GENERAL PRACTICE EXAM-MD ACCIDENT, HEALTH & LIFE
PRODUCER PRACTICE EXAM A 290 ACTUAL EXAM QUESTIONS WITH
CORRECT VERIFIED ANSWERS BRAND NEW 2024
1. IRA contributions must be made:
A. In cash
B. In dividends
C. In advancements
D. With securities: In cash
2. What is the main difference between a Single and Flexible premium payment option in a
deferred annuity? A. The time of the annuity
B. The reason for the annuity
C. The benefit amount
D. The number of payments to purchase the annuity: The number of payments to purchase
the annuity
3. If an insurer is admitted and qualified, what would they receive from the Department of
Insurance?
A. Certificate of Qualification
B. Certificate of Transaction
C. Certificate of Authority
D. Certificate of Insurance: Certificate of Authority
4. Any language that seems confusing in a contract of adhesion would be in the favor of
which party?
A. Hank an insured
B. Y&G insurer
C. Greg a beneficiary
D. K&D reinsurer: Hank an insured
5. A broker is first and foremost responsible to:
A. The producer
B. The insured
C. Other insurance producers
D. The insurer: The insurer
6. Contract law requires each party to give something of value for it to be a legal contract.
This value is called?
A. A Competent party
B. A Legal purpose
C. A Consideration
,D. A Warranty: A Consideration
7. What type of employee Welfare plan is exempt from Erisa's regulations?
A. Church plans
B. Prepaid legal services
C. Day Care benefits
D. Disability and Life insurance: Church plans
8. What term refers to accepting a risk and confronting it as it occurs called?
A. Retention
B. Indemnity
C. Consideration
D. Self- insuring: Retention
9. A group of more than 20 employees would have _____ available in any state. A. ERISA
B. NAIC
C. COBRA
D. NAIS: COBRA
10. A licensed producer represents the:
A. Fiduciary
B. Policyholder
C. Insured
D. Insurer: Insurer
11. A contract of insurance may provide a benefit of unequal value to one party or another.
This describes what type of contract?
A. An exclusive contract
B. A service contract
C. An assessable contract
D. An aleatory contract: An aleatory contract
12. John was just delivered his Life insurance policy. How many days can he review it and
decide if it is best for him to keep?
A. 5 days
B. 7 days
C. 10 days
D. 15 days: 10 days
13. A replacing Life insurer must maintain a register for a replaced policy for how many
years?
A. 2
years B.
4 years
,C. 5 years
D. 3 years: 5 years
14. Which of the following is an example of replacement?
A. Cancel a Return Policy to purchase a LTC Policy
B. Cancel a Whole Life policy to purchase a Term Policy
C. Cancel a Term Policy to purchase a Disability Policy
D. Cancel a Major Medical Policy to purchase a Disability Policy: Cancel a
Whole Life policy to purchase a Term Policy
15. Who makes the final decision regarding a risk?
A. Underwriters
B. Field Investigators
C. Executive Officers
D. The Commissioner: Underwriters
16. Isaac becomes angry when his insurer asks for his mortgage expenses when attempting
to determine the Human Value of his Life Insurance Policy.
What should Isaac do?
A. Ask that this information be omitted
B. Report his insurer to the Department of Insurance
C. Sue his insurer
D. Answer the question, since it's required for Life underwriting: Answer the question, since
it's required for Life underwriting
17. Key Person Life Insurance does NOT reimburse a company for which of the following?
A. For a loss of leadership skills resulting from a key person's death
B. For a reduction of profits resulting from a key person's death
C. For increased future pension liability resulting from a key person's deathD. For a loss of
previous business results from a key person's death: For increased future pension liability
resulting from a key person's death
18. When using the Needs Approach to determine the amount of Life Insurance needed, it is
necessary to determine all of the following except:
A. The Medical, educational and financial needs of the surviving parent in the event of
the death or disability of the income earner
B. The family's financial objectives in the event of the death or disability of the income
earner
C. The accumulative earning power of the income earner, along with the other sources of
passive income
D. The projected life earning of the income earner and the stock market: The
accumulative earning power of the income earner, along with the other sources of passive
income
, 19. Which of the following types of insurance policies would perform the function of cash
accumulation?
A. Property
B. Life
C. Stock
D. Health: Life
20. The duties of a producer where replacement is involved include all of the following
except:
A. Leaving a copy or original of all solicitation material used for presentation to an applicant
B. Submit all expenses to creditors
C. Provide the replacing insurer a copy of all soliciting material
D. Provide the replacing insurer a statement signed by the applicant as to whether or not he
or she has existing Life insurance: Submit all expenses to creditors
21. What relates to the analysis of an applicant's personal information to determine whether
an insurance policy should be issued?
A. Adverse Selection
B. Classification
C. Gender
D. Underwriting: Underwriting
22. In regard to determining Wayne's life insurance needs, which of the following would not
be considered?
