Exam Life

Which of the following would be considered a speculative risk?

An insurance contract is an aleatory contract. This means:

Each of the following would be an element in the definition of fraud, except:

In order to be valid, a contract must be between individuals considered legally able to enter into an agreement. This principle is known as:

All of the following are elements of a contract.

A producer who is acting as an agent is representing:

Which is the proper term for a company owned by its policyowners?

A company that is licensed to sell insurance in a particular state is:

To make insurance more affordable and protect the insurance company from paying out too much in claims, insurers will:

All of the following are producer responsibilities to the applicant.

The field underwriter is the _________ and is not a determiner of insurability.

Which of the following best describes a Conditional Contract?

. When the owner of the policy and insurer must meet certain conditions in order for the health insurance policy to be enforceable, it is referred to as a(n):

Legally speaking, a producer has a __________ duty when handling life insurance premiums and applications for an insurer.

A document that provides information to the home office of an insurer for underwriting purposes is called a(n):

The most effective way to ensure that the applicant will accept the policy when it is issued is:

Which statement best describes the term reserve?

With regard to life insurance policies, loading refers to:

Which of the following is NOT a characteristic of life insurance as property?

Insurers generally calculate premiums on:

Should an insured become totally and permanently disabled two months before the cut-off date for the waiver of premium rider:

A variable life policy:

In a universal life policy, the two adjustments usually made to the cash value account are:

Which of the following provides the basis for the benefit amount paid to an insured under a disability income rider?

Any extra premium charged for the waiver of premium rider:

A whole life policy:

An indeterminate premium policy offers:

The waiver of premium rider normally expires at age:

The main purpose of the spendthrift clause contained in a settlement option is to prevent the beneficiary from doing all of the following, except:

The factors that determine the amount of each payment under the fixed period settlement option are:

Each of the following is a source of life insurance policy dividends

What is a postmortem dividend?

The nonforfeiture option that provides the most life insurance protection is the:

The money paid by the insured to the insurance company for insurance protection is called the:

The type of annuity that guarantees to pay total income at least equal to the purchase price of the contract is a:

'Annuity Period' refers to which of the following?

Which of the following annuities requires the producer to hold a securities registration (license) in order to sell it?

Which of the following Annuities can it be said that it has 'upside potential, but no downside risk' when it comes to the stock market overall?

In group insurance, the evidence of a contract between the insurer and the employer or association is:

A Taft-Hartley Trust is established by one or more:

George, who has a group policy, may upon leaving his place of employment:

Which of the following statements is NOT true about the tax treatment of Social Security?

The Lucrative Lozenge Company provides a $5,000 monthly income to retirees who served as senior executives. This benefit is not available to other retirees of the company. This is an example of a:

Incidental limitations refer to which of the following?

Which of the following would NOT be permitted as a Section 1035 policy exchange?

A group deferred annuity or an individual deferred annuity would be most likely used:

Distributions from a qualified retirement plan:

TSAs are tax-sheltered retirement programs for employees of all the following kinds of organizations, except:

A stay at home father wants to open up an IRA. What is required in order for him to do so?

The tendency for poor risks to seek and be covered for insurance more than average risks is known as:

Health insurance is purchased to deal with all of the following risks, except:

A producer gathers information about the applicant for the insurer in order to avoid adverse selection. This is considered to be:

If the insurer issues a policy after receiving an application for health insurance in which preexisting conditions were inadvertently omitted, what would be the consequence to the insured's coverage if a preexisting condition caused a claim shortly after being issued?

Under what circumstances do major medical policies usually provide for restoration of benefits?

Comprehensive dental plans usually provide:

Managed care plans include all the following, except:

HMOs that wish to exclude or limit coverage:

A dread disease policy covers:

A certain major medical policy states a maximum number of days for which convalescent care will be paid as well as a maximum number of X-rays that will be paid for under any one claim. These are examples of:

What term describes the concept that the insurer and the insured share in the cost of medical expenses, with the insurer bearing the greater share?

Dental policies that limit benefits to specified maximums per procedure, with first dollar coverage are:

What type of disability income policies are most likely used to cover only nonoccupational disability as opposed to both occupational and nonoccupational?

Social Security disability benefits become available to eligible workers after a waiting period of:

Which of the following is NOT one of the categories of benefits incorporated by State Workers' Compensation Laws?

To reduce its exposure to claims from a substandard disability risk, an insurer may take all of the following actions, except:

• Remove all of the exclusion riders

Which rider would eliminate coverage for a preexisting condition?

Primary support for Medicare Part A comes from:

The first year commission for the sale of a Medicare supplement policy may be no more than ________ of the commission paid for selling or servicing the policy in the second year.

Which of the following statements is FALSE regarding Medigap policies?

All Medicare supplement (or Medigap) policies must:

A Medicare SELECT policy differs from a regular Medicare Supplement (Medigap) policy in that it:

The Medicare home health care benefit will provide for which of the following services?

A Medicare supplement policy may not limit benefits for losses incurred more than ________ from the effective date of coverage because they involve a preexisting condition.

With _______, the patient must pay 20% of covered charges plus the deductible.

Which of the following pertaining to most LTC policies is true?

All of the following statements about noncancellable policies are true, except:

Each of the following would be found in the insuring clause of an insurance policy, except:

Required/Mandatory Provision 'Proof of Loss' indicates that except in the absence of the insured's legal capacity, if it was not reasonably possible for the insured to provide proof of loss as required in a policy, the latest time the proof of loss may be furnished is:

Required Provision 'Reinstatement' addresses reinstatement of a lapsed policy. According to this provision, when an insured applies for reinstatement and receives a conditional receipt, how long does the insurer have to approve or deny reinstatement before the policy will be automatically reinstated?

One of your clients just reinstated his health insurance plan. When is coverage effective for sickness and accident?

All of the following are Optional Uniform Provisions:

Which statement concerning individual A&H policy renewal provisions is most correct from the perspective of the insured?

Which provision states that the insurance company must pay claims immediately?

All states have adopted the Uniform Individual Accident and Sickness Policy Provision Law. If an insurer changes any of these provisions, they must make sure it does not:

Under the Legal Actions Mandatory Uniform Provision, an insured must wait at least _____ days after providing proof of loss before he or she can take legal action against the insurer.

The Coordination of Benefits Provision is designed to:

The main benefit of 501(c)9 trusts is:

Which of the following statements is NOT true concerning a coordination of benefits situation?

Which of the following would NOT be a likely consideration in determining premium rates for group health insurance?

Which of the following policies would allow the business to deduct premiums paid?

On which of the following policies would any proceeds be taxable?

Which of the following might be eligible to participate in an MSA?