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FX LIFE AND HEALTH EXAM QUESTIONS WITH
COMPLETE SOLUTIONS GUARANTEED PASS
2025/2026
If an insurer must have its raters accepted by the
insurance department prior to using them, the insurer
would be operating in which of the following types of
jurisdictions? - ANSWER -
>Prior approval
All of the following are requirements of a contract EXCEPT
- ANSWER ->there must be equal consideration between
the parties.
The more times an event is repeated, the more
predictable the outcome becomes. This is an example of -
ANSWER ->The law of large numbers
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What rule is used to determine the importance of a
representation? - CORRECT
ANSWER>>The materiality of concealment
Insurer expenses include all of the following EXCEPT -
ANSWER >Policy
Premiums
The increase in the probability of a loss resulting from an
insureds dishonest tendencies is known as - ANSWER -
>Moral hazard
Which of the following would an agent be guilty of her
misrepresenting the amount of dividends a policy will
pay? -
ANSWER ->a Misdemeanor
A person who acts, offers to act, or assumes to act in a
capacity where a license is
REQUIRED without having a valid license, is guilty of a -
CORRECT
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ANSWER>>Misdemeanor
Which is an agreement in which an insurer contracts with
a third party to against losses from insurance policies it
issues? -
ANSWER ->Reinsurance
What recourse does an insurer have if violation of a
material warranty on the part of the insured is
discovered? - ANSWER -
>Rescission of the policy
Policies covered under the California Life and Health
Insurance Guarantee
Association include all of the following EXCEPT - ANSWER
->Selffunded group life.
According to the California Insurance Code, the
commissioner can disapprove a licensee's request to use
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a fictitious name for any of the following reasons EXCEPT
that the - ANSWER ->name
Is the licensee's actual name
Risk can be defined as all of the following EXCEPT -
ANSWER -
>cause of loss
What used in the California Insurance Code, the word
"may" is intended to be -
CORRECT ANSWER>>permissive
Which of the following statements regarding risk is TRUE -
CORRECT
ANSWER>>Only pure risk is insurable
What is it called when an insurer uses higher rates for an
individual solely based on religion, race, or ethnic group?
-
ANSWER ->unfair discrimination
FX LIFE AND HEALTH EXAM QUESTIONS WITH
COMPLETE SOLUTIONS GUARANTEED PASS
2025/2026
If an insurer must have its raters accepted by the
insurance department prior to using them, the insurer
would be operating in which of the following types of
jurisdictions? - ANSWER -
>Prior approval
All of the following are requirements of a contract EXCEPT
- ANSWER ->there must be equal consideration between
the parties.
The more times an event is repeated, the more
predictable the outcome becomes. This is an example of -
ANSWER ->The law of large numbers
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What rule is used to determine the importance of a
representation? - CORRECT
ANSWER>>The materiality of concealment
Insurer expenses include all of the following EXCEPT -
ANSWER >Policy
Premiums
The increase in the probability of a loss resulting from an
insureds dishonest tendencies is known as - ANSWER -
>Moral hazard
Which of the following would an agent be guilty of her
misrepresenting the amount of dividends a policy will
pay? -
ANSWER ->a Misdemeanor
A person who acts, offers to act, or assumes to act in a
capacity where a license is
REQUIRED without having a valid license, is guilty of a -
CORRECT
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ANSWER>>Misdemeanor
Which is an agreement in which an insurer contracts with
a third party to against losses from insurance policies it
issues? -
ANSWER ->Reinsurance
What recourse does an insurer have if violation of a
material warranty on the part of the insured is
discovered? - ANSWER -
>Rescission of the policy
Policies covered under the California Life and Health
Insurance Guarantee
Association include all of the following EXCEPT - ANSWER
->Selffunded group life.
According to the California Insurance Code, the
commissioner can disapprove a licensee's request to use
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a fictitious name for any of the following reasons EXCEPT
that the - ANSWER ->name
Is the licensee's actual name
Risk can be defined as all of the following EXCEPT -
ANSWER -
>cause of loss
What used in the California Insurance Code, the word
"may" is intended to be -
CORRECT ANSWER>>permissive
Which of the following statements regarding risk is TRUE -
CORRECT
ANSWER>>Only pure risk is insurable
What is it called when an insurer uses higher rates for an
individual solely based on religion, race, or ethnic group?
-
ANSWER ->unfair discrimination
