Accident, Life, & Health

Question 0

What is WHOLE LIFE

Answer 0

Life policy that runs for the insured’s whole life. Until death or the ultimate age on the mortality table being used (age 100). Premiums for a WHOLE LIFE policy may be paid for the whole life or for a limited period. AKA permanent insurance.

Question 1

What is an irrevocable beneficiary?

Answer 1

Once elected, a irrevocable beneficiary can’t be changed without the named beneficiary’s consent since they have a “vested” interest in the policy benefits. A policy loan would also require the consent of the irrevocable beneficiary.

Question 2

What is UNIFORM SIMULTANEOUS DEATH ACT

Answer 2

A uniform law adopted by most states providing that if the Primary beneficiary and the insured die in the same accident and there is no proof that the beneficiary outlived the insured, the proceeds are paid as if the primary beneficiary died first which means that the proceeds are paid to the contingent beneficiary. Also known as the COMMON DISASTER PROVISION.

Question 3

What is a contingent beneficiary?

Answer 3

Someone name to receive benefits of the primary beneficiary is. It alive when the insured dies. Example: the primary beneficiary might be your spouse and the contingent beneficiary might be your children

Question 4

What is HICAP

Answer 4

Health insurance counseling and advocacy

Provides FREE information about MEDICARE

Question 5

A 65 year old insured kens a $100k non participating whole life policy. The policy is paid up as of today. When would the cash value reach $100K?

Answer 5

At age 100

Question 6

Which is not provided by HOSPICE CARE

Answer 6

Rehab

Question 7

According to the CIC an insured’s policy must specify the following EXCEPT

Answer 7

The financial rating of the insurer

Question 8

What expenses are never covered by a LTC insurance policy?

Answer 8

Hospital acute care unit

Question 9

What is a HAZARD

Answer 9

A condition that might increase the likelihood of a loss occurring.

Question 10

When a licensed agent submits a renewal application with applicable fee on or before the expiration date

Answer 10

The agent will be able to operate for up to a month after the specified expiration date

Question 11

What is CO INSURANCE

Answer 11

A provision stating that health insured’s and their insurers will SHARE covered losses

Question 12

TERM INSURANCE is characterized by

Answer 12

Low premiums and no cash value

Question 13

Medicare PART A does NOT provide coverage for?

Answer 13

Physician services

Question 14

According to CIC, all insurers must maintain a department to investigate

Answer 14

Possible fraud claims from insureds.

Question 15

Hospice care provides services to patients who are

Answer 15

Terminally ill.

Question 16

In the Medicare system, the services provided by doctors and surgeons are covered by

Answer 16

Part B. There IS a charge

Question 17

When workers comp laws became mandatory, it meant

Answer 17

That employers were financially responsible for employees on the job injuries regardless of fault.

Question 18

Who pays the premiums for a workers comp policy for a retail store?

Answer 18

Entirely paid by the EMPLOYER

Question 19

In CA after January 1,2002, the definition of health insurance includes all of the following types of coverages EXCEPT

Answer 19

Accidental death and dismemberment coverage

Question 20

A group health plan third party administrator might do any of the following EXCEPT

Answer 20

Pay policy owner premiums

Question 21

How long must a life agent maintain records regarding policies sold in this state?

Answer 21

5 years

Question 22

In order to obtain group insurance without providing evidence of insurability, what do eligible individuals generally have to do?

Answer 22

Enroll within a specified eligibility period.

Question 23

An agent who acts as an insurance agent, broker, solicitor, life agent, acts in which capacity which handling premiums or return premiums for an insured?

Answer 23

Fiduciary

Question 24

A measure of rating an individual’s red for long term care benefits is called

Answer 24

Activities of daily living.

Question 25

In order to determine the amount of premium, the insurer

Answer 25

Multiplies the rate by the number of exposure units

Question 26

Viatical settlements are accomplished through the use of

Answer 26

Absolute assignment

Question 27

What is the tax treatment for individual disability income policies

Answer 27

Non deductible premiums and tax free benefits

Question 28

Extended term insurance

Answer 28

Non forfeiture option that uses cash surrender values to purchase paid up term insurance for the full face amount of the policy.

Question 29

In a 7 year vesting schedule, what percentage of employer contributions must be vested after 7 years of service?

Answer 29

100%

Question 30

A representation in an insurance co tract qualifies as

Answer 30

An implied warranty

Question 31

Term insurance

Answer 31

Life insurance that normal doesn’t have cash accumulation and is issued to remain in force for a specified period of time which can be renewed or terminated. Term is considered to be TEMPORARY coverage.

Question 32

Whole life insurance

Answer 32

Permanent insurance that covers you until you die.

Question 33

Tertiary beneficiary

Answer 33

If the primary and contingent beneficiary die, the tertiary beneficiary receives the proceeds. FINAL beneficiary.