MONTANA LIFE INSURANCE EXAM 2026 LIFE
COVERAGE AND ANNUITIES ASSESSMENT
STUDY GUIDE COMPLETE QUESTIONS AND
ANSWERS
◉ Can the Commissioner issue more than one temporary license, to
or with respect to the same individual within any 12 month period?
Answer: no
◉ If a person's license is revoked, how long do they must wait before
they can reapply for the license? Answer: 1 year after the revocation
and all license qualifications are met. However, the Commissioner
may refuse to issue a license for up to 5 years
◉ When must the appointing insurer file the appointment to the
Commissioner? Answer: Within 15 days of the appointment's
effective date.
◉ When does a disapproved appointment become voided? Answer:
On the date the department provides notification to the insurer.
◉ Define "False Advertisement" Answer: The act of publishing or
disseminating in any fashion, or through any media, any untrue,
deceptive, or misleading statement about the business of insurance
,or, with respect to any person, in the conduct of such person's
insurance business.
◉ Define "rebating" Answer: unlawful act of offerring rebate of
premiums payable, any special favor in dividends or other benefits,
or any valuable consideration or inducement not specified in the
policy.
◉ Define "twisting" Answer: The act of making or issuing any
written or oral statement misinterpreting or making incomplete
comparisons as to the terms, conditions, or benefits, contained in
any policy for the purpose of inducing/tending to induce the
policyholder to lapse, forfeit, surrender, retain, exchange, or convert
any insurance policy.
◉ Define "defamation" Answer: Making any false or maliciously
critical statements regarding the financial condition of any person,
with the intent to injure such person.
◉ When must the insurer/producer provide a notice of information
practices to the applicants? Answer: 1. With a written application,
disclosure notice must be given at the time of delivery of the policy
or at the time when the collection of personal information is taken
from a source other than the applicant.
2. In the case of a renewal policy, at least ANNUALLY.
,3. In the case of policy reinstatement or change in insurance
benefits, a notice must be given no later than at the time of the
reinstatement or a change in benefits.
◉ What is the purpose of the Montana Life and Health Insurance
Guaranty Association? Answer: To provide the funds necessary to
carry out the powers and duties of the association, the board of
directors will assess the member insurers, separately for each
account.
◉ What does the Montana Life and Health Insurance Guaranty
Association provide? Answer: Protection to policyowners and
beneficiaries in the event of insurer impairment or insolvency.
◉ What is the Montana Liife and Health Insurance Guaranty
Assocation's liability in a One Owner of Multiple Contract? Answer:
$5 mil MAX
◉ What the maximum liability for a life insurance the Association
can take? Answer: $300,000. And, $100,000 in net cash surrender
and withdrawal values.
◉ What is the maximum liability for a health insurance the
Association can take? Answer: $500,000
, ◉ What is the maximum liability for an annuity benefit the
Association can take? Answer: $250,000 including cash surreneder
and withdrawals
◉ How long is an authorization valid? Answer: 24 months
◉ During an adverse action, when must the insurance producer
provide the reason for the decision to the applicant? Answer: Within
21 business days of the individual's request.
◉ Minimum age for a minor to be contract for annuities or for
insurance upon their own life, body, healthy, and property? Answer:
15 years old
◉ What types of policies/contracts doesn't the Standard Provision
apply to? Answer: Annuity Contracts or Provisions of life insurance
relating to disability benefits or to additional benefits in the event of
death by accident or accidental means.
◉ Define an Actual Agent. Answer: When the agent is actually
employed by the principal
◉ Define an ostensible Agent Answer: When the principal causes a
third person to believe someone is a principal's agent when that
person is not actually employed by the principal
COVERAGE AND ANNUITIES ASSESSMENT
STUDY GUIDE COMPLETE QUESTIONS AND
ANSWERS
◉ Can the Commissioner issue more than one temporary license, to
or with respect to the same individual within any 12 month period?
Answer: no
◉ If a person's license is revoked, how long do they must wait before
they can reapply for the license? Answer: 1 year after the revocation
and all license qualifications are met. However, the Commissioner
may refuse to issue a license for up to 5 years
◉ When must the appointing insurer file the appointment to the
Commissioner? Answer: Within 15 days of the appointment's
effective date.
◉ When does a disapproved appointment become voided? Answer:
On the date the department provides notification to the insurer.
◉ Define "False Advertisement" Answer: The act of publishing or
disseminating in any fashion, or through any media, any untrue,
deceptive, or misleading statement about the business of insurance
,or, with respect to any person, in the conduct of such person's
insurance business.
◉ Define "rebating" Answer: unlawful act of offerring rebate of
premiums payable, any special favor in dividends or other benefits,
or any valuable consideration or inducement not specified in the
policy.
◉ Define "twisting" Answer: The act of making or issuing any
written or oral statement misinterpreting or making incomplete
comparisons as to the terms, conditions, or benefits, contained in
any policy for the purpose of inducing/tending to induce the
policyholder to lapse, forfeit, surrender, retain, exchange, or convert
any insurance policy.
◉ Define "defamation" Answer: Making any false or maliciously
critical statements regarding the financial condition of any person,
with the intent to injure such person.
◉ When must the insurer/producer provide a notice of information
practices to the applicants? Answer: 1. With a written application,
disclosure notice must be given at the time of delivery of the policy
or at the time when the collection of personal information is taken
from a source other than the applicant.
2. In the case of a renewal policy, at least ANNUALLY.
,3. In the case of policy reinstatement or change in insurance
benefits, a notice must be given no later than at the time of the
reinstatement or a change in benefits.
◉ What is the purpose of the Montana Life and Health Insurance
Guaranty Association? Answer: To provide the funds necessary to
carry out the powers and duties of the association, the board of
directors will assess the member insurers, separately for each
account.
◉ What does the Montana Life and Health Insurance Guaranty
Association provide? Answer: Protection to policyowners and
beneficiaries in the event of insurer impairment or insolvency.
◉ What is the Montana Liife and Health Insurance Guaranty
Assocation's liability in a One Owner of Multiple Contract? Answer:
$5 mil MAX
◉ What the maximum liability for a life insurance the Association
can take? Answer: $300,000. And, $100,000 in net cash surrender
and withdrawal values.
◉ What is the maximum liability for a health insurance the
Association can take? Answer: $500,000
, ◉ What is the maximum liability for an annuity benefit the
Association can take? Answer: $250,000 including cash surreneder
and withdrawals
◉ How long is an authorization valid? Answer: 24 months
◉ During an adverse action, when must the insurance producer
provide the reason for the decision to the applicant? Answer: Within
21 business days of the individual's request.
◉ Minimum age for a minor to be contract for annuities or for
insurance upon their own life, body, healthy, and property? Answer:
15 years old
◉ What types of policies/contracts doesn't the Standard Provision
apply to? Answer: Annuity Contracts or Provisions of life insurance
relating to disability benefits or to additional benefits in the event of
death by accident or accidental means.
◉ Define an Actual Agent. Answer: When the agent is actually
employed by the principal
◉ Define an ostensible Agent Answer: When the principal causes a
third person to believe someone is a principal's agent when that
person is not actually employed by the principal
