NM LIFE INSURANCE FINAL EXAM MOCK TEST WITH CORRECT
ANSWERS
1. How is the uninsured protected if a payor benefit premium payments are
waived in
is attached to the life insurance the event the premium payor
policy? dies or becomes disabled
2. Which of the following health care plans charges Noncancelable
a premium that cannot be increased?
3. What is the effect of the market value Transfers some of the
adjust- ments in a market value
investment risk to the
adjustment annuity?
policyowner
4. Which type of life insurance policy allows the pol- Variable Universal
Life
icyowner the choice of investments along
with flexible premium payments?
5. Which of these is NOT considered to be a annuity (TSA)?
cost connected with an individual's
death? 10. Which
individual
6. A (an) insurer assumes risk from would be
an- other insurance company. best
suited for
7. When group insurance under COBRA Medicare
have ex- pired, a fully insured group policy Supplem
can be convert- ed to a (an) ent
Insurance
8. The authority to change the beneficiary ?
in an individual annuity lies with the
9. How are monthly life annuity benefit
payments treated under a tax sheltered
11
.
1/
23
,NM LIFE INSURANCE FINAL EXAM MOCK TEST WITH CORRECT
ANSWERS
Business expenses
Reinsurance
Individual health policy
Owner
Taxed as an ordinary income in the year recieved
Medicare enrollee
11
.
1/
23
, NM Life Insurance Final Exam Mock
Test
Which of the following is NOT an example as risk Not doing a
business deal after
retention? deciding it would be too
12. Tim is in need of surgery. Before being risky. Pre-admission
hospi- talized, he is referred to an
outpatient clinic for diagnostic tests. testing
What is this an example of?
13. Does the Superintendent have the ability to
ex- amine the records of authorized Yes, because of the powers
insurers? grant- ed through state
statues
14. Which statement about group life
insurance is INCORRECT? Each participant requires evi-
dence of insurability
15. Medicare Part A does NOT provide coverage for The first three pints
of blood
16. Darrell has a group long-term disability income The specified benefit
amount is a
policy paid by his employer. Which of these state- percentage of his
wages.
ments is true?
17. Twisting means Pursuading an insured, to the
in- sured's detriment, to
switch poli- cies.
18. What is the maxium number of employees
(earn- 100 ing at least 5,000) that an
employer can have in order to start a SIMPLE
21
.
2/
23
, NM Life Insurance Final Exam Mock
Test
retirement plan?
19. The following are all elements of a valid contract written evidence
EXCEPT
20. Which of the following would permit an Elimination period
insurer to delay a covered disability
policy claim?
21
.
2/
23
ANSWERS
1. How is the uninsured protected if a payor benefit premium payments are
waived in
is attached to the life insurance the event the premium payor
policy? dies or becomes disabled
2. Which of the following health care plans charges Noncancelable
a premium that cannot be increased?
3. What is the effect of the market value Transfers some of the
adjust- ments in a market value
investment risk to the
adjustment annuity?
policyowner
4. Which type of life insurance policy allows the pol- Variable Universal
Life
icyowner the choice of investments along
with flexible premium payments?
5. Which of these is NOT considered to be a annuity (TSA)?
cost connected with an individual's
death? 10. Which
individual
6. A (an) insurer assumes risk from would be
an- other insurance company. best
suited for
7. When group insurance under COBRA Medicare
have ex- pired, a fully insured group policy Supplem
can be convert- ed to a (an) ent
Insurance
8. The authority to change the beneficiary ?
in an individual annuity lies with the
9. How are monthly life annuity benefit
payments treated under a tax sheltered
11
.
1/
23
,NM LIFE INSURANCE FINAL EXAM MOCK TEST WITH CORRECT
ANSWERS
Business expenses
Reinsurance
Individual health policy
Owner
Taxed as an ordinary income in the year recieved
Medicare enrollee
11
.
1/
23
, NM Life Insurance Final Exam Mock
Test
Which of the following is NOT an example as risk Not doing a
business deal after
retention? deciding it would be too
12. Tim is in need of surgery. Before being risky. Pre-admission
hospi- talized, he is referred to an
outpatient clinic for diagnostic tests. testing
What is this an example of?
13. Does the Superintendent have the ability to
ex- amine the records of authorized Yes, because of the powers
insurers? grant- ed through state
statues
14. Which statement about group life
insurance is INCORRECT? Each participant requires evi-
dence of insurability
15. Medicare Part A does NOT provide coverage for The first three pints
of blood
16. Darrell has a group long-term disability income The specified benefit
amount is a
policy paid by his employer. Which of these state- percentage of his
wages.
ments is true?
17. Twisting means Pursuading an insured, to the
in- sured's detriment, to
switch poli- cies.
18. What is the maxium number of employees
(earn- 100 ing at least 5,000) that an
employer can have in order to start a SIMPLE
21
.
2/
23
, NM Life Insurance Final Exam Mock
Test
retirement plan?
19. The following are all elements of a valid contract written evidence
EXCEPT
20. Which of the following would permit an Elimination period
insurer to delay a covered disability
policy claim?
21
.
2/
23
