INDIANA STATE LIFE & HEALTH
EXACTITUDE EXAM SERIES 2024
Individual disability income policies typical include an elimination period (t/f) - correct answer ✔✔True
A producer's license may be denied, suspended, or revoked if the licensee: - correct answer ✔✔is found
guilty of misrepresentation in obtaining the license
Which of the following actions is NOT possible with a Universal Life policy? - correct answer
✔✔premiums may be applied as a credit against income tax
How long is the typical free look period for long term care insurance policies? - correct answer ✔✔20
days
Equity indexed annuities are invested in: - correct answer ✔✔The S&P 500
Group life policies in Indiana are required to contain a conversion privilege that allows for conversion: -
correct answer ✔✔to an individual policy for a stated period of time
What is a key requirement for accelerated death benefit policy? - correct answer ✔✔Must have a
terminal illness to qualify
Qualified LTC policies may take into consideration an applicant's pre-existing conditions for a maximum
of not more than _____ month(s) prior to the effective date of coverage - correct answer ✔✔6
An insured must qualify for social security disability income to be accepted for the waiver of premium
provision? (t/f) - correct answer ✔✔false
What type of annuity has a cash value that based upon the performance of it's underlying investment
funs? - correct answer ✔✔Variable
,What requires insurers to disclose when an applicant's consumer or credit history is being investigated?
- correct answer ✔✔1970 - Fair Credit Reporting Act
Under the ACA, consumers must have health insurance as of January 1, 2014 that contains Minimum
Essential Coverage (MEC). Individuals who exempt from this law include: - correct answer ✔✔Those
who cannot afford or have religious objections
A person who is insured within a group contract will be given a: - correct answer ✔✔certificate
When must insurable interest exist for a life insurance contract to be valid? - correct answer
✔✔Inception of the contract
What kind of special need would a policy owner require with an adjustable life insurance policy? -
correct answer ✔✔Flexible premiums
Which of the following actions by a producer would NOT result in a license suspension or revocation? -
correct answer ✔✔Producer represents a foreign insurance company
Which of the following is NOT a required provision in group life policies? - correct answer ✔✔Right to
Loan
What the maximum Social Security Disability benefit amount an insured can receive? - correct answer
✔✔100% of the insured's Primary Insurance Amount (PIA)
T has an annuity that guarantees an income payment for the rest of his life. The contract also
guarantees that if T dies before receiving payments for 20 years, the remaining payments will be paid to
his son for the balance of the 20 years. What type of annuity is this? - correct answer ✔✔Life Annuity
with Period Certain
Which of these provisions is NOT required in individual life insurance policies sold in Indiana? - correct
answer ✔✔Extended Term
, What is the name of the law that requires insurers to disclose information gathering practices and
where the information was obtained? - correct answer ✔✔Fair Credit Reporting Act
Q is severely injured in an automobile accident and becomes totally disabled. How many months must Q
be disabled before being able to apply for Social Security disability benefits? - correct answer ✔✔5
Who elects the governing body of a mutual insurance company? - correct answer ✔✔Policyholders
Which of the following policies combines investment choices with a form of Term coverage? - correct
answer ✔✔Variable-Universal Life
Medicare Part B does NOT cover: - correct answer ✔✔Physician and surgeon services
Which provision allows the policy owner to change a term life policy to a permanent one without
providing proof of good health? - correct answer ✔✔Conversion
P and Q are married and have three children. P is the primary beneficiary on Q's Accidental Death and
Dismemberment (AD&D) policy and Q's sister R is the contingent beneficiary. P, Q, and R are involved in
a car accident and Q and R are killed instantly. The Accidental Death benefits will be paid to - correct
answer ✔✔P only
Which of these Nonforfeiture Options continue a build-up of cash value? - correct answer ✔✔Reduced
Paid-Up
In Indiana, what is the maximum percentage of controlled business a producer may write in a twelve-
month period? - correct answer ✔✔25%
Which of the following is NOT included in the policy face? - correct answer ✔✔Exclusions
All LTC policies purchased in Indiana MUST contain a free-look period of: - correct answer ✔✔10 days
