A.D. Banker Comprehensive Exam

If an insurer makes a payment for a claim but the insured is dissatisfied with it, he/she must wait _____ days after proof of loss before he/she might take any legal action. - Answer- 60 After the blackout period has ended, the widow or widower may receive a Social Security income benefit based on the ___________. - Answer- PIA of the deceased spouse When must the Outline of Coverage and Guide be provided? - Answer- Both must be provided at the time of application Which is not a qualifying event for the continuation of dependent coverage under the Consolidated Omnibus Budget Reconciliation Act? - Answer- Termination of the employee for theft Only the _________ can surrender an annuity. - Answer- Owner If an individual is age ______ or over and continues to work, Medicare is usually the secondary insurer to any employer group health plan the individual participates in. - Answer- 65 All employer-paid premiums for amounts above $_________ of group life insurance are reported as taxable income to the employee. - Answer- $50,000 Under the Entire Contract provision, all of the following may be part of the agreement between the insured and the insurer, except: - Answer- Statements made to the applicant by the producer during the application process A firm with 50 employees replaces its existing group health plan. With regard to ongoing existing claims, the replacing insurer will be: - Answer- Required to continue paying them under the No Loss-No Gain law What is required to add a nonfamily member to a life insurance policy under a term rider? - Answer- Insurable interest Which of the following statements about a Modified Endowment Contract (MEC) is FALSE? - Answer- If a contract is deemed a MEC, any funds distributed are subject to a first-in/first-out (FIFO) tax treatment The Legal Actions provision preserves the insured's right to bring suit against his/her own insurer, but the insured must wait at least _____ days after filing a proof of loss before pursuing this action. - Answer- 60