FLORIDA PERSONAL LINES LATEST UPDATED EXAMINATION
QUESTIONS WITH VERIFIED A+ ANSWERS
Which of the following statements is correct regarding an employer/employee group health plan?
the employer receives a master policy and the employees receive certificates
Which of the following is the reimbursement of benefits for the treatment of a beneficiary's injuries
caused by a third party?
Subrogation
Stranger Originated Life Insurance (STOLI) has been found to be in violation of which of the following
contractual elements?
Legal Purpose (Insurable Interest)
The sections of an insurance contract which limit coverage are called:
exclusions
A potential client, age 40, would like to purchase a Whole Life policy that will accumulate cash value
at a faster rate in the early years of the policy. Which of these statements made by the producer
would be correct?
20-Pay Life accumulates cash value faster than Straight Life
What type of policy would offer a 40-year old the quickest accumulation of cash value?
20-pay life
Which of the following correctly explains the actions an agent should take if a customer wants to
apply for an insurance policy?
Complete the application and review the information with the customer prior to obtaining the
customer's signature, then send the application off to the insurance company
T was insured under an individual Disability Income policy and was severely burned in a fire. As a
result, T became totally disabled. The insurer began making monthly benefit payments, but later
discovered that the fire was set by T in what was described as arson. What actions will the insurer
take?
The insurer will rescind the policy, deny the claim, and recover all payments made
Which of the following provisions is NOT required in HMO contracts/certificates?
Seven-day grace period
In Florida, the underwriting and issuance of a master group health policy requires that all employees
are eligible to participate, regardless of their individual health history
In order to establish a Health Reimbursement Arrangement (HRA), it MUST:
QUESTIONS WITH VERIFIED A+ ANSWERS
Which of the following statements is correct regarding an employer/employee group health plan?
the employer receives a master policy and the employees receive certificates
Which of the following is the reimbursement of benefits for the treatment of a beneficiary's injuries
caused by a third party?
Subrogation
Stranger Originated Life Insurance (STOLI) has been found to be in violation of which of the following
contractual elements?
Legal Purpose (Insurable Interest)
The sections of an insurance contract which limit coverage are called:
exclusions
A potential client, age 40, would like to purchase a Whole Life policy that will accumulate cash value
at a faster rate in the early years of the policy. Which of these statements made by the producer
would be correct?
20-Pay Life accumulates cash value faster than Straight Life
What type of policy would offer a 40-year old the quickest accumulation of cash value?
20-pay life
Which of the following correctly explains the actions an agent should take if a customer wants to
apply for an insurance policy?
Complete the application and review the information with the customer prior to obtaining the
customer's signature, then send the application off to the insurance company
T was insured under an individual Disability Income policy and was severely burned in a fire. As a
result, T became totally disabled. The insurer began making monthly benefit payments, but later
discovered that the fire was set by T in what was described as arson. What actions will the insurer
take?
The insurer will rescind the policy, deny the claim, and recover all payments made
Which of the following provisions is NOT required in HMO contracts/certificates?
Seven-day grace period
In Florida, the underwriting and issuance of a master group health policy requires that all employees
are eligible to participate, regardless of their individual health history
In order to establish a Health Reimbursement Arrangement (HRA), it MUST:
