Nevada Life and Health License Exam Prep
Questions Latest Update 2025-2026 Actual Exam
330 Questions with 100% Verified Correct
Answers Guaranteed A+ Verified by Professor
A policyowner borrowed a portion of cash value from his whole life policy. If the loan is
not repaid, how will that affect the death benefit to the beneficiary? - CORRECT
ANSWER: The amount of the loan will be subtracted from the death benefit
A producer who has allowed their license to lapse may reinstate the examination within
what maximum time period? - CORRECT ANSWER: 12 months
A producer who has allowed their license to lapse may reinstate the license without
retaking the examination within what maximum time period? - CORRECT ANSWER: 12
months or 1 year
A Waiver of Premium Provision may be included with what type of Health Insurance
policies? - CORRECT ANSWER: The Disability Income policy.
A Waiver of Premium Provision may be included with which kind of health insurance
policy? - CORRECT ANSWER: A Disability Income policy.
A whole policy that requires that the policyowner only pays premiums for a specified
number of years is known as what kind of policy? - CORRECT ANSWER: Limited-Pay
Whole Life
According to the Coordination of Benefits Provision, if both parents have coverage for a
child from their employer's policies, which policy will pay first? - CORRECT ANSWER:
The order of payment will be determine by the birthday rule.
,According to the Physical Examination and Autopsy Provision, who pays for the
expense of an autopsy? - CORRECT ANSWER: The insurer.
According to the Reinstatement Provision, once a lapsed policy is reinstated, how soon
will coverage be available for accidents? - CORRECT ANSWER: It is available
immediately.
According to the Rights of Renewability Rider for cancellable policies what is untrue
about the cancellation of an individual insurance policy? - CORRECT ANSWER: Any
unearned premiums are retained by the insurance company.
According to the Time Limit on Certain Defenses Provision in a Health Insurance policy,
when can an insurer contest fraudulent misstatements on an application? - CORRECT
ANSWER: It can be any time while the policy is in force.
Agents who persuade insureds to cancel a policy in favor of another one when it might
not be in the insured's best interest are guilty of... - CORRECT ANSWER: Twisting
An agent is in the process of replacing the insured's current health insurance policy with
a new one. What would be the proper action? - CORRECT ANSWER: The old policy
should stay in force until the new policy is issued
An agent is ready to deliver a policy to an applicant but has not yet received payment.
Upon delivery, the agent collects the applicant's premium check, answers any questions
the applicant may have, and then leaves. What did he forget to do? - CORRECT
ANSWER: Ask them to sign a statement of good health
An agent offers a client free tickets to a sporting event in exchange for the purchase of
an insurance policy. What is the agent guilty of? - CORRECT ANSWER: Rebating
,An individual has a contract that will provide them with a certain amount of income for
the rest of their life, however, this is not a life insurance policy. What type of contract
does this person have? - CORRECT ANSWER: Annuity
An insured makes regular contributions to his Health Savings Account. How are those
contributions treated in regards to taxation? - CORRECT ANSWER: They are tax
deductible
An insured receives an annual life insurance dividend check. What term best described
this arrangement? - CORRECT ANSWER: Cash option
At what age do individuals qualify for Medicare? - CORRECT ANSWER: At age 65.
At what age may an individual make withdrawals from an HSA for nonhealth purposes
without being penalized? - CORRECT ANSWER: At age 65.
Can an individual who belongs to a POS plan use an out-of-network physician? -
CORRECT ANSWER: Yes, they can use any physician even if not part of the HMO
Does a reinstated policy provide immediate coverage for an illness? - CORRECT
ANSWER: No
Does the policyowner have the right to change beneficiaries in any case? - CORRECT
ANSWER: No, a policyowner can only change the beneficiary if it is a revocable
beneficiary.
During replacement of life insurance, a replacing insurer must do which of the following?
- CORRECT ANSWER: Obtain a list of all life insurance policies that will be replaced
Each domestic insurer of Nevada must be examined by the Commissioner every... -
CORRECT ANSWER: 5 years.
, For what reason can a temporary license be issued? - CORRECT ANSWER: For
continuation of business in case the licensed producer dies or becomes disabled.
Group life insurance policies are written as what type of life insurance? - CORRECT
ANSWER: Annually Renewable Term
How are benefits received by the business from a Key Person Disability Income? -
CORRECT ANSWER: As Tax-free Income
How are contributions to a tax-sheltered annuity treated with regards to taxation? -
CORRECT ANSWER: They are not included as income for the employee, but are
taxable upon distribution
How are individually owned disability income benefits taxed once received by the
insured? - CORRECT ANSWER: Disability benefits are not taxed
How can a new physician be added to the PPO's approved list? - CORRECT ANSWER:
Agree to follow the PPO standards and charge the appropriate fees
How do employer contributions to a Health Savings Account affect the insured's taxes? -
CORRECT ANSWER: The employer contributions are not included in the individual
insured's taxable income.
