Florida Life and Health Insurance
A situation in which a person can only experience a loss and no gain represents what
type of risk? -- correct ans--Pure Risk
A waiver of premium provision may be included with what type of health insurance
policies? -- correct ans--Disability income and LTC
Arywholeryliferypolicyrythatryrequiresrypremiumrypaymentsryonlyryforryaryspecifiedrynumberryofryyea
rsryisryknownryasrywhatrykindryofrypolicy?ry--rycorrectryans--Limited-PayryWholeryLife
AccordingrytorytheryAffordableryCareryAct,rywhatryarerytherycost-
sharingryrequirementsryforrypreventiverycare?ry--rycorrectryans--Norycostrysharing.
Accordingrytorytherycoordinationryofrybenefitsryprovision,ryifrybothryparentsryhaverycoverageryforry
arychildryandrytheirryemployers'rypolicies,rywhichrypolicyrywouldrypayryfirst?ry--rycorrectryans--
Theryorderryofrypaymentrywillryberydeterminedrybyrytherybirthdayryrule.
Accordingrytorytheryreinstatementryprovision,ryonceryarylapsedrypolicyryisryreinstated,ryhowrysoonr
ywillrycoverageryberyavailableryforryaccidents?ry--rycorrectryans--Immediately
Accordingrytorytherytaxationryrulesryofryliferyinsurancerypolicies,ryhowryarerycashryvalueryincreases
rytaxed?ry--rycorrectryans--Cashryvaluerygrowthryisrytax-deferred
Accordingrytorytherytimerylimitryonrycertainrydefensesryprovisionryinryhealthryinsurancerypolicies,ry
whenrycanryanryinsurerrycontestryfraudulentrymisstatementsryonryaryhealthryinsuranceryapplicati
on?ry--rycorrectryans--Anyrytimerywhilerytherypolicyryisryinryforce.
AdverserySelectionry--rycorrectryans--
Therytendencyryofryriskrywithryhigherryprobabilityryofrylossrytorypurchaseryandrymaintainryinsuranc
erymoreryoftenrythanrytheryrisksrywhoryrepresentrylowerryprobabilityryofryloss.
Agentry--rycorrectryans--
Anryindividualrywhoryisrylicensedrytorysell,rynegotiate,ryorryeffectryinsurancerycontractsryonrybehalfr
yofrytheryinsurer.
Anryagentryofferryaryclientryfreeryticketsrytoryarysportingryeventryinryexchangeryforrytherypurchaseryofr
yanryinsurancerypolicy.ryWhatryisrytheryagentryguiltyryof?ry--rycorrectryans--Rebating
Atrywhatrypointrydoesrycoveragerybeginrywhenryanryagentryissuesryaryconditionalryinsurabilityryrec
eiptryforryaryliferyinsurancerypolicy?ry--rycorrectryans--
,Eitherryonrytherydateryofrytheryapplicationryorrytherydateryofrytherymedicalryexam,rywhicheverryoccur
srylast.
CanryAlzheimer'srydiseaseryberyexcludedryfromrycoverageryunderryaryling-termrycarerypolicy?ry--
rycorrectryans--
NO,ryorganicrycognitiverydisorders,rysuchryasryAlzheimer'sryorryParkinson'srymustryberycovered.
CertificateryofryInsurancery--rycorrectryans--
Arydocumentryissuedrytoryinsuredsryunderryarygroupryplanrythatrystatesrytherycoveragerybeingryiss
ued,ryandryindicatesrytherycoveragerytyperyandryamounts.
Concealmentry--rycorrectryans--
Therywithholdingryofryknownryfactsrythat,ryifrymaterial,rycanryvoidryarycontract.
Conditionsrythatryincreaserytherychanceryofryarylossryareryknownryasrywhat?ry--rycorrectryans--
Hazards
ContractryofryAdhesionry--rycorrectryans--
Arycontractrypreparedrybyryonerypartyrythatrymustryberyacceptedryasrywrittenryorryberyrejectedrybyryt
heryotherryparty.
Disclosurery--rycorrectryans--
Providingrysufficientryinformationrytoryhelprysomeonerymakeryinformedrydecision.
FaceryAmountry--rycorrectryans--Theryamountryofrybenefitrystatedryinrytheryliferyinsurancerypolicy.
