Download Final Exam PA Life, Health and Accident Question And Answers 2024-2023 and more Exams Nursing in PDF only on Docsity!
Question And Answers 2024-
Which of these factors is NOT taken into consideration when determining the cost of a long-term care policy? - Correct Answer ✅ Personal Income What is the nonforfeiture value of an annuity before annuitization? - Correct Answer ✅ All premiums paid, plus interest, minus any withdrawals and surrender charges In an employer sponsored contributory group disability income plan the employer pays 60% of the premium and each employee pays 40% of the premium. Any income benefits paid are taxed to the employee at? - Correct Answer ✅ 60% Premium mode is a term used to describe the? - Correct Answer ✅ Frequency of the premium payment A master contract and certificate of coverage can be found in which type of policy? - Correct Answer ✅ Group With a scheduled dental policy, how are covered expenses paid?
- Correct Answer ✅ Benefits are limited to a specific maximum dollar amount per procedure
Question And Answers 2024-
All of the following are included as a part of a contract in the entire contract provision EXPECT the? - Correct Answer ✅ Change made by the producer A securities license is required for a life insurance producer to sell - Correct Answer ✅ Variable life insurance Under a disability income policy, which provision would be payable if the cause of an injury is unexpected and accidental? - Correct Answer ✅ Accidental bodily injury provision Under a life insurance policy, what does the insuring clause state? - Correct Answer ✅ The insures obligation to pay a death benefit upon an approved death claim What type of disability would be less than total impairment and equal to permanent impairment? - Correct Answer ✅ Permanent partial disability
Question And Answers 2024-
How are annuities given favorable tax treatment? - Correct Answer ✅ Gains are taxed at distribution The term which describes the fact that both parties of a contract may NOT receive the same value is referred to as - Correct Answer ✅ Aleatory Karen is a producer who has obtained personal information about a client without having a legitimate reason to do so. Under the McCarran-Ferguson Act, what is the minimum penalty for this? - Correct Answer ✅ $10, The entire contract includes the actual policy and the - Correct Answer ✅ Application Which of these describes the result of a modified endowment contract that failed to meet the seven pay test? - Correct Answer ✅ Pre Death distributions are typically taxable
Question And Answers 2024-
Phil is shopping for an annuity that guarantees he CANNOT outlive the benefits. Which of these benefit options would he choose? - Correct Answer ✅ Guaranteed lifetime withdrawal benefit A permanent life insurance policy where the policy owner pays premiums for a specified number of years is called an? - Correct Answer ✅ limited pay policy The waiver of premium does NOT include which provision? - Correct Answer ✅ All future premiums are waived if the insured recovers from the disability A life insurance illustration showing future premiums being paid out of non guaranteed value must disclose that - Correct Answer ✅ The policy owner may need to resume premium payments depending on actual results When a producer offers something of value in return for the purchase of an insurance policy, which prohibited sales practice has been committed? - Correct Answer ✅ Inducement
Question And Answers 2024-
An employee under a group insurance policy has the right to name a beneficiary - Correct Answer ✅ Convert to an individual policy in the event of employment termination Which contract element is insurable interest a component of? - Correct Answer ✅ Legal Purpose Every Pennsylvania insurer, upon receiving notification of a claim, must acknowledge receipt of the notice within - Correct Answer ✅ 10 days Andy the annuitant dies before the annuity start date. Which of the following is a TRUE statement? - Correct Answer ✅ Premiums paid plus interest earned is returned to the beneficiary Which of the following decisions would a Heath Savings Account (HSA) owner NOT be able to make? - Correct Answer ✅ The amount contributed to the employer Within how many days must a Traditional IRA be rolled over to another IRA in order to avoid tax consequences? - Correct Answer ✅ 60 days
Question And Answers 2024-
The time limit for filing claim disputes is addressed in which provision of an accident and health policy? - Correct Answer ✅ Legal Actions An insured under a Major Medical expense plan with a zero deductible and 80/20 coinsurance provision files a $1,000 claim. How much of this claim is the insured responsible for? - Correct Answer ✅ The insured is only responsible for 20% of the claim so the insured only pays $ Craig submits a $500 claim for medical expenses. With a past due premium of $100, the insurer pays $400. Which of the Uniform Optional Provisions covers this situation? - Correct Answer ✅ Unpaid Premium Variable life insurance and Universal life insurance are very similar. Which of these features are held exclusively by variable life insurance? - Correct Answer ✅ Policy owner has the right to select the investment which will provide the greatest return
Question And Answers 2024-
Karissa purchases a 10-year level term life insurance policy that has a death benefit of $200,000 which of these statements is true? - Correct Answer ✅ The face amount and premium will remain constant over the 10-year period In a group heath care, what is the purpose of the coordination of benefits provision? - Correct Answer ✅ Determines what is paid by the primary and secondary insurers in the event of a claim Frank is shopping for a disability income policy. Which of the following would have the HIGHEST premium? - Correct Answer ✅ 14 day waiting period / 10 year benefit period When an insurance company consistently fails to provide reasonable explanations for the denial of a claim this is called? - Correct Answer ✅ Unfair claim settlement An example of a presumptive disability would be - Correct Answer ✅ deafness
Question And Answers 2024-