EXACTITUDE EXAM SERIES 2024
Individual disability income policies typical include an elimination period (t/f) - correct answer ✔✔True
A producer's license may be denied, suspended, or revoked if the licensee: - correct answer ✔✔is found
guilty of misrepresentation in obtaining the license
Which of the following actions is NOT possible with a Universal Life policy? - correct answer
✔✔premiums may be applied as a credit against income tax
How long is the typical free look period for long term care insurance policies? - correct answer ✔✔20
days
Equity indexed annuities are invested in: - correct answer ✔✔The S&P 500
Group life policies in Indiana are required to contain a conversion privilege that allows for conversion: -
correct answer ✔✔to an individual policy for a stated period of time
What is a key requirement for accelerated death benefit policy? - correct answer ✔✔Must have a
terminal illness to qualify
Qualified LTC policies may take into consideration an applicant's pre-existing conditions for a maximum
of not more than _____ month(s) prior to the effective date of coverage - correct answer ✔✔6
An insured must qualify for social security disability income to be accepted for the waiver of premium
provision? (t/f) - correct answer ✔✔false
What type of annuity has a cash value that based upon the performance of it's underlying investment
funs? - correct answer ✔✔Variable
,What requires insurers to disclose when an applicant's consumer or credit history is being investigated?
- correct answer ✔✔1970 - Fair Credit Reporting Act
Under the ACA, consumers must have health insurance as of January 1, 2014 that contains Minimum
Essential Coverage (MEC). Individuals who exempt from this law include: - correct answer ✔✔Those
who cannot afford or have religious objections
A person who is insured within a group contract will be given a: - correct answer ✔✔certificate
When must insurable interest exist for a life insurance contract to be valid? - correct answer
✔✔Inception of the contract
What kind of special need would a policy owner require with an adjustable life insurance policy? -
correct answer ✔✔Flexible premiums
Which of the following actions by a producer would NOT result in a license suspension or revocation? -
correct answer ✔✔Producer represents a foreign insurance company
Which of the following is NOT a required provision in group life policies? - correct answer ✔✔Right to
Loan
What the maximum Social Security Disability benefit amount an insured can receive? - correct answer
✔✔100% of the insured's Primary Insurance Amount (PIA)
T has an annuity that guarantees an income payment for the rest of his life. The contract also
guarantees that if T dies before receiving payments for 20 years, the remaining payments will be paid to
his son for the balance of the 20 years. What type of annuity is this? - correct answer ✔✔Life Annuity
with Period Certain
Which of these provisions is NOT required in individual life insurance policies sold in Indiana? - correct
answer ✔✔Extended Term
, What is the name of the law that requires insurers to disclose information gathering practices and
where the information was obtained? - correct answer ✔✔Fair Credit Reporting Act
Q is severely injured in an automobile accident and becomes totally disabled. How many months must Q
be disabled before being able to apply for Social Security disability benefits? - correct answer ✔✔5
Who elects the governing body of a mutual insurance company? - correct answer ✔✔Policyholders
Which of the following policies combines investment choices with a form of Term coverage? - correct
answer ✔✔Variable-Universal Life
Medicare Part B does NOT cover: - correct answer ✔✔Physician and surgeon services
Which provision allows the policy owner to change a term life policy to a permanent one without
providing proof of good health? - correct answer ✔✔Conversion
P and Q are married and have three children. P is the primary beneficiary on Q's Accidental Death and
Dismemberment (AD&D) policy and Q's sister R is the contingent beneficiary. P, Q, and R are involved in
a car accident and Q and R are killed instantly. The Accidental Death benefits will be paid to - correct
answer ✔✔P only
Which of these Nonforfeiture Options continue a build-up of cash value? - correct answer ✔✔Reduced
Paid-Up
In Indiana, what is the maximum percentage of controlled business a producer may write in a twelve-
month period? - correct answer ✔✔25%
Which of the following is NOT included in the policy face? - correct answer ✔✔Exclusions
All LTC policies purchased in Indiana MUST contain a free-look period of: - correct answer ✔✔10 days
