
, An |insurers |ability |to |make |unpredictable |payouts |to |policy |owners |is |called:
Liquidity
Which |of |the |following |pertains |to |the |analysis |of |an |applicants |personal |information |and |determining
|whether |insurance |should |be |issued |or |declined?
Underwriting
What |does |the |Group |Life |underwriting |risk |selection |process |help |protect |insurance |companies |from?
Adverse |Selection
The |Arkansas |Life |& |Disability |Insurance |Guaranty |Association |assures |payment |of |benefits |from
|insurance |policies |for |insolvent |insurers, |and |covers |all |of |the |following |insured |policies, |EXCEPT:
Liability |Insurance
Pat |owns |a |20-pay |life |policy |with |a |paid-up |dividend |option. |Which |is |true?
The |policy |may |be |paid |up |early |by |using |policy |dividends?
What |would |happen |if |a |life |insurance |applicant |is |given |a |conditional |receipt |from |an |insurance
|agent |and |then |dies |the |next |day?
Claim |will |be |paid |if |application |is |approved
QUESTIONS AND ANSWERS GRADED A+ LATEST
In |order |for |a |contract |to |be |valid, |it |must:
Contain |an |offer |& |acceptance
When |does |a |nondisabled |person |first |qualify |for |a |Medicare |Supplement |Policy?
Age |65
A |life |insurance |company |has |transferred |some |of |its |risk |to |another |insurer. |The |insurer |assuming
|the |risk |is |called |the:
Reinsurer
A |common |exclusion |with |vision |plans |is:
Lasik |Surgery
What |are |applicants |statements |concerning |occupation, |hobbies |and |personal |health |history?
Representation
,States |that |have |"no |loss, |no |gain" |laws |require |a |replacing |policy |to:
Pay |for |ongoing |claims |under |the |policy |it |replaces
A |rehabilitation |benefit |is |intended |to:
Prepare |the |insured |to |return |to |employment
Which |of |the |following |does |coordination |of |benefits |allow?
The |secondary |payor |to |reduce |their |benefit |payments |so |no |more |than |100% |of |the |claim |is |paid
An |insurer |may |pay |a |commission |in |which |of |the |following |scenarios:
To |a |licensed |producer |who |is |appointed |with |the |insurer
In |which |of |the |following |situations |would |the |insurer |be |liable |for |a |loss?
The |insured |suffered |an |injury |during |a |bank |robbery
The |Fair |Credit |and |Reporting |Act's |main |purpose |is |to:
Protect |consumers |with |guidelines |regarding |credit |reporting |and |distribution
,J |is |a |producer |who |has |induced |an |insured |through |misrepresentation |to |surrender |an |existing
|insurance |policy. |What |is |J |guilty |of?
Twisting
What |is |implied |authority |defined |as?
Authority |that |is |not |specifically |given |to |an |agent |contract, |but |that |an |agent |can |reasonably |assume
|to |carry |out |his/her |duties
A |person |who |is |a |nonsmoker, |average |weight, |excellent |health |would |fall |into |what |risk |classification:
Preferred
Which |of |the |following |is |considered |to |be |the |period |when |the |accumulated |value |in |an |annuity |is
|paid |out?
Annuitization |phase
An |insurers |claim |settlement |practices |are |regulated |by |the:
State |insurance |departments
The |two |major |actions |required |for |a |policyholder |to |comply |with |the |Reinstatement |Clause |are:
provide |evidence |of |insurability, |pay |past |due |premiums
, An |insurers |ability |to |make |unpredictable |payouts |to |policy |owners |is |called:
Liquidity
Which |of |the |following |pertains |to |the |analysis |of |an |applicants |personal |information |and |determining
|whether |insurance |should |be |issued |or |declined?
Underwriting
What |does |the |Group |Life |underwriting |risk |selection |process |help |protect |insurance |companies |from?
Adverse |Selection
The |Arkansas |Life |& |Disability |Insurance |Guaranty |Association |assures |payment |of |benefits |from
|insurance |policies |for |insolvent |insurers, |and |covers |all |of |the |following |insured |policies, |EXCEPT:
Liability |Insurance
Pat |owns |a |20-pay |life |policy |with |a |paid-up |dividend |option. |Which |is |true?
The |policy |may |be |paid |up |early |by |using |policy |dividends?
What |would |happen |if |a |life |insurance |applicant |is |given |a |conditional |receipt |from |an |insurance
|agent |and |then |dies |the |next |day?
Claim |will |be |paid |if |application |is |approved