Fiduciaryry--rycorrectryans--Aryproducerrywhoryhandlesryinsurer'sryfundsryinryarytrustrycapacity.
FieldryUnderwriterry--rycorrectryans--
Anryinsuranceryagentrywhoryconductsryanryinitialrypolicyrysolicitationryandryapplication.ry(Theryco
mpany'sryfrontrylineryofryunderwriting)
Forryaryretirementryplanrytoryberyqualified,ryitrymustryberydesignedryforrywhoserybenefit?ry--
rycorrectryans--Employees
Howryarerybenefitsryreceivedrybyrytherybusinessryfromryarykeyrypersonrydisabilityryinsurance?ry--
rycorrectryans--Incomerytaxryfree
Howryareryexcessryfundsryinryanryemployee'sryhealthrysavingsryaccountry(HSA)ryhandled?ry--
rycorrectryans--Theryfundsrycanryberycarriedryforwardrytorytherynextryyear.
Howryareryindividuallyryownedrydisabilityryincomerybenefitsrytaxedryonceryreceivedrybyrythatryinsu
red?ry--rycorrectryans--Disabilityrybenefitsryarerynotrytaxed;rytheyryareryreceivedryincomerytaxryfree
Howryarerytherybenefitsryofryarygroupryaccidentalrydeathryandrydismembermentrypolicyryreceived
?ry--rycorrectryans--IncomeryTaxryfree
, HowrycanryAD&Drycoverageryberywritten?ry--rycorrectryans--
Asryaryriderrytoryaryhealthryinsurancerypolicy,ryorryasryaryseperaterypolicy.
Howrycanryhealthryinsurancerypoliciesryberydeliveredrytorytheryinsured?ry--rycorrectryans--
Personallyrydeliveredrybyrytheryagentryorrymailed.
Howrydoryinsurersrydeterminerythatrycostryforryarygroupryhealthrypolicy?ry--rycorrectryans--
Therymainryvariablesryarerytheryrationryofrymenryandrywomenryinrytherygroup,ryandrytheryaveragerya
geryofrytherygroup.
HowryisryMedicaidryfunded?ry--rycorrectryans--
Medicaidryisryaryfederalryandrystateryfundedryprogram
HowryisryMedicarerypartryBryfunded?ry--rycorrectryans--
Byrymonthlyrypremiumsryandryfromrytherygeneralryrevenuesryofrytheryfederalrygovernment.
Howrylongrydoryshort-termrydisabilityrygroupryplansrypayrybenefits?ry--rycorrectryans--
Forryaryperiodryofrylessrythanrytworyyears
Howrymanyryconsecutiverymonthsryofrycoveragerymustrylong-termrycareryinsuranceryprovide?ry--
rycorrectryans--12ryMonths
Howrysoonrycanryincomerypaymentsrybeginryinryanryimmediateryannuity?ry--rycorrectryans--
Norylaterrythatryoneryyearryfromrytherytimeryofryannuityrypurchase.
Howrywillrychangingryone'sryoccupationrytoryberymoreryhazardous,ryaffectrytheryhealthryinsurance
rypolicyryinryforce?ry--rycorrectryans--
Claimrybenefitsrywillryberyreducedrytorywhatrytherypremiumrywouldryhaverybroughtryforryarymoreryha
zardousryoccupation.
Ifryarysettlementryoptionryisrynotrychosenrybyrytherypolicyryownerryorrytherybeneficiary,rywhatryoption
rywillryberyusedrybyrytheryinsurer?ry--rycorrectryans--Lump-Sumrypayment
Ifryanryagentrymakesryarycorrectionryonrytheryapplicationryforryhealthryinsurance,rywhorymustryinitial
rytherycorrectryanswer?ry--rycorrectryans--TheryApplicant
Ifryanryinsurerrymeetsrytherystatesryfinancialryrequirementsryandryisryapprovedrytorytransactrybusin
essryinrytherystate,ryitryisryconsideredrywhatrytyperyofryinsurer?ry--rycorrectryans--Authorized
Ifryanryunderwriterryrequiresryextensiveryinformationryaboutrytheryapplicantsrymedicalryhistory,ry
whatryreportrywillrybestryserverythisrypurpose?ry--rycorrectryans--
AttendingryPhysician'srystatement.