How does a member of an HMO see a specialist? - CORRECT ANSWER: The primary
care physician refers the member
How does an employee qualify for COBRA? - CORRECT ANSWER: Any termination of
employment for reasons other than misconduct
Questions Latest Update 2025-2026 Actual Exam
330 Questions with 100% Verified Correct
Answers Guaranteed A+ Verified by Professor
A policyowner borrowed a portion of cash value from his whole life policy. If the loan is
not repaid, how will that affect the death benefit to the beneficiary? - CORRECT
ANSWER: The amount of the loan will be subtracted from the death benefit
A producer who has allowed their license to lapse may reinstate the examination within
what maximum time period? - CORRECT ANSWER: 12 months
A producer who has allowed their license to lapse may reinstate the license without
retaking the examination within what maximum time period? - CORRECT ANSWER: 12
months or 1 year
A Waiver of Premium Provision may be included with what type of Health Insurance
policies? - CORRECT ANSWER: The Disability Income policy.
A Waiver of Premium Provision may be included with which kind of health insurance
policy? - CORRECT ANSWER: A Disability Income policy.
A whole policy that requires that the policyowner only pays premiums for a specified
number of years is known as what kind of policy? - CORRECT ANSWER: Limited-Pay
Whole Life
According to the Coordination of Benefits Provision, if both parents have coverage for a
child from their employer's policies, which policy will pay first? - CORRECT ANSWER:
The order of payment will be determine by the birthday rule.
,According to the Physical Examination and Autopsy Provision, who pays for the
expense of an autopsy? - CORRECT ANSWER: The insurer.
According to the Reinstatement Provision, once a lapsed policy is reinstated, how soon
will coverage be available for accidents? - CORRECT ANSWER: It is available
immediately.
According to the Rights of Renewability Rider for cancellable policies what is untrue
about the cancellation of an individual insurance policy? - CORRECT ANSWER: Any
unearned premiums are retained by the insurance company.
According to the Time Limit on Certain Defenses Provision in a Health Insurance policy,
when can an insurer contest fraudulent misstatements on an application? - CORRECT
ANSWER: It can be any time while the policy is in force.
Agents who persuade insureds to cancel a policy in favor of another one when it might
not be in the insured's best interest are guilty of... - CORRECT ANSWER: Twisting
An agent is in the process of replacing the insured's current health insurance policy with
a new one. What would be the proper action? - CORRECT ANSWER: The old policy
should stay in force until the new policy is issued
An agent is ready to deliver a policy to an applicant but has not yet received payment.
Upon delivery, the agent collects the applicant's premium check, answers any questions
the applicant may have, and then leaves. What did he forget to do? - CORRECT
ANSWER: Ask them to sign a statement of good health
An agent offers a client free tickets to a sporting event in exchange for the purchase of
an insurance policy. What is the agent guilty of? - CORRECT ANSWER: Rebating
,An individual has a contract that will provide them with a certain amount of income for
the rest of their life, however, this is not a life insurance policy. What type of contract
does this person have? - CORRECT ANSWER: Annuity
An insured makes regular contributions to his Health Savings Account. How are those
contributions treated in regards to taxation? - CORRECT ANSWER: They are tax
deductible
An insured receives an annual life insurance dividend check. What term best described
this arrangement? - CORRECT ANSWER: Cash option
At what age do individuals qualify for Medicare? - CORRECT ANSWER: At age 65.
At what age may an individual make withdrawals from an HSA for nonhealth purposes
without being penalized? - CORRECT ANSWER: At age 65.
Can an individual who belongs to a POS plan use an out-of-network physician? -
CORRECT ANSWER: Yes, they can use any physician even if not part of the HMO
Does a reinstated policy provide immediate coverage for an illness? - CORRECT
ANSWER: No
Does the policyowner have the right to change beneficiaries in any case? - CORRECT
ANSWER: No, a policyowner can only change the beneficiary if it is a revocable
beneficiary.
During replacement of life insurance, a replacing insurer must do which of the following?
- CORRECT ANSWER: Obtain a list of all life insurance policies that will be replaced
Each domestic insurer of Nevada must be examined by the Commissioner every... -
CORRECT ANSWER: 5 years.
, For what reason can a temporary license be issued? - CORRECT ANSWER: For
continuation of business in case the licensed producer dies or becomes disabled.
Group life insurance policies are written as what type of life insurance? - CORRECT
ANSWER: Annually Renewable Term
How are benefits received by the business from a Key Person Disability Income? -
CORRECT ANSWER: As Tax-free Income
How are contributions to a tax-sheltered annuity treated with regards to taxation? -
CORRECT ANSWER: They are not included as income for the employee, but are
taxable upon distribution
How are individually owned disability income benefits taxed once received by the
insured? - CORRECT ANSWER: Disability benefits are not taxed
How can a new physician be added to the PPO's approved list? - CORRECT ANSWER:
Agree to follow the PPO standards and charge the appropriate fees
How do employer contributions to a Health Savings Account affect the insured's taxes? -
CORRECT ANSWER: The employer contributions are not included in the individual
insured's taxable income.
How does a member of an HMO see a specialist? - CORRECT ANSWER: The primary
care physician refers the member
How does an employee qualify for COBRA? - CORRECT ANSWER: Any termination of
employment for reasons other than misconduct
