Exam (elaborations)
2024 INDIANA STATE LIFE & HEALTH EXAM WITH CORRECT ANSWERS
- Course
- Institution
2024 INDIANA STATE LIFE & HEALTH EXAM WITH CORRECT ANSWERS
[Show more]
Content preview
2024 INDIANA STATE LIFE &HEALTH EXAM WITH CORRECT
ANSWERS
Upon reaching the limiting age, a handicapped child can extend their health
insurance coverage as a dependent - CORRECT ANSWERS-Only if the child is
incapable of employment and chiefly dependent on the policyowner
According to Indiana Law, group life insurance conversion privileges must
NOT: - CORRECT ANSWERS-Require evidence of insurability
Individual disability income policies typical include an elimination period (t/f)
- CORRECT ANSWERS-True
A producer's license may be denied, suspended, or revoked if the licensee: -
CORRECT ANSWERS-is found guilty of misrepresentation in obtaining the
license
Which of the following actions is NOT possible with a Universal Life policy? -
CORRECT ANSWERS-premiums may be applied as a credit against income
tax
How long is the typical free look period for long term care insurance policies?
- CORRECT ANSWERS-20 days
Equity indexed annuities are invested in: - CORRECT ANSWERS-The S&P 500
Group life policies in Indiana are required to contain a conversion privilege
that allows for conversion: - CORRECT ANSWERS-to an individual policy for a
stated period of time
What is a key requirement for accelerated death benefit policy? - CORRECT
ANSWERS-Must have a terminal illness to qualify
The Insurance Commissioner CANNOT: - CORRECT ANSWERS-Activate
insurance companies financial reserves
,The Legal Action Provision in Indiana stipulates that the: - CORRECT
ANSWERS-insured must wait 60 days after submitting proof of loss to initiate
a lawsuit and has up to 3 years to file
A business entity acting as an insurance producer must: - CORRECT
ANSWERS-designate at least one licensed producer to be responsible for the
entity's compliance with the insurance laws and rules
A life insurance policy can be backdated before the application date for up to
____ months. - CORRECT ANSWERS-6
In a vatical settlement, how much does the policyowner receive for a life
insurance policy? - CORRECT ANSWERS-Amount less than the death benefit
At what point may a producer sell insurance for an insurer? - CORRECT
ANSWERS-After being properly appointed by the insurer
A licensed business entity acting as an insurance producer must: - CORRECT
ANSWERS-notify the Dept. of Insurance of any fictitious name used
If an existing Accident and Health policy is being replaced with a new policy,
the decision to replace should not be based on: - CORRECT ANSWERS-
commissions to be paid
Which of the following is NOT considered rebating? - CORRECT ANSWERS-
Sharing commission with an agent licensed in the same line of business
An example of an Unfair Claims Settlement Practice isL - CORRECT
ANSWERS-turning down a claim without providing the basis of denial
In order to terminate a producer's appointment, the insurer must: - CORRECT
ANSWERS-send notice of the termination to the commissioner
Qualified LTC policies may take into consideration an applicant's pre-existing
conditions for a maximum of not more than _____ month(s) prior to the
effective date of coverage - CORRECT ANSWERS-6
An insured must qualify for social security disability income to be accepted
for the waiver of premium provision? (t/f) - CORRECT ANSWERS-false
What type of annuity has a cash value that based upon the performance of
it's underlying investment funs? - CORRECT ANSWERS-Variable
What requires insurers to disclose when an applicant's consumer or credit
history is being investigated? - CORRECT ANSWERS-1970 - Fair Credit
Reporting Act
,Under the ACA, consumers must have health insurance as of January 1, 2014
that contains Minimum Essential Coverage (MEC). Individuals who exempt
from this law include: - CORRECT ANSWERS-Those who cannot afford or have
religious objections
A person who is insured within a group contract will be given a: - CORRECT
ANSWERS-certificate
When must insurable interest exist for a life insurance contract to be valid? -
CORRECT ANSWERS-Inception of the contract
What kind of special need would a policy owner require with an adjustable
life insurance policy? - CORRECT ANSWERS-Flexible premiums
Which of the following actions by a producer would NOT result in a license
suspension or revocation? - CORRECT ANSWERS-Producer represents a
foreign insurance company
Which of the following is NOT a required provision in group life policies? -
CORRECT ANSWERS-Right to Loan
What the maximum Social Security Disability benefit amount an insured can
receive? - CORRECT ANSWERS-100% of the insured's Primary Insurance
Amount (PIA)
T has an annuity that guarantees an income payment for the rest of his life.