A situation in which a person can only experience a loss and no gain represents what
type of risk? -- correct ans--Pure Risk
A waiver of premium provision may be included with what type of health insurance
policies? -- correct ans--Disability income and LTC
Arywholeryliferypolicyrythatryrequiresrypremiumrypaymentsryonlyryforryaryspecifiedrynumberryofryyea
rsryisryknownryasrywhatrykindryofrypolicy?ry--rycorrectryans--Limited-PayryWholeryLife
AccordingrytorytheryAffordableryCareryAct,rywhatryarerytherycost-
sharingryrequirementsryforrypreventiverycare?ry--rycorrectryans--Norycostrysharing.
Accordingrytorytherycoordinationryofrybenefitsryprovision,ryifrybothryparentsryhaverycoverageryforry
arychildryandrytheirryemployers'rypolicies,rywhichrypolicyrywouldrypayryfirst?ry--rycorrectryans--
Theryorderryofrypaymentrywillryberydeterminedrybyrytherybirthdayryrule.
Accordingrytorytheryreinstatementryprovision,ryonceryarylapsedrypolicyryisryreinstated,ryhowrysoonr
ywillrycoverageryberyavailableryforryaccidents?ry--rycorrectryans--Immediately
Accordingrytorytherytaxationryrulesryofryliferyinsurancerypolicies,ryhowryarerycashryvalueryincreases
rytaxed?ry--rycorrectryans--Cashryvaluerygrowthryisrytax-deferred
Accordingrytorytherytimerylimitryonrycertainrydefensesryprovisionryinryhealthryinsurancerypolicies,ry
whenrycanryanryinsurerrycontestryfraudulentrymisstatementsryonryaryhealthryinsuranceryapplicati
on?ry--rycorrectryans--Anyrytimerywhilerytherypolicyryisryinryforce.
AdverserySelectionry--rycorrectryans--
Therytendencyryofryriskrywithryhigherryprobabilityryofrylossrytorypurchaseryandrymaintainryinsuranc
erymoreryoftenrythanrytheryrisksrywhoryrepresentrylowerryprobabilityryofryloss.
Agentry--rycorrectryans--
Anryindividualrywhoryisrylicensedrytorysell,rynegotiate,ryorryeffectryinsurancerycontractsryonrybehalfr
yofrytheryinsurer.
Anryagentryofferryaryclientryfreeryticketsrytoryarysportingryeventryinryexchangeryforrytherypurchaseryofr
yanryinsurancerypolicy.ryWhatryisrytheryagentryguiltyryof?ry--rycorrectryans--Rebating
Atrywhatrypointrydoesrycoveragerybeginrywhenryanryagentryissuesryaryconditionalryinsurabilityryrec
eiptryforryaryliferyinsurancerypolicy?ry--rycorrectryans--
,Eitherryonrytherydateryofrytheryapplicationryorrytherydateryofrytherymedicalryexam,rywhicheverryoccur
srylast.
CanryAlzheimer'srydiseaseryberyexcludedryfromrycoverageryunderryaryling-termrycarerypolicy?ry--
rycorrectryans--
NO,ryorganicrycognitiverydisorders,rysuchryasryAlzheimer'sryorryParkinson'srymustryberycovered.
CertificateryofryInsurancery--rycorrectryans--
Arydocumentryissuedrytoryinsuredsryunderryarygroupryplanrythatrystatesrytherycoveragerybeingryiss
ued,ryandryindicatesrytherycoveragerytyperyandryamounts.
Concealmentry--rycorrectryans--
Therywithholdingryofryknownryfactsrythat,ryifrymaterial,rycanryvoidryarycontract.
Conditionsrythatryincreaserytherychanceryofryarylossryareryknownryasrywhat?ry--rycorrectryans--
Hazards
ContractryofryAdhesionry--rycorrectryans--
Arycontractrypreparedrybyryonerypartyrythatrymustryberyacceptedryasrywrittenryorryberyrejectedrybyryt
heryotherryparty.
Disclosurery--rycorrectryans--
Providingrysufficientryinformationrytoryhelprysomeonerymakeryinformedrydecision.
FaceryAmountry--rycorrectryans--Theryamountryofrybenefitrystatedryinrytheryliferyinsurancerypolicy.
