General

Question 0

In which contract is only one party legally bound to the contractual obligations after the premium is paid to the insurer?

Answer 0

Unilateral

Question 1

What word do you automatically associate consideration with?

Answer 1

Premium

Question 2

What is a licensed individual who negotiates insurance contracts with insurance on behalf of the applicant?

Answer 2

A Broker

Question 3

Who determines the probability of loss and sets premium rates?

Answer 3

Actuarial department

Question 4

Who’s responsible for the selections of risk and rating that determines actual policy premiums?

Answer 4

Underwriting

Question 5

Who’s responsibilities include fiduciary duty to the insurer and all respect especially when heavily premiums for insurance policies or application?

Answer 5

Producer

Question 6

What’s the type of authority that is written into the producers contract?

Answer 6

Express

Question 7

Whats the type of authority the public assumes the producer has?

Answer 7

Implied

Question 8

Not wearing a seatbelt is considered what type of hazard?

Answer 8

Morale

Question 9

What are the 5 underwriting condition?

Answer 9

Age
Gender
Tobacco 
Preexisting conditions 
Hazardous occupation

Question 10

The cost sharing between the customer and the company stated as the percentage of the claim amount paid after the deductible is met?

Answer 10

Co insurance

Question 11

The initial amount paid by the customer before the insurance benefits applies?

Answer 11

Deductible

Question 12

When an agent misleads the public in an advertisement, who is held accountable?

Answer 12

The insurer and the agent

Question 13

Who pays for any reports or medical exams required as part of the underwriting process for insurance?

Answer 13

The company

Question 14

Which type of plan emphasizes preventative medicine and early treatment with prepaid routine medical exam, stress management and diagnostic screening techniques?

Answer 14

HMO

Question 15

Which coverage has the freedom to choose any service provider in the us?

Answer 15

PPO

Question 16

What combines HMO & PPO?

Answer 16

POS

Question 17

An insurance company has a participating policy and the dividends are taxable this is an example of a what company?

Answer 17

Stock insurance

Question 18

This regulatory association promotes uniformity of insurance rules across states but has no legal authority to enforce the rules. It is what?

Answer 18

NAIC

Question 19

What are the necessary elements of a legal contract?

Answer 19

Consideration
Agreement
Acceptance

Question 20

An office that was set up to monitor the insurance industry to try to tailor it to me traditionally undeserved communities and was parts of the Dodd-Frank Wall Street reform was what?

Answer 20

Federal insurance office

Question 21

A customer should never gain from a loss, only be returned to their original state, is called what?

Answer 21

Principal of indemnity

Question 22

What is not a government sponsored health plan?

Answer 22

Medicare Advantage

Question 23

What rider waves the elimination period if the insured is hospitalized during the elimination period!

Answer 23

Hospital confinement rider

Question 24

When it comes to underwriting disability income what is the single most important rating factor?

Answer 24

Occupation

Question 25

To collect SSDI an employee must be unable to engage in any substantial gainful activity due to a medically determined, physical, or mental condition that has lasted or is expected to last at least how long?

Answer 25

12 months

Question 26

What does not cause cobra coverage to end?

Answer 26

Employee has used up all 12 months of cobra benefits

Question 27

A high deductible health plan has a high deductible but also does what?

Answer 27

Only pays for preventative services into the deductible is met

Question 28

Whats part of a risk retention group

Answer 28

Groups must be made up of a large number of homogeneous or similar units

Question 29

What is a self-insurer

Answer 29

Self-insurance assume all of the financial risk without transferring the risk to an insurer

Question 30

What is the disability income policy?

Answer 30

Pays in benefits, weekly or monthly, when an insured is unable to work due to illness or injury

Question 31

What happens to benefits during a business overhead expense?

Answer 31

Benefits received our taxable to the business owner and must be reported as income

Question 32

What happens to benefits during the key person disability insurance

Answer 32

The premiums are not deductible to the business nor are the benefits received tax free

Question 33

Group Disability income insurance is usually offered how?

Answer 33

Only on a non-occupational basis which will not cover work related disabilities

Question 34

What is the principal sum an accidental death and dismemberment?

Answer 34

The principal some will be paid if the insured dies due to an accident within 90 days from the date of the accident.

Question 35

HMOs does what?

Answer 35

Emphasizes preventative medicine and early treatment with prepaid routine medical exams, stress management and diagnostic screening techniques

Question 36

What does a primary care physician do

Answer 36

Monitor healthcare needs and helps to control cost by not recommend unnecessary services

Question 37

What does PPO do

Answer 37

PPOs are an arrangement under which a selected group of independent hospitals and medical practitioners in a certain area, agree to provide service to subscribers at a prearranged costs

Question 38

What does basic medical expense do?

Answer 38

Pays for Office visits, diagnostic x-rays, laboratory charges, and ambulance expenses when not hospitalized

Question 39

What's basic hospital expense

Answer 39

Pays for hospital room and board and miscellaneous hospital expenses

Question 40

Who receive the master policy in group insurance

Answer 40

The group sponsor

Question 41

What is a conversion privilege

Answer 41

A conversion privilege allows an employee to convert the group coverage to an individual policy without proof of insurability

Question 42

Cobra coverage may continue for dependents of to how many months

Answer 42

36

Question 43

Hippa was designed for what

Answer 43

Provide coverage for people with pre-existing condition