Florida 2-15 Insurance License Exam|150 LATEST 2024-2025 ACTUAL EXAM 150 QUESTIONS AND COR, Exams of Nursing

Download Florida 2-15 Insurance License Exam|150 LATEST 2024-2025 ACTUAL EXAM 150 QUESTIONS AND COR and more Exams Nursing in PDF only on Docsity! Florida 2-15 Insurance License Exam|150 LATEST 2024-2025 ACTUAL EXAM 150 QUESTIONS AND CORRECT ANSWERS |A+ GRADE|NEW!! Accumulation units are converted into annuity units: - Correct answerat the time of annuity payout. A group life insurance plan in which the employer pays the entire premium is known as a ________________ plan. - Correct answernoncontributory If a disabled worker covered under Social Security disability benefits recovers and then is disabled again within five years, a new waiting period is required before benefits begin again. - Correct answerFALSE Robert had an accident and qualified for Social Security disability. Given the waiting period, when will Robert begin to receive benefits? - Correct answerAfter 5 months The Insuring Clause includes all of the following EXCEPT the - Correct answerbeneficiary Mutualization occurs when a stock company turns to a __________ company. - Correct answermutual To provide a safeguard for insureds, most major medical policies contain a ____________ feature that limits the insured's out-of-pocket expenses. - Correct answerstop-loss Tom is a newly appointed life, health and variable annuity agent with Acme Insurance Agency. He is writing his first insurance policy on his brother-in-law's life. Who does Tom legally represent in this transaction? - Correct answerAcme Insurance Agency An insurance clause is a distinct article in a formal document that establishes the rules in the contract that _____________________ must adhere to. - Correct answerboth the insurer and the insured "ACC" refers to the type of disability that prevents someone from performing the job he was performing prior to the disability. - Correct answerFALSE Which statement is CORRECT about the Department of Financial Services' right to examine an agent's records? - Correct answerAn examination can be conducted at any time to discover any unfair trade practices. Bill gives Jim a couple of tickets to a Florida Gators game to thank him for purchasing a policy. This is an example of: - Correct answerrebating ____________ term insurance provides a level amount of protection for a specified period, after which the policy expires. - Correct answerLevel Business overhead expense (B.O.E.) insurance does not provide benefits to cover the business owner's salary. - Correct answerTRUE Level, decreasing, and increasing insurance are all basic forms of ____________ insurance. - Correct answerterm Hospice services are covered under Medicare Part A. - Correct answerTRUE Under Florida law, group health insurers must offer mental and nervous disorder insurance to policyowners. - Correct answerTRUE Deductibles under a group major medical plan usually run from $250 to $500; whereas individual health plans usually run from: - Correct answer$1,000 plus. Every HMO subscriber must receive a benefits package that includes a copy of the HMO contract and certificate, and: - Correct answera member's handbook. A life insurance policy will not be reinstated if it has been: - Correct answersurrendered for its cash value. A medical expense policy states that it will pay a flat $200 a day for each day of hospitalization. The policy pays benefits on what basis? - Correct answerIndemnity Basic Medical Expense insurance limits coverage to specific types of medical care. - Correct answerTRUE A _____________ group involves combining several parties into a group for the purpose of obtaining insurance. - Correct answerfictitious The ____________________ Act mandated once and for all that insurance would be regulated by the states. - Correct answerMcCarran-Ferguson The type of annuity that provides a guaranteed rate of return is called a variable annuity. - Correct answerFALSE Mathew purchased an annuity naming his wife, Cher, beneficiary. Upon Mathew's death, Cher will receive the proceeds: - Correct answertaxed as ordinary income above Mathew's cost basis. Policy reserves are the intangible amounts set aside by the _____________ out of the insurer's assets at the beginning of the policy period. - Correct answerinsurer SIMPLE plans can be structured as an IRA or a 401(k). - Correct answerTRUE A complete examination of an HMO's affairs is conducted at least: - Correct answeronce every five years. A portion of a mutual insurer's premiums are paid out as policy dividends and are considered: - Correct answerrefunds COBRA provides health benefit extensions for ____________ after employment is terminated. - Correct answer18 months Which of the following expenses would NOT be covered under a Business Overhead Expense policy? - Correct answerOwner's salary Complete this sentence: "Typically, the shorter the premium-paying period, the _________________." - Correct answerhigher the premium. Florida statutes require licensees to notify the Department in writing within _____ days after a change of name, residence address, principal business street address, or mailing address. - Correct answer60 Which of the following best describes the basic principal of group insurance? - Correct answerIt provides coverage for a number of people under a single contract. Under the surgical schedule method of a basic medical expense plan, every procedure: - Correct answeris assigned a dollar amount by the insurer. Which of the following is an example of "churning?" - Correct answerReplacing a policy within the same company in a deceptive or misleading manner What is the Free Look Period for annuity contracts? - Correct answer14 days Using preprinted material in a sales presentation is recommended because: - Correct answersuch material generally has been reviewed for compliance. The Social Security payroll tax is known as ____________ tax. - Correct answerFICA What is the operating objective of a stock insurance company? - Correct answerTo make a profit for its owners, the stockholders Most adjustable life policies are more expensive than conventional