OKLAHOMA LIFE HEALTH INSURANCE UPDATED
FINAL EXAM QUESTIONS AND ANSWERS SURE A+
✔✔A beneficiary has just received a claim payment for a life insurance policy. Which of
the following is TRUE regarding the federal income tax liability owed?
A flat tax of 10% is owed on all proceeds
Federal income tax is owed if proceeds exceed $250,000
No federal income tax is owed on life insurance proceeds
Tax liability owed depends on the type of life insurance policy - ✔✔No federal income
tax is owed on life insurance proceeds
✔✔Medicare Supplement coverage permits an open enrollment period on a guaranteed
issue basis upon reaching
age 60
age 62
age 65
,age 70 - ✔✔age 65
✔✔Group and individual health insurance policies that provide coverage to women must
cover annual mammography screenings for women aged:
30 and older
35 and older
40 and older
50 and older - ✔✔40 and older
✔✔Jennifer is required to pay a specific sum out of pocket before any benefits are paid
in a year. Her health policy most likely contains a(n)
stop-loss provision
deductible
copayment
out of pocket provision - ✔✔deductible
✔✔In Oklahoma, all of these are considered forms of inducement EXCEPT
Gift whose value is under $100
Contract promising special profits or favor
$250 gift
Promised employment - ✔✔Gift whose value is under $100
✔✔When can a group health policy renewal be denied according to the Health
Insurance Portability and Accountability Act (HIPAA)?
When a change of management has occurred within the group
When the annual number of claims has increased by 25%
When contribution or participation rules have been violated
When group participation has increased by 25% - ✔✔When contribution or participation
rules have been violated
,✔✔A Renewable Term Life insurance policy can be renewed...?
at a predetermined date or age, regardless of the insured's health
only if the insured provides evidence of insurability
anytime at the policyowner's request
typically with no change in premium - ✔✔at a predetermined date or age, regardless of
the insured's health
✔✔A health benefit plan that provides maternity benefits must provide at least how
many hours of inpatient care for the mother and newborn infant following delivery?
24 hours for vaginal birth or 96 hours for caesarean section
36 hours for vaginal birth or 48 hours for caesarean section
48 hours for vaginal birth or 96 hours for caesarean section
72 hours for vaginal birth or 96 hours for caesarean section - ✔✔48 hours for vaginal
birth or 96 hours for caesarean section
✔✔Which type of coverage pays an amount per day for hospitalization directly to the
insured regardless of the insured's other health insurance?
MEWA
Mutual
Group
Hospital indemnity - ✔✔Hospital indemnity
✔✔A Medicare Supplement policy may be cancelled for which of the following reasons?
Claims exceed specified loss-ratio percentage
Non-payment of premium
End stage renal disease diagnosis
Prescription drug cost exceeds the "donut hole threshold" - ✔✔Non-payment of
premium
, ✔✔A producer may be disciplined by the Commissioner for which of the following
actions?
Being accused of a felony
Misappropriation of premium funds
Sharing commissions with other licensed producers
Failing to meet insurer production requirements - ✔✔Misappropriation of premium
funds
✔✔Dorian exercised a nonforfeiture option by using his life policy's cash value to
purchase an extended term insurance option. When the term insurance expires,
he has the option of resuming the original policy and paying the same premium
the coverage can be extended with a lump sum payment
all remaining cash values are paid to the policyowner
the protection ends - ✔✔the protection ends
✔✔Disability Income plans which require that the insurer can NEVER change or alter
premium rates are usually considered
Guaranteed Renewable
Optionally Renewable
Conditionally Renewable
Noncancellable - ✔✔Noncancellable
✔✔In contrast to a guaranteed renewable policy, a noncancellable policy
may cancel the policy only at renewal
may raise premiums at policy renewal
may raise premiums at anytime
may never raise premiums - ✔✔may never raise premiums
FINAL EXAM QUESTIONS AND ANSWERS SURE A+
✔✔A beneficiary has just received a claim payment for a life insurance policy. Which of
the following is TRUE regarding the federal income tax liability owed?
A flat tax of 10% is owed on all proceeds
Federal income tax is owed if proceeds exceed $250,000
No federal income tax is owed on life insurance proceeds
Tax liability owed depends on the type of life insurance policy - ✔✔No federal income
tax is owed on life insurance proceeds
✔✔Medicare Supplement coverage permits an open enrollment period on a guaranteed
issue basis upon reaching
age 60
age 62
age 65
,age 70 - ✔✔age 65
✔✔Group and individual health insurance policies that provide coverage to women must
cover annual mammography screenings for women aged:
30 and older
35 and older
40 and older
50 and older - ✔✔40 and older
✔✔Jennifer is required to pay a specific sum out of pocket before any benefits are paid
in a year. Her health policy most likely contains a(n)
stop-loss provision
deductible
copayment
out of pocket provision - ✔✔deductible
✔✔In Oklahoma, all of these are considered forms of inducement EXCEPT
Gift whose value is under $100
Contract promising special profits or favor
$250 gift
Promised employment - ✔✔Gift whose value is under $100
✔✔When can a group health policy renewal be denied according to the Health
Insurance Portability and Accountability Act (HIPAA)?
When a change of management has occurred within the group
When the annual number of claims has increased by 25%
When contribution or participation rules have been violated
When group participation has increased by 25% - ✔✔When contribution or participation
rules have been violated
,✔✔A Renewable Term Life insurance policy can be renewed...?
at a predetermined date or age, regardless of the insured's health
only if the insured provides evidence of insurability
anytime at the policyowner's request
typically with no change in premium - ✔✔at a predetermined date or age, regardless of
the insured's health
✔✔A health benefit plan that provides maternity benefits must provide at least how
many hours of inpatient care for the mother and newborn infant following delivery?
24 hours for vaginal birth or 96 hours for caesarean section
36 hours for vaginal birth or 48 hours for caesarean section
48 hours for vaginal birth or 96 hours for caesarean section
72 hours for vaginal birth or 96 hours for caesarean section - ✔✔48 hours for vaginal
birth or 96 hours for caesarean section
✔✔Which type of coverage pays an amount per day for hospitalization directly to the
insured regardless of the insured's other health insurance?
MEWA
Mutual
Group
Hospital indemnity - ✔✔Hospital indemnity
✔✔A Medicare Supplement policy may be cancelled for which of the following reasons?
Claims exceed specified loss-ratio percentage
Non-payment of premium
End stage renal disease diagnosis
Prescription drug cost exceeds the "donut hole threshold" - ✔✔Non-payment of
premium
, ✔✔A producer may be disciplined by the Commissioner for which of the following
actions?
Being accused of a felony
Misappropriation of premium funds
Sharing commissions with other licensed producers
Failing to meet insurer production requirements - ✔✔Misappropriation of premium
funds
✔✔Dorian exercised a nonforfeiture option by using his life policy's cash value to
purchase an extended term insurance option. When the term insurance expires,
he has the option of resuming the original policy and paying the same premium
the coverage can be extended with a lump sum payment
all remaining cash values are paid to the policyowner
the protection ends - ✔✔the protection ends
✔✔Disability Income plans which require that the insurer can NEVER change or alter
premium rates are usually considered
Guaranteed Renewable
Optionally Renewable
Conditionally Renewable
Noncancellable - ✔✔Noncancellable
✔✔In contrast to a guaranteed renewable policy, a noncancellable policy
may cancel the policy only at renewal
may raise premiums at policy renewal
may raise premiums at anytime
may never raise premiums - ✔✔may never raise premiums