Fiduciaryry--rycorrectryans--Aryproducerrywhoryhandlesryinsurer'sryfundsryinryarytrustrycapacity.
FieldryUnderwriterry--rycorrectryans--
Anryinsuranceryagentrywhoryconductsryanryinitialrypolicyrysolicitationryandryapplication.ry(Theryco
mpany'sryfrontrylineryofryunderwriting)
Forryaryretirementryplanrytoryberyqualified,ryitrymustryberydesignedryforrywhoserybenefit?ry--
rycorrectryans--Employees
Howryarerybenefitsryreceivedrybyrytherybusinessryfromryarykeyrypersonrydisabilityryinsurance?ry--
rycorrectryans--Incomerytaxryfree
Howryareryexcessryfundsryinryanryemployee'sryhealthrysavingsryaccountry(HSA)ryhandled?ry--
rycorrectryans--Theryfundsrycanryberycarriedryforwardrytorytherynextryyear.
Howryareryindividuallyryownedrydisabilityryincomerybenefitsrytaxedryonceryreceivedrybyrythatryinsu
red?ry--rycorrectryans--Disabilityrybenefitsryarerynotrytaxed;rytheyryareryreceivedryincomerytaxryfree
Howryarerytherybenefitsryofryarygroupryaccidentalrydeathryandrydismembermentrypolicyryreceived
?ry--rycorrectryans--IncomeryTaxryfree
, HowrycanryAD&Drycoverageryberywritten?ry--rycorrectryans--
Asryaryriderrytoryaryhealthryinsurancerypolicy,ryorryasryaryseperaterypolicy.
Howrycanryhealthryinsurancerypoliciesryberydeliveredrytorytheryinsured?ry--rycorrectryans--
Personallyrydeliveredrybyrytheryagentryorrymailed.
Howrydoryinsurersrydeterminerythatrycostryforryarygroupryhealthrypolicy?ry--rycorrectryans--
Therymainryvariablesryarerytheryrationryofrymenryandrywomenryinrytherygroup,ryandrytheryaveragerya
geryofrytherygroup.
HowryisryMedicaidryfunded?ry--rycorrectryans--
Medicaidryisryaryfederalryandrystateryfundedryprogram
HowryisryMedicarerypartryBryfunded?ry--rycorrectryans--
Byrymonthlyrypremiumsryandryfromrytherygeneralryrevenuesryofrytheryfederalrygovernment.
Howrylongrydoryshort-termrydisabilityrygroupryplansrypayrybenefits?ry--rycorrectryans--
Forryaryperiodryofrylessrythanrytworyyears
Howrymanyryconsecutiverymonthsryofrycoveragerymustrylong-termrycareryinsuranceryprovide?ry--
rycorrectryans--12ryMonths
Howrysoonrycanryincomerypaymentsrybeginryinryanryimmediateryannuity?ry--rycorrectryans--
Norylaterrythatryoneryyearryfromrytherytimeryofryannuityrypurchase.
Howrywillrychangingryone'sryoccupationrytoryberymoreryhazardous,ryaffectrytheryhealthryinsurance
rypolicyryinryforce?ry--rycorrectryans--
Claimrybenefitsrywillryberyreducedrytorywhatrytherypremiumrywouldryhaverybroughtryforryarymoreryha
zardousryoccupation.
Ifryarysettlementryoptionryisrynotrychosenrybyrytherypolicyryownerryorrytherybeneficiary,rywhatryoption
rywillryberyusedrybyrytheryinsurer?ry--rycorrectryans--Lump-Sumrypayment
Ifryanryagentrymakesryarycorrectionryonrytheryapplicationryforryhealthryinsurance,rywhorymustryinitial
rytherycorrectryanswer?ry--rycorrectryans--TheryApplicant
Ifryanryinsurerrymeetsrytherystatesryfinancialryrequirementsryandryisryapprovedrytorytransactrybusin
essryinrytherystate,ryitryisryconsideredrywhatrytyperyofryinsurer?ry--rycorrectryans--Authorized
Ifryanryunderwriterryrequiresryextensiveryinformationryaboutrytheryapplicantsrymedicalryhistory,ry
whatryreportrywillrybestryserverythisrypurpose?ry--rycorrectryans--
AttendingryPhysician'srystatement.
