Arizona Insurance Exam
A life annuity with period certain is characterized as - guaranteeing benefit payments for a stated
minimum number of years
a life insurance company just paid a $100,000 death benefit to a beneficiary. when the insured died, the
cash value was 15,000 and the total premiums-paid equaled 10,000. how much of the proceeds will be
added to the beneficiary's gross income for tax purposes? - nothing, death benefits to a
beneficiary are exempt from federal income tax
a life insurance policy can usually be contested by the insurer only during the first ______ years of the
contract - two
A life insurance policy provision that has the ability to reduce the death benefit is called the -
accelerated (living) benefit
a life insurance policy that contains an accelerated (living) benefit rider will provide funds if the -
insured is expected to be confined to a nursing home for life
a life insurance policy that includes a return of premium rider will pay the beneficiary how much upon
the insured's death? - total premiums paid + total face amount
a ________ insurer assumes risk from another insurance company - reinsurance
a life policy that has premiums that are lower than normal during the early years is called -
modified life
a loss of minimum essential coverage usually counts as a qualifying event that triggers what? - a
special enrollment period
a medicare supplement policy is required to do which of the following? - provide a 30 day free-
look period
a physician who accepts assignment on all medicare claims is called a - participating provider
, a policy owner decides to surrender the cash value of a whole life insurance policy. the insurer has up to
______ months to delay this payment. - 6
a ________ insurer assumes risk from another insurance company - reinsurance
a producer is proposing that a policy owner replace an existing individual health insurance policy with a
new one. under the new contract, a pre-existing conditions exclusion - may reduce the insured's
benefits
a ________ insurer assumes risk from another insurance company - reinsurance
A signed good health statement may be requested by a life producer at the time of - Policy
delivery
a ________ insurer assumes risk from another insurance company - reinsurance
a teacher recently retired at age 63 and has a tax sheltered annuity (TSA). periodic deposits total
$120,000 and the value of the contract is now worth $200,000. How much is taxed if the current value is
surrendered today? - 200,000
A(n) _____ insurer operates in the US but is headquartered outside the US - alien
ABC Co is attempting to minimize the severity of potential losses within its company. The company is
engaged in risk - retention
according to ERISA regulations, a summary plan description must be provided to a new plan member
within _____ days of the member's eligibility date. - 90
According to the Affordable Care Act (ACA), insurers can no longer deny health coverage due to pre-
existing conditions unless that plan is a - grandfathered plan
According to the Pregnancy Discrimination Act of 1978, employers must treat pregnancy in the same
manner as - any other medical disability
A life annuity with period certain is characterized as - guaranteeing benefit payments for a stated
minimum number of years
a life insurance company just paid a $100,000 death benefit to a beneficiary. when the insured died, the
cash value was 15,000 and the total premiums-paid equaled 10,000. how much of the proceeds will be
added to the beneficiary's gross income for tax purposes? - nothing, death benefits to a
beneficiary are exempt from federal income tax
a life insurance policy can usually be contested by the insurer only during the first ______ years of the
contract - two
A life insurance policy provision that has the ability to reduce the death benefit is called the -
accelerated (living) benefit
a life insurance policy that contains an accelerated (living) benefit rider will provide funds if the -
insured is expected to be confined to a nursing home for life
a life insurance policy that includes a return of premium rider will pay the beneficiary how much upon
the insured's death? - total premiums paid + total face amount
a ________ insurer assumes risk from another insurance company - reinsurance
a life policy that has premiums that are lower than normal during the early years is called -
modified life
a loss of minimum essential coverage usually counts as a qualifying event that triggers what? - a
special enrollment period
a medicare supplement policy is required to do which of the following? - provide a 30 day free-
look period
a physician who accepts assignment on all medicare claims is called a - participating provider
, a policy owner decides to surrender the cash value of a whole life insurance policy. the insurer has up to
______ months to delay this payment. - 6
a ________ insurer assumes risk from another insurance company - reinsurance
a producer is proposing that a policy owner replace an existing individual health insurance policy with a
new one. under the new contract, a pre-existing conditions exclusion - may reduce the insured's
benefits
a ________ insurer assumes risk from another insurance company - reinsurance
A signed good health statement may be requested by a life producer at the time of - Policy
delivery
a ________ insurer assumes risk from another insurance company - reinsurance
a teacher recently retired at age 63 and has a tax sheltered annuity (TSA). periodic deposits total
$120,000 and the value of the contract is now worth $200,000. How much is taxed if the current value is
surrendered today? - 200,000
A(n) _____ insurer operates in the US but is headquartered outside the US - alien
ABC Co is attempting to minimize the severity of potential losses within its company. The company is
engaged in risk - retention
according to ERISA regulations, a summary plan description must be provided to a new plan member
within _____ days of the member's eligibility date. - 90
According to the Affordable Care Act (ACA), insurers can no longer deny health coverage due to pre-
existing conditions unless that plan is a - grandfathered plan
According to the Pregnancy Discrimination Act of 1978, employers must treat pregnancy in the same
manner as - any other medical disability