A. Social Security
B. Work pension
C. Savings
D. Auto: Auto
23. Which risk pays a premium rated-up?A. Declined
B. Substandard
C. Preferred
D. Standard: Substandard
24. Which risk would pay the highest premium?
A. Substandard
B. Preferred
C. Declined
D. Average: Substandard
25. Who has jurisdiction with the Commissioner over alleged discrimination factors?
A. Human Rights Commission
B. Human Resource Commission
PRODUCER PRACTICE EXAM A 290 ACTUAL EXAM QUESTIONS WITH
CORRECT VERIFIED ANSWERS BRAND NEW 2024
1. IRA contributions must be made:
A. In cash
B. In dividends
C. In advancements
D. With securities: In cash
2. What is the main difference between a Single and Flexible premium payment option in a
deferred annuity? A. The time of the annuity
B. The reason for the annuity
C. The benefit amount
D. The number of payments to purchase the annuity: The number of payments to purchase
the annuity
3. If an insurer is admitted and qualified, what would they receive from the Department of
Insurance?
A. Certificate of Qualification
B. Certificate of Transaction
C. Certificate of Authority
D. Certificate of Insurance: Certificate of Authority
4. Any language that seems confusing in a contract of adhesion would be in the favor of
which party?
A. Hank an insured
B. Y&G insurer
C. Greg a beneficiary
D. K&D reinsurer: Hank an insured
5. A broker is first and foremost responsible to:
A. The producer
B. The insured
C. Other insurance producers
D. The insurer: The insurer
6. Contract law requires each party to give something of value for it to be a legal contract.
This value is called?
A. A Competent party
B. A Legal purpose
C. A Consideration
,D. A Warranty: A Consideration
7. What type of employee Welfare plan is exempt from Erisa's regulations?
A. Church plans
B. Prepaid legal services
C. Day Care benefits
D. Disability and Life insurance: Church plans
8. What term refers to accepting a risk and confronting it as it occurs called?
A. Retention
B. Indemnity
C. Consideration
D. Self- insuring: Retention
9. A group of more than 20 employees would have _____ available in any state. A. ERISA
B. NAIC
C. COBRA
D. NAIS: COBRA
10. A licensed producer represents the:
A. Fiduciary
B. Policyholder
C. Insured
D. Insurer: Insurer
11. A contract of insurance may provide a benefit of unequal value to one party or another.
This describes what type of contract?
A. An exclusive contract
B. A service contract
C. An assessable contract
D. An aleatory contract: An aleatory contract
12. John was just delivered his Life insurance policy. How many days can he review it and
decide if it is best for him to keep?
A. 5 days
B. 7 days
C. 10 days
D. 15 days: 10 days
13. A replacing Life insurer must maintain a register for a replaced policy for how many
years?
A. 2
years B.
4 years
,C. 5 years
D. 3 years: 5 years
14. Which of the following is an example of replacement?
A. Cancel a Return Policy to purchase a LTC Policy
B. Cancel a Whole Life policy to purchase a Term Policy
C. Cancel a Term Policy to purchase a Disability Policy
D. Cancel a Major Medical Policy to purchase a Disability Policy: Cancel a
Whole Life policy to purchase a Term Policy
15. Who makes the final decision regarding a risk?
A. Underwriters
B. Field Investigators
C. Executive Officers
D. The Commissioner: Underwriters
16. Isaac becomes angry when his insurer asks for his mortgage expenses when attempting
to determine the Human Value of his Life Insurance Policy.
What should Isaac do?
A. Ask that this information be omitted
B. Report his insurer to the Department of Insurance
C. Sue his insurer
D. Answer the question, since it's required for Life underwriting: Answer the question, since
it's required for Life underwriting
17. Key Person Life Insurance does NOT reimburse a company for which of the following?
A. For a loss of leadership skills resulting from a key person's death
B. For a reduction of profits resulting from a key person's death
C. For increased future pension liability resulting from a key person's deathD. For a loss of
previous business results from a key person's death: For increased future pension liability
resulting from a key person's death
18. When using the Needs Approach to determine the amount of Life Insurance needed, it is
necessary to determine all of the following except:
A. The Medical, educational and financial needs of the surviving parent in the event of
the death or disability of the income earner
B. The family's financial objectives in the event of the death or disability of the income
earner
C. The accumulative earning power of the income earner, along with the other sources of
passive income
D. The projected life earning of the income earner and the stock market: The
accumulative earning power of the income earner, along with the other sources of passive
income
, 19. Which of the following types of insurance policies would perform the function of cash
accumulation?
A. Property
B. Life
C. Stock
D. Health: Life
20. The duties of a producer where replacement is involved include all of the following
except:
A. Leaving a copy or original of all solicitation material used for presentation to an applicant
B. Submit all expenses to creditors
C. Provide the replacing insurer a copy of all soliciting material
D. Provide the replacing insurer a statement signed by the applicant as to whether or not he
or she has existing Life insurance: Submit all expenses to creditors
21. What relates to the analysis of an applicant's personal information to determine whether
an insurance policy should be issued?
A. Adverse Selection
B. Classification
C. Gender
D. Underwriting: Underwriting
22. In regard to determining Wayne's life insurance needs, which of the following would not
be considered?
A. Social Security
B. Work pension
C. Savings
D. Auto: Auto
23. Which risk pays a premium rated-up?A. Declined
B. Substandard
C. Preferred
D. Standard: Substandard
24. Which risk would pay the highest premium?
A. Substandard
B. Preferred
C. Declined
D. Average: Substandard
25. Who has jurisdiction with the Commissioner over alleged discrimination factors?
A. Human Rights Commission
B. Human Resource Commission
