Exam 15 Wrong Answers

Question 1

A person who does not lock the doors or does not repair leaks shows an indifferent attitude. This person presents what type of hazard?

Answer 1

Morale

Question 2

Which of the following is not true of Disability Buy-Sell coverage?

Answer 2

Benefits are considered taxable income to the business

Question 3

In order to become licensed to become a viatical settlement provider, an application must be made with

Answer 3

The Insurance Department

Question 4

How much inpatient care must be provided, following a vaginal delivery, by health insurance policies that provide maternity benefits?

Answer 4

48 hours

Question 5

How many eligible employees must be included in a contributory plan?

Answer 5

75%

Question 6

Insurers may change which of the following on a guaranteed renewable health insurance policy?

Answer 6

Rates by class

Question 7

If a policy includes a free-look period of at least 10 days, the Buyer’s Guide may be delivered to the applicant

Answer 7

With the policy

Question 8

Employer contributions made to a qualified plan

Answer 8

Are subject to vesting requirements

Question 9

Nonforfeiture values guarantee which of the following for the policy owner?

Answer 9

That the cash value will not be lost

Question 10

A 37 year old owns a policy with a Guaranteed Insurability Rider. The policy owner would like to increase the benefit amount offered by the policy. What documentation will be required?

Answer 10

No documentation

Question 11

Which type of dental care would cover the cost of fillings?

Answer 11

Restorative

Question 12

Which of the following statements regarding conditional receipts is true?

Answer 12

They are temporary insuring agreements

Question 13

An insured has had a life insurance policy that he purchased 3 years ago when he was 40 years old. He is killed in an automobile accident and it is discovered that he is actually 45 years old, and not 43, as stated on the application. What will the company do?

Answer 13

Pay a reduced death benefit

Question 14

A return of premium term life policy is written as what type of term coverage?

Answer 14

Increasing

Question 15

If a licensed person is moving to Pennsylvania, he or she may become licensed as a resident if they submit a completed application within how many days of establishing residence in Pennsylvania with proof of licensing from their prior home state?

Answer 15

90

Question 16

Who effectuated viatical settlement contracts?

Answer 16

Viatical settlement providers

Question 17

Which of the following statements concerning Medicare Part B is correct?

Answer 17

It pays for physician services, diagnostic tests and physical therapy

Question 18

If change needs to be made to the application for insurance, the agent may do all of the following except

Answer 18

Erase the incorrect answer and record the correct answer

Question 19

At age 30, an applicant wants to start an insurance program, but realizing that his insurance needs will likely change, he wants a policy that can be modified to accommodate those changes as they occur. Which of the following policies would most likely fit his needs?

Answer 19

Adjustable life

Question 20

What characteristic makes whole life permanent protection?

Answer 20

Coverage until death or age 100

Question 21

A new employee who meets HIPAA eligibility requirements must be issued health coverage on what basis?

Answer 21

Guaranteed

Question 22

Which of the following is true regarding a term health policy?

Answer 22

It is nonrenewable

Question 23

To avoid violations of unfair claims settlement regulations, insurers are required to acknowledge the receipt of a claim within how many days?

Answer 23

10 days

Question 24

Medicaid provides all of the following benefits Except

Answer 24

Income assistance for work related injury

Question 25

Which of the following entities has the authority to make changes to an insurance policy?

Answer 25

Insurer’s executive officer