Texas Life and Health Insurance Practice Test Questions with Correct Answers

T owns an Accident & Health policy and notifies her insurance company that she has chosen a less hazardous occupation. Under the Change of Occupation provision, which of the following actions may her insurance company take? - Answer-Increase her policy's coverage amount When an insurer issues a policy that refuses to cover certain risks, this is referred to as a(n) - Answer-Exclusion An agent who tells claimants that their rights may be impaired if they fail to complete a release form within a given period of time could be guilty of..? - Answer-Coercion What does the insuring agreement in a Life insurance contract establish? - Answer-An insurer's basic promise The first portion of a covered Major Medical insurance expense that the insured is required to pay is called the..? - Answer-Initial deductible A "reimbursement policy" pays what amount of covered Long-Term Care expenses? - Answer-Actual covered expenses up to the daily maximum The agreement in a life insurance contract that states a specific sum of money will be paid to a designated person upon an insured's death is called a(n) - Answer-Insuring agreement W is a 39-year old female who just purchased an annuity to provide income for life starting at age 60. All of these would be acceptable annuity choices EXCEPT a(n) - Answer-Immediate annuity Which of these are NOT an example of a Nonforfeiture option? - Answer-Life Income S filed a written Proof of Loss for a Disability Income claim on September 1. The insurance company did not respond to the claim. S can take legal action against the insurer beginning..? - Answer-November 1 An enrollee of a Health Maintenance Organization (HMO) may be cancelled or nonrenewed for which of the following reasons? - Answer-Failure to pay for coverage An agent who tells a client that dividends are guaranteed may be guilty of..? - Answer-misrepresentation