XCEL TESTING SOLUTIONS- LIFE AND HEALTH
INSURANCE QUESTIONS AND CORRECT
ANSWERS
1. If an employee contributes 50% toward the disability plan premium
provided by an employer, what would be considered the taxable
income of a $1,000 monthly disability benefit?
● A. $0
● B. $500
● C. $750
● D. $1,000
Answer: B. $500
2. Kim has health insurance with a deductible of $500 and
an 80/20 coinsurance. How much will she pay if she incurs a
loss of $1,500?
● A. $500
● B. $700
● C. $800
● D. $1,000
Answer: B. $700
3. The typical long-term care insurance policy is designed to
provide a minimum of how many year(s) of coverage?
● A. 1 year
● B. 2 years
● C. 3 years
● D. 5 years
Answer: A. 1 year
4. An appointing insurer has how many days to file a notice of
,appointment with the Commissioner?
● A. 10 days
● B. 15 days
● C. 30 days
● D. 45 days
Answer: B. 15 days
5. An insurer must furnish to a claimant forms for filing proof of
loss within how many days upon receiving a notice of claim?
● A. 10 days
● B. 15 days
● C. 20 days
● D. 30 days
Answer: B. 15 days
6. A temporary producer's license is effective for:
● A. 90 days
● B. 120 days
● C. 180 days
● D. 365 days
Answer: C. 180 days
7. A life insurance policy becomes incontestable after it has been in
force for:
● A. 1 year
● B. 2 years
● C. 3 years
● D. 5 years
Answer: B. 2 years
8. Written notice for a health claim must be given to the insurer
,how many days after the occurrence of the loss?
● A. 10 days
● B. 15 days
● C. 20 days
● D. 30 days
Answer: C. 20 days
9. An insurer need NOT pay interest on death benefits if the
proceeds of the life policy are paid within:
● A. 10 days after date of death
● B. 15 days after date of death
● C. 20 days after date of death
● D. 30 days after date of death
Answer: C. 20 days after the date of the death of the insured
10. A licensed producer who changes a residential or business address
must notify the Commissioner within how many days?
● A. 15 days
● B. 20 days
● C. 30 days
● D. 60 days
Answer: C. 30 days
11. Each policy of life insurance shall contain a provision that a grace
period shall be allowed. The standard grace period shall be:
● A. 15 days
● B. 20 days
● C. 30 days
● D. 60 days
Answer: C. 30 days
, 12. G had recently been terminated from his job that covered him for
group life insurance. How long does he have to convert his coverage to
an individual policy?
● A. 15 days
● B. 30 days
● C. 31 days
● D. 60 days
Answer: C. 31 days
13. The Commissioner must examine the financial affairs of each
admitted insurer operating in Louisiana at least once every how
many years?
● A. 3 years
● B. 4 years
● C. 5 years
● D. 10 years
Answer: C. 5 years
14. In an employer-sponsored contributory group Disability Income
plan, the employer pays 60% of the premium and each employee
pays 40% of the premium. Any income benefits paid are taxed to the
employee at:
● A. 40% of the benefit
● B. 60% of the benefit
● C. 100% of the benefit
● D. No taxation
Answer: B. 60% of the benefit
15. Ron has a new employer and wishes to enroll in the company's
group health plan. In determining whether his pre-existing health
condition applies, Ron cannot have more than how many days gap
without previous health insurance?
INSURANCE QUESTIONS AND CORRECT
ANSWERS
1. If an employee contributes 50% toward the disability plan premium
provided by an employer, what would be considered the taxable
income of a $1,000 monthly disability benefit?
● A. $0
● B. $500
● C. $750
● D. $1,000
Answer: B. $500
2. Kim has health insurance with a deductible of $500 and
an 80/20 coinsurance. How much will she pay if she incurs a
loss of $1,500?
● A. $500
● B. $700
● C. $800
● D. $1,000
Answer: B. $700
3. The typical long-term care insurance policy is designed to
provide a minimum of how many year(s) of coverage?
● A. 1 year
● B. 2 years
● C. 3 years
● D. 5 years
Answer: A. 1 year
4. An appointing insurer has how many days to file a notice of
,appointment with the Commissioner?
● A. 10 days
● B. 15 days
● C. 30 days
● D. 45 days
Answer: B. 15 days
5. An insurer must furnish to a claimant forms for filing proof of
loss within how many days upon receiving a notice of claim?
● A. 10 days
● B. 15 days
● C. 20 days
● D. 30 days
Answer: B. 15 days
6. A temporary producer's license is effective for:
● A. 90 days
● B. 120 days
● C. 180 days
● D. 365 days
Answer: C. 180 days
7. A life insurance policy becomes incontestable after it has been in
force for:
● A. 1 year
● B. 2 years
● C. 3 years
● D. 5 years
Answer: B. 2 years
8. Written notice for a health claim must be given to the insurer
,how many days after the occurrence of the loss?
● A. 10 days
● B. 15 days
● C. 20 days
● D. 30 days
Answer: C. 20 days
9. An insurer need NOT pay interest on death benefits if the
proceeds of the life policy are paid within:
● A. 10 days after date of death
● B. 15 days after date of death
● C. 20 days after date of death
● D. 30 days after date of death
Answer: C. 20 days after the date of the death of the insured
10. A licensed producer who changes a residential or business address
must notify the Commissioner within how many days?
● A. 15 days
● B. 20 days
● C. 30 days
● D. 60 days
Answer: C. 30 days
11. Each policy of life insurance shall contain a provision that a grace
period shall be allowed. The standard grace period shall be:
● A. 15 days
● B. 20 days
● C. 30 days
● D. 60 days
Answer: C. 30 days
, 12. G had recently been terminated from his job that covered him for
group life insurance. How long does he have to convert his coverage to
an individual policy?
● A. 15 days
● B. 30 days
● C. 31 days
● D. 60 days
Answer: C. 31 days
13. The Commissioner must examine the financial affairs of each
admitted insurer operating in Louisiana at least once every how
many years?
● A. 3 years
● B. 4 years
● C. 5 years
● D. 10 years
Answer: C. 5 years
14. In an employer-sponsored contributory group Disability Income
plan, the employer pays 60% of the premium and each employee
pays 40% of the premium. Any income benefits paid are taxed to the
employee at:
● A. 40% of the benefit
● B. 60% of the benefit
● C. 100% of the benefit
● D. No taxation
Answer: B. 60% of the benefit
15. Ron has a new employer and wishes to enroll in the company's
group health plan. In determining whether his pre-existing health
condition applies, Ron cannot have more than how many days gap
without previous health insurance?
