Life and Health Insurance Exams, Kentucky Life and
Health Insurance Exams (Latest 2024/ 2025 Updates
STUDY PACKAGE WITH COMPLETE SOLUTIONS)
Questions and Verified Answers| 100 % Correct| Grade
A
Jis receiving fixed amount benefit payments from his late wife's insurance policy. He
was told that if he dies before al to the contingent beneficiary. Which settlement
option did J choose? - ANSWERFixed Amount
The "stop-loss" feature on a major medical policy is intended to a) Establish the
number of claims that may be filed on a policy in a calendar year. b) Establish a
maximum amount of out-of-pocket expense that an Insured will have to pay for
medical expense in a calendar year c) Establisha maximum amount of out-of-pocket
expense that an insured will have to pay for medical expense for the life of the
policy. d) Discourage insured from making unnecessary appointments at the doctor's
office. A stop-loss feature is a provision that gives the insured financial security by
limiting the maximum amount that would have to be paid in deductibles and co-
payments during calendar year. - ANSWERcalendar year. Establish a maximum
amount of out-of-pocket expense that an Insured will have to pay for medical
expense in a calendar year
The guaranteed purchase option is also referred to as the a) Multiple indemnity
rider. b) Impairment rider. c) Evidence of insurability rider. d) Future Increase option
- ANSWERd) Future Increase option The guaranteed purchase option is also referred
to as the future increase option.
# 11 All of the following could qualify as a group for the purpose of purchasing group
health insurance EXCEPT a) Multiple employer trust. b) Single employer with 14
employees. c) An association of 35 people. d) Labor union - ANSWERc) An association
of 35 people.
# 12. Where are premiums from fixed annuities invested? a) Ageneral account b) A
variable annuity c) A hedge fund d) A separate account - ANSWERa) Ageneral
account
#13. Which of the following meets the insured's personal needs, and is provided by
nonmedical personnel? a) Intermediate care b) Custodial care c) Skilled care d)
Assisted living - ANSWERb) Custodial care
#14. What does the application of contract of adhesion mean? a) Since the insured
does not participate in preparing the contract, any ambiguities would be resolved in
favor of the Insured, b) The holder of the contract has the ultimate power of
promise. c) The insurer may go to another for representation. d) It makes sure that
the insured does not get more than the value of the loss. - ANSWERa) Since the
, insured does not participate in preparing the contract, any ambiguities would be
resolved in favor of the Insured,
#15. Under the mandatory uniform provision Legal Actions, an insured is prevented
from bringing a suit against the insurer to recover on a health policy prior to a) 60
days after written proof of loss has been submitted b) 90 days after written proof of
loss has been submitted. c) One year after the occurrence of a disability. d) 30 days
after the loss. - ANSWERa) 60 days after written proof of loss has been submitted
#21. Medicare Part A services do NOT include which of the following? a) Private Duty
Nursing b) Posthospital Skilled Nursing Facilty Care c) Hospitalization d) Hospice Care
- ANSWERa) Private Duty Nursing
# 23. Joe, age 63, was disabled and can no longer work. He meets the Social Security
definition of total disability. How many work credits must Joe have accumulated to
have the status of fully insured? a) 10 b) 6 c) 20 d) 40 - ANSWERd) 40
#24. What effect will the long-term care (LTC) rider have on the death benefit of a
life insurance policy if LTC benefits were paid to the insured? a) Increase the death
benefit by the amount paid into LTC b) Not affect the amount payable to the
beneficiary c) Eliminate the death benefit d) Reduce the death benefit - ANSWERd)
Reduce the death benefit
# 27. Which of the following describes the relationship between the principal sum
and a capital sum? a) A capital sum is a percentage of the principal sum b) The
principal sum varies, while the capital sum does not. c) The capital sum varies, while
the principal sum does not. d) The principal sum is a percentage of a capital sum -
ANSWERa) A capital sum is a percentage of the principal sum
# 29. In life insurance, which of the following is NOT required to have an insurable
interest in the insured? a) The beneficiary b) The policyowner c) The insured d). The
applicant - ANSWERThe beneficiary
# 33. When may HIV-related test results be provided to the MIB? a) When given
authorization by the patient b) Only when the test results are negative ci Only if the
individual is not identified d) Under all circumstances - ANSWEROnly ci Only if the
individual is not identified
# 35. Which of the following statements is NOT true regarding health insurance
policy provisions? a) Insurers may add provisions that are not in conflict with uniform
standards b) All additional provisions written by Insurers are cataloged by their
respective states c) All individual policies contain Universal Mandatory Provisions. d)
Insurers may only offer optional provisions that are allowed by the state where the
policy is delivered. - ANSWERb) All additional provisions written by Insurers are
cataloged by their respective states
Health Insurance Exams (Latest 2024/ 2025 Updates
STUDY PACKAGE WITH COMPLETE SOLUTIONS)
Questions and Verified Answers| 100 % Correct| Grade
A
Jis receiving fixed amount benefit payments from his late wife's insurance policy. He
was told that if he dies before al to the contingent beneficiary. Which settlement
option did J choose? - ANSWERFixed Amount
The "stop-loss" feature on a major medical policy is intended to a) Establish the
number of claims that may be filed on a policy in a calendar year. b) Establish a
maximum amount of out-of-pocket expense that an Insured will have to pay for
medical expense in a calendar year c) Establisha maximum amount of out-of-pocket
expense that an insured will have to pay for medical expense for the life of the
policy. d) Discourage insured from making unnecessary appointments at the doctor's
office. A stop-loss feature is a provision that gives the insured financial security by
limiting the maximum amount that would have to be paid in deductibles and co-
payments during calendar year. - ANSWERcalendar year. Establish a maximum
amount of out-of-pocket expense that an Insured will have to pay for medical
expense in a calendar year
The guaranteed purchase option is also referred to as the a) Multiple indemnity
rider. b) Impairment rider. c) Evidence of insurability rider. d) Future Increase option
- ANSWERd) Future Increase option The guaranteed purchase option is also referred
to as the future increase option.
