Show:
Life Section
Health Section
Random
Florida Laws
Duy is cool!
100
A producer completes an application for Life insurance and sends it to the underwriter who approves it and issues the policy. When is coverage effective: A)On the date the underwriter approved the application B)Immediately C)When the producer delivers the policy and picks up the premium D)On the date the client signed the application
C) When the producer delivers the policy and picks up the premium If the underwriter issues the policy, coverage would start when the producer delivers the policy and picks up the premium
100
Regarding Long Term Care insurance, which of the following is not considered to be an Activity of Daily Living (ADL): A)Eating B)Transferring C)Bathing D) Talking
D) Talking eating, bathing, walking, transferring, dressing and the general ability to care for one's self.
100
A 30 years old planning for retirement at age 60 would NOT buy: A. Immediate annuity B. 401K C. IRA D. Deferred annuity
A. Immediate
100
Which law governs the gathering of an applicant's investigate consumer report? A. Fair Credit Reporting Act B. Employee Retirement Income Securities Act C. Do Not Call List D. Social Security
A. Fair Credit Reporting Act
100
. Free look begins A. When the client decides to buy the policy B. Any time after the policy is delivered C. At policy delivery D. After the medical exam
C. At policy delivery
200
If the insured dies 5 years after he bought a Life insurance policy and the insurer determines that there was material misrepresentation on his application, they will: A)Pay only a portion of the claim B)Deny the claim C)Pay the claim D)Deny the claim but refund the premium
C) Pay the Claim Under state law, Life insurance policies are only 'contestable' for the first 2 years. After 2 years, the policy is 'incontestable', which means that the insurer must pay all claims, even if there was material misrepresentation on the original application.
200
Which non-forfeiture provision gives the insured the most protection? A)Automatic Premium Loan B)Reduced Paid up C)Paid-up Additions D)Extended Term
D)Extended Term
200
Every individual life insurance policy must include a grace period of not less than___ days within which the payment of any premium due may be made: A. 7 B. 10 C. 30 D. 31
Grace period for Term and Whole Life is, Industrial =28 days, Individual=30 days, and Group=31 days.
200
Knowing making any oral or written statement that is false or maliciously critical of, or derogatory to, any person and which is calculated to injure such person’s reputation is an Unfair or Deceptive Act known as: A. Defamation B. Boycott C. Intimidation D. Coercion
A. Defamation
200
What is Viatical Settlement? A. Someone who buys House Insurance B. A settlement of cash surrender C. Selling of life insurance to a third party before the mature age. D. Lawsuit against the Insurance company within 90days.
C. Selling of life insurance to a third party before the mature age.
300
A life insurance policy that combines term insurance protection, a flexible premium, and cash value accumulation is: A)Universal Life B)Increasing Term Life C)Variable/Universal Life D)Variable Life
A) Universal Life Variable has fixed premium Variable/Universal combines does not have guaranteed rate and cash value
300
If a dentist was off work for 4 months due to disability, his dental assistant's salary would be covered by: A)Partnership Disability insurance B)Business Overhead insurance C)Key Employee Disability D)Disability Income insurance
Business Overhead insurance is designed to pay a business owner's ongoing business expenses, such as rent and employee salaries, if they become disabled due to sickness or accident.
300
1. (Insured) 20 days notice of claim 2. (Insurer) 15 days provide claims form 3. (Insured) 90 days proof of loss a copy of receipts 4. (Insurer) 60 days to pay or deny a claim 5. (Insured) Up to 3 years for legal action
What are the set of days to make a claim and legal action for a policy?
300
An unlawful practice in which policy values in an existing life insurance policy or annuity are used to purchase another insurance policy or annuity with that same insurer for the purpose of earning additional commissions without a reasonable basis for believing that the replacement will result in an actual benefit to the policyholder is known as: A. Twisting B. Churning C. Coercion D. Sliding
B. Churning a. Twisting: misleading to induce client to make a current policy lapse to buy another policy with another company b. Churning: use cash value of old policy to buy another policy to induce more commission c. Rebating: giving benefits/money that is not included in the policy to induce sale (not prohibited in Florida, but has to meet strict requirements) d. Sliding: tell lies. For example: that a rider/feature is free of charge, but it is actually not e. Defamation: make a bad image of other products/companies f. Misrepresentation: give false info to induce sale g. Pressure: threaten, force to purchase
300
1. What is the earliest age a person can legally sign a life insurance application? A.16 B.17 C.18 D.21
C.18
400
Which of the following individual policy conversions is usually permitted without any evidence of insurability? A)Conversion to a lower-premium plan B)Conversion from a Whole Life policy to a Term policy C)Conversion to a larger amount of insurance D)Conversion from a Term policy to a Whole Life policy
D)Conversion from a Term policy to a Whole Life policy You cannot convert Term-to-Term or convert to a higher or lower face amount, and you cannot convert Whole Life-to-Term.
400
The Health insurance policy provision that prevents an insurer from altering its agreement with a policy owner by referring to documents not contained in the policy is the A)Entire Contract clause B)Insuring clause C)Legal Actions provision D)Incontestability clause
A) Entire Contract Clause This provision prevents either the insurer or the insured from modifying the policy after it has been issued without the consent of the other.
400
The period of time between when a new employee starts work and when they become eligible for the group coverage is the: A. Elimination period B. Eligibility period C. Waiting period D. Probationary period
C. Waiting period
400
Claim coverage = 5,500, deductible = 500, coinsurance 80/20 (insurer 80, insured 20) How much does the insured and insurance pay?
Insured’s portion = 500 + 20% x 5000 Insurer’s portion = 80% x 5,000
400
How many hours for continuing education (CE): A.15 B.20 C.60 D.24
D.24
500
A Life insurance policy of which the cash value is over-funded according to IRS rules is known as: A)A Variable Life Contract B)A Universal Life Contract C)A Variable/Universal Life Contract D)A Modified Endowment Contract A Modified Endowment Contract (MEC)
D)A Modified Endowment Contract is a Whole Life policy of which cash value builds too fast, which causes what is known as "over-funding".
500
An insured is required to submit Notice of Claim to the insurer within how many days after a loss? A)20 B)90 C)60 D)30
1. (Insured) 20 days notice of claim 2. (Insurer) 15 days provide claims form 3. (Insured) 90 days proof of loss a copy of receipts 4. (Insurer) 60 days to pay or deny a claim 5. (Insured) Up to 3 years for legal action
500
Which of the following policies would cover you in the event of a commercial plane crash? A. Workers compensation B. HMO C. Major medical D. Blanket policy
D. Blanket policy Covers group of things.
500
Health insurance is written on a takeitorleaveit basis, which means that it is: A. Unilateral B. Incontestable after 2 years C. A contract of adhesion D. Aleatory
D. Aleatory
500
Who controls the policy between stock and mutual insurers? A. Policyowners B. Shareholders C. Company D. A and B
Mutual Insurance: Policyowners Stock Insurance: Shareholders