term policies or whole life policies. - Correct answerTRUE HMOs reimburse their insureds for covered medical expenses. - Correct answerFALSE An agreement that provides that upon a business owner's death, surviving owners will purchase the deceased's interest, often with funds from life insurance policies owned by each principal on the lives of all other principals is the: - Correct answerBuy-Sell plan. In Florida, which of the following groups are eligible for group life insurance? - Correct answerTypically, any type of legitimate group is eligible to purchase a group life insurance policy. In a guaranteed renewable health policy, the company may increase premiums: - Correct answeronly for an entire class of insureds. Under the Uniform Provisions Law, which of the following provisions are optional for a health policy? - Correct answerChange of Occupation The person who has a health maintenance contract is referred to as the: - Correct answersubscriber In order to qualify for Medicaid benefits, applicants must be at least age ____, blind or disabled, and meet other eligibility requirements. - Correct answer65 Under the Unfair Trade Practices Act, claim forms must be sent to the insured within _______ from the date a claim is reported. - Correct answer15 DAYS A life insurance policy's cash value belongs to the insured. - Correct answerFALSE Agents should check with _________________ to determine if the insurer they are representing is a properly authorized insurer. - Correct answerthe Department of Financial Services Supplemental Medical Insurance, Medicaid, and U.S. Armed Services and Veterans Insurance are all examples of what type of insurer? - Correct answerGovernment Insurers _____________ health insurance is issued to cover a group who may be exposed to the same risks, but the composition of the group is constantly changing. - Correct answerBlanket The miscellaneous expense benefit in a basic hospital expense policy normally will cover: - Correct answerhospital room and board. Florida law does not regulate retirement plans. - Correct answerTRUE With regard to annuity investments by seniors, "senior consumers" are typically defined as those individuals who are age: - Correct answer65 or older. If an annuitant owns 300 annuity units and receives $1,500 a month, what is the value of each annuity unit? - Correct answer$5 The Free Look Period for long-term care policies is _______ days. - Correct answer30 AD&D policies make benefits payable in the form of principal sum and capital sum. - Correct answerTRUE If a life insurance applicant is given a conditional receipt, what is the effective date of coverage? - Correct answerThe time the insurer accepts the application and issues the policy Service providers contract for and sell medical and hospital: - Correct answercare services. _______________ policies are commonly used as a hedge against inflation to ward off decreased purchasing power. - Correct answerIncreasing term Toni decides to take a special vacation on her 40th birthday and withdraws $4,000 from her IRA. What penalty will she be subject to on the amount withdrawn? - Correct answer$400 An immediate annuity is designed to provide income: - Correct answerImmediately. Henry has a Life with Period Certain annuity (life or ten years) in which is wife, Harriet, is beneficiary. If Henry dies after 5 years, what will Harriet receive? - Correct answerPayments for the remaining five years Buy-sell agreements can only be drafted by: - Correct answeran attorney. HMOs and PPOs are required under Florida law to provide members direct access to which of the following? - Correct answerAll - Dermatologists and chiropractors, optometrists and OB gynecologists, and podiatrists Insurance is a contract of: - Correct answerutmost good faith. The Deficit Reduction Act gives governors more flexibility to design _____________ benefits that efficiently and affordably meet their states' needs. - Correct answerMedicaid The health policy that always renews without an increase of premium could be identified as: - Correct answernoncancelable __________________ are the two most important factors in the health insurance underwriting process. - Correct answerMedical history and occupation Which of the following is TRUE about a Limited Pay Whole Life policy? - Correct answerProvides level premiums limited to certain time period, less than life In Florida, a child must be at least ____ years of age to sign a life insurance application. - Correct answer15 The ________________ means that the life insurance policy along with the application represents the complete contract. - Correct answerEntire Contract provision A man commits suicide 30 months after purchasing a life insurance policy and his wife is the named beneficiary. What amount will his wife receive? - Correct answerThe face amount of the policy Which type of insurer insures groups of individuals who are of the same class? - Correct answerRisk Retention Groups Rachel owns a major medical health policy which requires her to pay the first $300 of covered expenses each year before the policy pays its benefits. The $300 is the policy's: - Correct answerdeductible Self-insuring is an example of what type of risk? - Correct answerRisk Retention When might a Statement of Continued Good Health be required regarding a life insurance policy? - Correct answerWhen there is no premium accompanying the application Changing one's lifestyle to minimize a known risk is an example of: - Correct answerRisk Reduction. A health plan with a $5-per-point conversion factor would pay _______ for a 200-point procedure. - Correct answer$1,000 The disadvantage of naming an estate as beneficiary is that proceeds will be included in the insured's: - Correct answerestate All statements made on an application are considered ________________ because there can be no guarantee that they are true. - Correct answerrepresentations Which of the following is NOT a typical permanent exclusion in life insurance policies? - Correct answerSuicide ___________ refers to the monies set aside by insurers for future claims costs. - Correct answerReserve funds