PSI LIFE, ACCIDENT, HEALTH PRACTICE EXAM TEST
BANK 2026: 200+ QUESTIONS AND 100% VERIFIED
ANSWERS | GRADED A+ | GUARANTEED PASS!!
____________ is the initial step of the total process of insuring a health risk.
- answer-field underwriting
_______________ is the process of selection, classification and rating, and
determining if someone is insurable.
- answer-home office underwriting
"Person" means all of the following EXCEPT
1
an association.
2
a corporation.
3
a business trust.
4
an organizational trust.
- answer-4
an organizational trust.
A ____________ places insurance with a non-admitted insurer when insurance
cannot be placed with an admitted insurer
- answer-surplus lines producer
A ______________ Insurance Company is directed by officers and directors and
has a stated amount of capital stock owned by stockholders
- answer-Stock
A beneficiary receives ample income each month from the interest earned while
the insurance company retains the principal. This is referred to as:
- answer-capital conservation
,A licensed life agent may __________ on behalf of a life insurer for which the life
agent is not specifically appointed.
- answer-Present a proposal for insurance to a prospective policyholder
A Life and Disability Analyst cannot be employed or paid by the insurer and must
meet all of the following requirements, except:
1
Be a resident of the state of California
2
Be at least age 18
3
Pass a written examination prepared by the Commissioner
4
Have worked as a life licensee or employee of a licensee for 5 years
- answer-2
Be at least age 18
A loss exposure is best defined as:
- answer-the possibility of a loss
A person licensed to write insurance coverage with non-admitted insurers when
such coverage cannot be placed with an admitted insurer is a(n):
- answer-Surplus lines broker
A policy shall specify all of the following EXCEPT
1
the property or life insured.
2
the parties between whom the contract is made.
3
the period during which the insurance is to continue.
4
the method in which the coverage amount was calculated.
- answer-4
the method in which the coverage amount was calculated.
,A producer gathers information about the applicant for the insurer in order to avoid
adverse selection. This is considered to be:
- answer-field underwriting
A Property & Casualty Broker-Agent who is also licensed as a Life-Only agent
may not charge a fee to a consumer for:
- answer-Analyzing a person's universal life insurance policy
A small business owner used her life insurance policy as collateral for a bank loan.
The face amount of the whole life policy was $100,000 and the original amount of
the loan was $20,000. If the outstanding loan balance at the time the small business
owner died was $10,000, how much will the policy's named beneficiary receive?
- answer-$90,000
A Straight Whole Life Policy has a _________ __________ premium and face
value for the life of the insured
- answer-level guaranteed
A(n) ___________ designed to produce leads must prominently disclose that 'an
insurance agent will contact you', if that is the case.
- answer-advertisement
According to CIC Section 1711, an organization ceases to exist as an entity eligible
to hold a license EXCEPT
1
upon dissolution of a corporation.
2
upon the termination of all contracts.
3
upon dissolution of a copartnership.
4
upon the termination of an association.
- answer-2
upon the termination of all contracts.
After receiving a claim, the insurer must correspond with the claimant at intervals
of not less than how many days until the claim is resolved?
- answer-30
, After what time period is the policy considered to have been delivered in an
acceptable way if premiums have been paid?
1
after 6 months if the premiums have been paid
2
after 1 year if the premiums have been paid by the insured
3
30 days after the first premium has been received by the insurer
4
only if a written receipt is obtained at the time of delivery, regardless of paid
premiums
- answer-1
after 6 months if the premiums have been paid
Albert owns a printing business in which he, at times, prints counterfeit money.
One day while processing counterfeit bills, his arm is severely damaged. His
insurance will:
- answer-Not cover the claim since he was involved in an illegal act at the time of
injury
All health plans, group and individual, offered through a Health Insurance
Exchange must provide, at a minimum, essential health benefits in ______
categories of care and services.
- answer-10
All of the following are a duty of an insurer in regards to claims on file and record
documentation EXCEPT
1
maintaining claim data so that an insurer shall be able to provide the claim number,
line of coverage, and other pertinent data.
2
recording the date the licensee received, date(s) the licensee processed and date the
licensee transmitted or mailed every material and relevant document in the file.
3
maintaining any sales material, which had a material impact on the claims process.
4
maintaining claim files that are accessible, legible, and claim of duplication.
