NY Life, Accident, and Health Insurance Agent/Broker Exam Series 17-55| 75 QUESTIONS| GRAD, Exams of Socialization and the Life Course

Download NY Life, Accident, and Health Insurance Agent/Broker Exam Series 17-55| 75 QUESTIONS| GRAD and more Exams Socialization and the Life Course in PDF only on Docsity! NY Life, Accident, and Health Insurance Agent/Broker Exam Series 17-55| 75 QUESTIONS| GRADED A 1. Which policy provision permits the policy owner to take a specified number of days to examine the contract, and allows for cancellation and a full refund if the policy owner rejects the terms or costs? - ✅✅✅Free Look 2. When will a policy pay on a UCR basis? - ✅✅✅When particular benefits are not listed on a payment schedule 3. Which type of rider reimburses health and social service expenses incurred in a convalescent or nursing home facility? - ✅✅✅long term care rider 4. Which of the following is exempted from the incontestability provision in insurance policies? - ✅✅✅Fraudulent misstatements 5. What does first dollar coverage mean? - ✅✅✅As soon as covered medical expenses are incurred, the policy begins to pay 6. What is the waiver of premium provision? - ✅✅✅In a long term care contract, the premium is waived after the insured has been confined for a specific period of time 7. According to the Time Payment of Claims provision, the insurer must make the payment immediately after receiving proof of loss EXCEPT - ✅✅✅for claims involving periodic payments 8. Which is a disadvantage to a flexible premium annuity? - ✅✅✅the actual amount of the annuity benefit cannot be determined in advance 9. When a policy or certificate containing an accelerated benefit provision is applied for or delivered, the producer is responsible for providing that applicant a summary of coverage that includes all of the following EXCEPT - ✅✅✅a detailed and comprehensive summary of the accelerated benefit 10. which one of the following represents an advantage of obtaining a policy loan versus a withdrawal? - ✅✅✅the loan is not taxed while a withdrawal is taxed for amounts above the contract cost basis 11. How does a noncancelable policy differ from a guaranteed renewable policy? - ✅✅✅with the non cancelable policy the insurer may increase premiums only based on the terms of the policy 12. What does it mean if a health policy is conditionally renewable? - ✅✅✅Insurer may elect NOT to renew only under the conditions specified in the policy 13. When the suicide clause is inserted in a life insurance contract, death by suicide is not covered during the policy's initial: - ✅✅✅2 year period 14. What does coinsurance mean? - ✅✅✅The insurer and the insured share expenses over the deductible. 15. Which of the following must be given to the insurer within 20 days after occurrence or commencement of any loss covered by the policy, or as soon thereafter as is reasonably possible? - ✅✅✅Notice of claim 16. The right to change the beneficiary or dispose of the policy or its benefits in any manner one chooses is reserved to the policy owner UNLESS which of the following is true? - ✅✅✅The policy owner has named an irrevocable beneficiary 17. Which of the following refers to how often a premium is paid? - ✅✅✅Mode 18. All of the following are common exclusions from loss found in disability income policies EXCEPT for that incurred while - ✅✅✅Committing a misdemeanor 19. At which point are contractual death benefit settlement options determined and by whom are they determined? - ✅✅✅At the time the policy is purchased by the owner of the policy 42. For an individual long-term care policy there is an annual dollar limit for tax deductions that is based on which of the following? - ✅✅✅age 43. When can the premiums of an individually owned health insurance policy be deducted from the individual's income tax? - ✅✅✅when the taxpayer's medical expenses exceed 7.5% of adjusted gross income during a taxable year 44. In noncontributory plans, which percentage of eligible members must participate? - ✅✅✅100% 45. Short term disability insurance generally only covers injuries due to which of the following? - ✅✅✅Non-occupational injuries 46. Managed care plans increase efficiency by all of the following means EXCEPT - ✅✅✅transferring the management of costs to the insureds. 47. Under which situation must insurable interest exist between the applicant and insured at the time of application? - ✅✅✅When a third-party applicant names themselves beneficiary 48. Which of the following is characteristic of a nonqualified plan? - ✅✅✅plan does not meet federal guidelines for tax benefits 49. In a home healthcare benefit, all of the following are eligible expenses EXCEPT - ✅✅✅blood transfusions 50. All of the following are requirements to qualify for Social Security disability benefits EXCEPT when - ✅✅✅unable to work in occupation in which the worker was trained or educated 51. How long after being entitled to disability benefits will an individual be eligible to receive Medicare benefits? - ✅✅✅2 years 52. Which of the following amends the Social Security Act to make Medicare secondary to group health plans? - ✅✅✅TEFRA 53. Which of the following is TRUE of a point of service plan? - ✅✅✅A patient's care is coordinated by an in-network primary care physician. 54. A group conversion option may be used in all the following instances EXCEPT - ✅✅✅a life- changing event, such as marriage, divorce, or childbirth 55. Which problem was universal life insurance designed to address? - ✅✅✅low interest rates during periods of high inflation 56. Compared to basic hospital, medical and surgical policies, which type of insurance provides broader coverage, fewer gaps, higher individual benefits, and higher policy maximums? - ✅✅✅major medical insurance 57. Current assumption whole life policies are sensitive to which of the following? - ✅✅✅interest rates 58. Which is the major reason why long term care insurance is becoming increasingly important? - ✅✅✅As life expectancy increases, the chances of needing long term care also increase 59. Which of the following is defined as the dollar amount beyond which the insured no longer participates in payment of medical expenses? - ✅✅✅Stop Loss Limit 60. Which is the primary purpose of Health Reimbursement Accounts (HRAs)? - ✅✅✅To assist covered employees with the payment of medical expenses on a high deductible plan funded through pre-tax contributions. 61. States generally define a true "group" for insurance as requiring a minimum of how many participants? - ✅✅✅10 62. When should a buy-sell agreement include a provision for the buy-out of an owner's business interest in the event of a disability? - ✅✅✅When there is a buy-sell agreement funded with life insurance to buyout the interest of a deceased owner or partner. 63. Which type of life policy can be continued year after year without a required medical examination but rates are dependent on the insured's current age? - ✅✅✅renewable term 64. Which of the following is true about a decreasing term life policy? - ✅✅✅The face amount reaches zero at policy expiration. 65. Which of the following is TRUE of the limited pay whole life policy? - ✅✅✅Coverage continues after the policy is paid-up. 66. Which of the following is a characteristic of Preferred Provider Organizations (PPOs)? - ✅✅✅prearranged costs for services rendered 67. All of the following are characteristics of variable whole life EXCEPT - ✅✅✅there is no guaranteed minimum death benefit. 68. Which of the following policy types is considered double indemnity? - ✅✅✅accidental death 69. Which of the following lists the three common types of permanent individual life insurance? - ✅✅✅Variable Life, Whole Life, Universal Life 70. Which of the following is TRUE for a flexible premium annuity? - ✅✅✅The purchaser has the option to vary the amount of each premium payment falling between a minimum and maximum amount. 71. Which type of annuity covers two or more annuitants and provides monthly income only until the first annuitant dies? - ✅✅✅Joint Life Annuity 72. Which of the following coverage types pays a monthly cash benefit following the elimination period for total disability due to accident or sickness? - ✅✅✅Disability income insurance 73. In which of the following does a covered employee agree to a reduction in compensation so the amount can be used to cover medical expenses? - ✅✅✅Flexible Spending Account (FSA)