PSI Life Health Insurance Exam Q&A 2024 Updated

PSI Life Health Insurance Exam Q&A 2024 Updated What kind of retirement plan can a 75-employee for profit corporation establish? - CORRECT ANSWER-Simple IRA The taxable portion of a monthly income benefit paid during the annuity phase from a nonqualified annuity is calculated using the - CORRECT ANSWER-Exclusion ratio Unfair claims settlement methods and practices by an insurance company include all of the following acts EXCEPT - CORRECT ANSWER-failure to pay all claims that are reported within 90 days after a loss occurs The settlement option that allows proceeds to remain with the insurer and the earnings to be paid to the beneficiary on a monthly basis is called - CORRECT ANSWER-Interest only Regulations on life insurance advertising apply to which of the following insurance company materials? - CORRECT ANSWER-A radio commercial that promotes the benefits of a specific company's life insurance products An insurance company may contest a life policy within a MAXIMUM of how many years after the policy's effective date? - CORRECT ANSWER-2 All of the following factors are used in life insurance premium determination EXCEPT - CORRECT ANSWER-Morbidity The authorization used to obtain the applicant's medical information that will be used by the insurer for the primary purpose of determining eligibility must include: - CORRECT ANSWER-the time frame in which the insurer must release the eligibility decision to the agent An intermediary who omits information on an insurance application without the applicant's knowledge and submits the application to the insurer may be guilty of: - CORRECT ANSWER-Misrepresentation Dividends are NOT subject to taxation because - CORRECT ANSWER-Paying dividends is equivalent to returning a premium The XYZ Insurance Company cancels an intermediary's contract. XYZ could be bound by the intermediary's later acts if it: - CORRECT ANSWER-Continues to pay the intermediary deferred commissions