- answer-3
BANK 2026: 200+ QUESTIONS AND 100% VERIFIED
ANSWERS | GRADED A+ | GUARANTEED PASS!!
____________ is the initial step of the total process of insuring a health risk.
- answer-field underwriting
_______________ is the process of selection, classification and rating, and
determining if someone is insurable.
- answer-home office underwriting
"Person" means all of the following EXCEPT
1
an association.
2
a corporation.
3
a business trust.
4
an organizational trust.
- answer-4
an organizational trust.
A ____________ places insurance with a non-admitted insurer when insurance
cannot be placed with an admitted insurer
- answer-surplus lines producer
A ______________ Insurance Company is directed by officers and directors and
has a stated amount of capital stock owned by stockholders
- answer-Stock
A beneficiary receives ample income each month from the interest earned while
the insurance company retains the principal. This is referred to as:
- answer-capital conservation
,A licensed life agent may __________ on behalf of a life insurer for which the life
agent is not specifically appointed.
- answer-Present a proposal for insurance to a prospective policyholder
A Life and Disability Analyst cannot be employed or paid by the insurer and must
meet all of the following requirements, except:
1
Be a resident of the state of California
2
Be at least age 18
3
Pass a written examination prepared by the Commissioner
4
Have worked as a life licensee or employee of a licensee for 5 years
- answer-2
Be at least age 18
A loss exposure is best defined as:
- answer-the possibility of a loss
A person licensed to write insurance coverage with non-admitted insurers when
such coverage cannot be placed with an admitted insurer is a(n):
- answer-Surplus lines broker
A policy shall specify all of the following EXCEPT
1
the property or life insured.
2
the parties between whom the contract is made.
3
the period during which the insurance is to continue.
4
the method in which the coverage amount was calculated.
- answer-4
the method in which the coverage amount was calculated.
,A producer gathers information about the applicant for the insurer in order to avoid
adverse selection. This is considered to be:
- answer-field underwriting
A Property & Casualty Broker-Agent who is also licensed as a Life-Only agent
may not charge a fee to a consumer for:
- answer-Analyzing a person's universal life insurance policy
A small business owner used her life insurance policy as collateral for a bank loan.
The face amount of the whole life policy was $100,000 and the original amount of
the loan was $20,000. If the outstanding loan balance at the time the small business
owner died was $10,000, how much will the policy's named beneficiary receive?
- answer-$90,000
A Straight Whole Life Policy has a _________ __________ premium and face
value for the life of the insured
- answer-level guaranteed
A(n) ___________ designed to produce leads must prominently disclose that 'an
insurance agent will contact you', if that is the case.
- answer-advertisement
According to CIC Section 1711, an organization ceases to exist as an entity eligible
to hold a license EXCEPT
1
upon dissolution of a corporation.
2
upon the termination of all contracts.
3
upon dissolution of a copartnership.
4
upon the termination of an association.
- answer-2
upon the termination of all contracts.
After receiving a claim, the insurer must correspond with the claimant at intervals
of not less than how many days until the claim is resolved?
- answer-30
, After what time period is the policy considered to have been delivered in an
acceptable way if premiums have been paid?
1
after 6 months if the premiums have been paid
2
after 1 year if the premiums have been paid by the insured
3
30 days after the first premium has been received by the insurer
4
only if a written receipt is obtained at the time of delivery, regardless of paid
premiums
- answer-1
after 6 months if the premiums have been paid
Albert owns a printing business in which he, at times, prints counterfeit money.
One day while processing counterfeit bills, his arm is severely damaged. His
insurance will:
- answer-Not cover the claim since he was involved in an illegal act at the time of
injury
All health plans, group and individual, offered through a Health Insurance
Exchange must provide, at a minimum, essential health benefits in ______
categories of care and services.
- answer-10
All of the following are a duty of an insurer in regards to claims on file and record
documentation EXCEPT
1
maintaining claim data so that an insurer shall be able to provide the claim number,
line of coverage, and other pertinent data.
2
recording the date the licensee received, date(s) the licensee processed and date the
licensee transmitted or mailed every material and relevant document in the file.
3
maintaining any sales material, which had a material impact on the claims process.
4
maintaining claim files that are accessible, legible, and claim of duplication.
- answer-3