The contract also guarantees that if T dies before receiving payments for 20
years, the remaining payments will be paid to his son for the balance of the
20 years. What type of annuity is this? - CORRECT ANSWERS-Life Annuity
with Period Certain
Which of these provisions is NOT required in individual life insurance policies
sold in Indiana? - CORRECT ANSWERS-Extended Term
What is the name of the law that requires insurers to disclose information
gathering practices and where the information was obtained? - CORRECT
ANSWERS-Fair Credit Reporting Act
Q is severely injured in an automobile accident and becomes totally disabled.
How many months must Q be disabled before being able to apply for Social
Security disability benefits? - CORRECT ANSWERS-5
Who elects the governing body of a mutual insurance company? - CORRECT
ANSWERS-Policyholders
, Which of the following policies combines investment choices with a form of
Term coverage? - CORRECT ANSWERS-Variable-Universal Life
Medicare Part B does NOT cover: - CORRECT ANSWERS-Physician and
surgeon services
Which provision allows the policy owner to change a term life policy to a
permanent one without providing proof of good health? - CORRECT
ANSWERS-Conversion
P and Q are married and have three children. P is the primary beneficiary on
Q's Accidental Death and Dismemberment (AD&D) policy and Q's sister R is
the contingent beneficiary. P, Q, and R are involved in a car accident and Q
and R are killed instantly. The Accidental Death benefits will be paid to -
CORRECT ANSWERS-P only
Which of these Nonforfeiture Options continue a build-up of cash value? -
CORRECT ANSWERS-Reduced Paid-Up
In Indiana, what is the maximum percentage of controlled business a
producer may write in a twelve-month period? - CORRECT ANSWERS-25%
Which of the following is NOT included in the policy face? - CORRECT
ANSWERS-Exclusions
All LTC policies purchased in Indiana MUST contain a free-look period of: -
CORRECT ANSWERS-10 days
Which of the following services is NOT covered under a hospitalization
expense policy? - CORRECT ANSWERS-Surgeon's fees
A "reimbursement policy" pays what amount of covered LTC expenses? -
CORRECT ANSWERS-Actual covered expenses up to the daily maximum
Which of the following statements about a Guaranteed Renewable Health
Insurance policy is correct? - CORRECT ANSWERS-Premiums normally
increase at time of renewal
What year was the McCarran-Ferguson Act enacted? - CORRECT ANSWERS-
1945
The Life & Health Insurance Guaranty Association is: - CORRECT ANSWERS-
funded by admitted insurance companies through assessments
When must insurable interest be present in order for a life insurance policy
to be valid? - CORRECT ANSWERS-When the application is made
The benefits of buying summaries with Stuvia:
Guaranteed quality through customer reviews
Stuvia customers have reviewed more than 700,000 summaries. This how you know that you are buying the best documents.
Quick and easy check-out
You can quickly pay through credit card or Stuvia-credit for the summaries. There is no membership needed.
Focus on what matters
Your fellow students write the study notes themselves, which is why the documents are always reliable and up-to-date. This ensures you quickly get to the core!
Frequently asked questions
What do I get when I buy this document?
You get a PDF, available immediately after your purchase. The purchased document is accessible anytime, anywhere and indefinitely through your profile.
Satisfaction guarantee: how does it work?
Our satisfaction guarantee ensures that you always find a study document that suits you well. You fill out a form, and our customer service team takes care of the rest.
Who am I buying these notes from?
Stuvia is a marketplace, so you are not buying this document from us, but from seller Elitaa. Stuvia facilitates payment to the seller.
Will I be stuck with a subscription?
No, you only buy these notes for $16.99. You're not tied to anything after your purchase.
Can Stuvia be trusted?
4.6 stars on Google & Trustpilot (+1000 reviews)
60281 documents were sold in the last 30 days
Founded in 2010, the go-to place to buy study notes for 14 years now