# 11 All of the following could qualify as a group for the purpose of purchasing group
health insurance EXCEPT a) Multiple employer trust. b) Single employer with 14
employees. c) An association of 35 people. d) Labor union - ANSWERc) An association
of 35 people.
# 12. Where are premiums from fixed annuities invested? a) Ageneral account b) A
variable annuity c) A hedge fund d) A separate account - ANSWERa) Ageneral
account
#13. Which of the following meets the insured's personal needs, and is provided by
nonmedical personnel? a) Intermediate care b) Custodial care c) Skilled care d)
Assisted living - ANSWERb) Custodial care
#14. What does the application of contract of adhesion mean? a) Since the insured
does not participate in preparing the contract, any ambiguities would be resolved in
favor of the Insured, b) The holder of the contract has the ultimate power of
promise. c) The insurer may go to another for representation. d) It makes sure that
the insured does not get more than the value of the loss. - ANSWERa) Since the
, insured does not participate in preparing the contract, any ambiguities would be
resolved in favor of the Insured,
#15. Under the mandatory uniform provision Legal Actions, an insured is prevented
from bringing a suit against the insurer to recover on a health policy prior to a) 60
days after written proof of loss has been submitted b) 90 days after written proof of
loss has been submitted. c) One year after the occurrence of a disability. d) 30 days
after the loss. - ANSWERa) 60 days after written proof of loss has been submitted
#21. Medicare Part A services do NOT include which of the following? a) Private Duty
Nursing b) Posthospital Skilled Nursing Facilty Care c) Hospitalization d) Hospice Care
- ANSWERa) Private Duty Nursing
# 23. Joe, age 63, was disabled and can no longer work. He meets the Social Security
definition of total disability. How many work credits must Joe have accumulated to
have the status of fully insured? a) 10 b) 6 c) 20 d) 40 - ANSWERd) 40
#24. What effect will the long-term care (LTC) rider have on the death benefit of a
life insurance policy if LTC benefits were paid to the insured? a) Increase the death
benefit by the amount paid into LTC b) Not affect the amount payable to the
beneficiary c) Eliminate the death benefit d) Reduce the death benefit - ANSWERd)
Reduce the death benefit
# 27. Which of the following describes the relationship between the principal sum
and a capital sum? a) A capital sum is a percentage of the principal sum b) The
principal sum varies, while the capital sum does not. c) The capital sum varies, while
the principal sum does not. d) The principal sum is a percentage of a capital sum -
ANSWERa) A capital sum is a percentage of the principal sum
# 29. In life insurance, which of the following is NOT required to have an insurable
interest in the insured? a) The beneficiary b) The policyowner c) The insured d). The
applicant - ANSWERThe beneficiary
# 33. When may HIV-related test results be provided to the MIB? a) When given
authorization by the patient b) Only when the test results are negative ci Only if the
individual is not identified d) Under all circumstances - ANSWEROnly ci Only if the
individual is not identified
# 35. Which of the following statements is NOT true regarding health insurance
policy provisions? a) Insurers may add provisions that are not in conflict with uniform
standards b) All additional provisions written by Insurers are cataloged by their
respective states c) All individual policies contain Universal Mandatory Provisions. d)
Insurers may only offer optional provisions that are allowed by the state where the
policy is delivered. - ANSWERb) All additional provisions written by Insurers are
cataloged by their respective states