Maria is a Preferred Provider Organization (PPO) subscriber and received care from an out-of-network provider. Which of the following is the likely result? - Correct Answer ✅ Care is covered Viatical Settlement brokers are permitted to do all of the following things EXCEPT - Correct Answer ✅ Make the first transaction up to 30 days before approved for the license Which approach predicts a person's earning potential and determines how much of that amount would be devoted to dependents? - Correct Answer ✅ Human life value approach Written notice for a health claim must be given to the insurer ___ days after the occurrence of the loss. - Correct Answer ✅ 20 days Which of the following is considered to be an event or condition that increases the probability of an insured's loss? - Correct Answer ✅ Hazard Hazard - Correct Answer ✅ Events or conditions that increase the likelihood of an insured's loss
Question And Answers 2024-
Kristi purchases an annuity that will pay her husband an income for 15 years. If he dies, this income will become payable to their children for the remainder of the period. Kristi has what kind of annuity? - Correct Answer ✅ Temporary annuity certain Temporary Annuity Certain - Correct Answer ✅ The company guarantees that payments will be made for a specified number of years. Since the income is guaranteed, if the annuitant dies before receiving payments for the full specified period of time, the annuitant's beneficiary will receive the payments for the remaining number of years Tom has a home health care benefit and is confined to his home. Which of these benefits is NOT typically covered? - Correct Answer ✅ Full time nursing care A nonparticipating company is sometimes called an? - Correct Answer ✅ Stock insurer If the insurance department determines that the issuance of a temporary producer license serves in the publics best interest,
Question And Answers 2024-
the license may be issued to - Correct Answer ✅ an executor of a deceased producer's estate What percentage of a participants income are group long-term disability benefit amounts typically limited too? - Correct Answer ✅ 60% Which type of plan would be most appropriate for an individual on Medicare and is concerned that Medicare will NOT pay for charges exceeding the approved amount? - Correct Answer ✅ Medicare Supplement Plan F Insuring Clause - Correct Answer ✅ The insurer's basic promise to pay specified benefits to a designated person in the event of a covered loss. The purpose is to specify the scope and limits of the coverage provided. Consideration Clause - Correct Answer ✅ A policyowner must pay a premium in exchange for the insurer's promise to pay benefits. A policyowner's consideration consists of completing the application and paying
Question And Answers 2024-
premiums, outstanding loans, and interest. Most states allow reinstatement up to 3 years after the policy has lapsed Incontestable Clause - Correct Answer ✅ The clause in life insurance contract that prohibits the insurer from questioning the validity of the contract after a certain period of time has elapsed. Misstatement of Age or Sex Clause - Correct Answer ✅ If the insured's age or sex is misstated, the amount payable is the amount that the premiums paid would have purchased at the correct age and sex Policy Loan Provision - Correct Answer ✅ Policies that have cash value also have policy loan and withdrawal provisions. These policies must begin to build cash value after a certain number of years in most states 3 years. These loans with interest cannot exceed the guaranteed cash value or the policy will no longer be in force. The policy owner has the right to the policy's cash value. Policy loans are NOT taxable. Any loans with interest due at the time of death will be deducted from the insured's policy proceeds.
Question And Answers 2024-
Automatic Premium Loans - Correct Answer ✅ Allows the insurer to automatically use the policy cash value to pay an overdue premium. There is no cost for this provision. Owner's Rights Provision - Correct Answer ✅ Defines the person who may name and change beneficiaries, select options available under the policy, and receive any financial benefits from the policy. Assignment Clause or Provisions - Correct Answer ✅ The right to transfer policy rights to another person or entity. The new owner is known as the assignee. Absolute Assignment - Correct Answer ✅ When the assignee receives full control of the policy and rights to the policy benefits from the current policy owner. The transfer is complete and irrevocable, and the assignee receives full control over the policy and full rights to its benefits. Collateral Assignment - Correct Answer ✅ The partial and temporary transfer of rights to another person or entity. Collateral assignments are usually intended for securing a loan
Question And Answers 2024-
Proof of Loss - Correct Answer ✅ The statement that an insured must give an insurance company to show that a loss actually occurred, after the loss occurs, or after the company becomes liable for periodic payments, the claimant has 90 days in which to submit a proof of loss. Insurance companies cannot pay you if there is no proof of loss. Time of Payment of Claims - Correct Answer ✅ The time of payment of claims provision provides for immediate payment of the claim after the insurer receives notification and proof of loss. This prevents insurance companies from delaying claim payments. Payment of Claims - Correct Answer ✅ A provision that specifies to whom claims payments are to be made. Payments for loss of life are to be made to the designated beneficiary if no beneficiary payments are made to the estate Physical Exam and Autopsy - Correct Answer ✅ A provision that allows an insurer, at its own expense, to have an insured physically examined when a claim is pending or to have an autopsy performed where not prohibited by law.
Question And Answers 2024-
Legal Actions - Correct Answer ✅ The insured cannot take legal action against the company in a claim dispute until 60 days from the time the insured submits proof of loss. Provides the insurer adequate time to research a claim. Change of Beneficiary - Correct Answer ✅ The insured, as policy owner, may change the beneficiary designation at any time unless a beneficiary has been named irrevocably. Settlement Options - Correct Answer ✅ Where the ways in which the proceeds can be paid out or settled are explained. Discretionary Period - Correct Answer ✅ Limits the way a court can review a claim denial and makes it difficult for the court to conduct a fair review of the claim some states have enacted laws the prohibit discretionary provision because they are designed to protect the insurance policy. Change of Occupation - Correct Answer ✅ The provision also allows the insurer to reduce the maximum benefit payable under the policy if the insured switches to a more hazardous occupation or to reduce the premium rate charged if the insured changes to a less hazardous occupation
