CA PSI SITE EXAMINATION SCRIPT 2026
COMPLETE QUESTIONS WITH FULL
SOLUTIONS
◉ Fully Insured Status.
Answer: • Fully Insured status requires an individual to have earned
40 quarters or credits, which is approximately 10 years of
employment.
o A fully insured worker has permanent coverage under Social
Security and cannot lose this status.
o Benefits that may be received under fully insured status are:
Retirement income at age 62 or older.
Spousal retirement at age 62 or older.
Premium-free Medicare Part A
◉ Elimination Period.
Answer: • The elimination period may be as short as 30 days and as
long as one year, with 90 days being the most common.
• The elimination period is a waiting period after a loss occurs
before the benefit period begins.
o The shorter the elimination period, the higher premium.
,◉ Medi-cal.
Answer: • Medi-Cal is the name of the Medicaid program in
California that provides health coverage to people with low-income
and asset levels who meet eligibility requirements.
o For individuals age 19 through 64 and not confined to an
institutional setting, Medi-Cal eligibility is conditioned only on a
household's annual income.
o Benefits: Medi-Cal pays for "medically necessary" health care
including" physician visits, hospital and nursing home care, home
health care, laboratory and x-ray services, prescriptions, medical
equipment, ambulance services, eyeglasses, prenatal care,
preventive care, and hospice.
◉ Long-Term Care.
Answer: • Long-Term Care (LTC) insurance includes any individual
policy, group policy or rider that is advertised, marketed, offered,
solicited, or designed to provide coverage for no more than 12
consecutive months.
◉ Adult Day Health Care.
Answer: A LTC coverage designed to provide custodial care and
supervision on a day care basis outside the home for individuals not
requiring 24-hour confinement in a nursing home nut who continue
to live at home.
,◉ Custodial Care.
Answer: Nonmedical care (non-skilled care) to provide assistance
with activities of daily living such as bathing, toileting, eating,
dressing, transferring, and continence.
May be provided in a nursing home or in one's own home.
Providers are not required to undergo medical training
◉ Hospice Care.
Answer: Provides pain control, comfort, and counseling for the
terminally ill patient.
Hospice care also includes a family counseling benefit.
◉ Respite Care.
Answer: Provides relief to a primary caregiver and can include a
service, such as someone coming to the home while the original
caregiver tends to other matters.
Most policies will include benefits for temporary
institutionalization of the insured during a period of respite.
◉ Assuming CE requirements have been met, how is the life agent's
license renewed ?.
Answer: Pay the renewal billing notice the Department sends out 90
days before the renewal date.
, ◉ Assume two people apply for life insurance with exactly the same
monthly premiums. One individual buys a whole life policy, and the
other, a 10-year renewable term plan. Both are standard risks with
no difference in their age or health rating. Select the statement from
below which is false.
C. The 10-year renewable term contract will have a premium
increase every 10 years while the whole life policy premium remains
level.
D. The whole life policy will pay a higher amount to the beneficiary
should the insured die within the first 10 years.
Answer: D
◉ An annuity which may be used to help fund retirement in a few
years maintains a "separate account". the owner purchases
"accumulation units". This is called a ____ annuity..
Answer: Variable
◉ According to the terms of the suicide clause found in a life
insurance policy, if an insured commits suicide 6 months after the
policy is issued, what will the insurer do ?.
Answer: Refund all the premiums paid
COMPLETE QUESTIONS WITH FULL
SOLUTIONS
◉ Fully Insured Status.
Answer: • Fully Insured status requires an individual to have earned
40 quarters or credits, which is approximately 10 years of
employment.
o A fully insured worker has permanent coverage under Social
Security and cannot lose this status.
o Benefits that may be received under fully insured status are:
Retirement income at age 62 or older.
Spousal retirement at age 62 or older.
Premium-free Medicare Part A
◉ Elimination Period.
Answer: • The elimination period may be as short as 30 days and as
long as one year, with 90 days being the most common.
• The elimination period is a waiting period after a loss occurs
before the benefit period begins.
o The shorter the elimination period, the higher premium.
,◉ Medi-cal.
Answer: • Medi-Cal is the name of the Medicaid program in
California that provides health coverage to people with low-income
and asset levels who meet eligibility requirements.
o For individuals age 19 through 64 and not confined to an
institutional setting, Medi-Cal eligibility is conditioned only on a
household's annual income.
o Benefits: Medi-Cal pays for "medically necessary" health care
including" physician visits, hospital and nursing home care, home
health care, laboratory and x-ray services, prescriptions, medical
equipment, ambulance services, eyeglasses, prenatal care,
preventive care, and hospice.
◉ Long-Term Care.
Answer: • Long-Term Care (LTC) insurance includes any individual
policy, group policy or rider that is advertised, marketed, offered,
solicited, or designed to provide coverage for no more than 12
consecutive months.
◉ Adult Day Health Care.
Answer: A LTC coverage designed to provide custodial care and
supervision on a day care basis outside the home for individuals not
requiring 24-hour confinement in a nursing home nut who continue
to live at home.
,◉ Custodial Care.
Answer: Nonmedical care (non-skilled care) to provide assistance
with activities of daily living such as bathing, toileting, eating,
dressing, transferring, and continence.
May be provided in a nursing home or in one's own home.
Providers are not required to undergo medical training
◉ Hospice Care.
Answer: Provides pain control, comfort, and counseling for the
terminally ill patient.
Hospice care also includes a family counseling benefit.
◉ Respite Care.
Answer: Provides relief to a primary caregiver and can include a
service, such as someone coming to the home while the original
caregiver tends to other matters.
Most policies will include benefits for temporary
institutionalization of the insured during a period of respite.
◉ Assuming CE requirements have been met, how is the life agent's
license renewed ?.
Answer: Pay the renewal billing notice the Department sends out 90
days before the renewal date.
, ◉ Assume two people apply for life insurance with exactly the same
monthly premiums. One individual buys a whole life policy, and the
other, a 10-year renewable term plan. Both are standard risks with
no difference in their age or health rating. Select the statement from
below which is false.
C. The 10-year renewable term contract will have a premium
increase every 10 years while the whole life policy premium remains
level.
D. The whole life policy will pay a higher amount to the beneficiary
should the insured die within the first 10 years.
Answer: D
◉ An annuity which may be used to help fund retirement in a few
years maintains a "separate account". the owner purchases
"accumulation units". This is called a ____ annuity..
Answer: Variable
◉ According to the terms of the suicide clause found in a life
insurance policy, if an insured commits suicide 6 months after the
policy is issued, what will the insurer do ?.
Answer: Refund all the premiums paid
