NJ Health and Accident
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1. In what form do disability income policies typically pay benefits: Periodic
income
2. The Mandatory health policy provision states that the policy, including
endorsements and attached papers, constitutes: The entire insurance contract
between the parties
3. The entire contract includes the actual policy and the: application
4. employer sponsored group health insurance provides coverage for which
of the following: Alcoholism
5. The term which describes the fact that both parties of a contract may not
receive the same value is referred to as: Aleatory
6. Tom has a home health care benefit and is confined to his home. Which of
these is NOT typically covered: Full-time nursing care
7. A Medicare Supplement policy can be cancelled by the insurer for: Nonpay-
ment
8. Credit Accident and Health plans are designed to: help pay off existing loans
during periods of disability
9. A payment system for health care in which the provider is paid for each
service given is called: fee-for-service
10. An insurance company ONLY pay a sales commission to: individuals li-
censed by the state
11. Ken is a producer who has obtained Consumer Information Reports under
false pretenses. Under the Fair Credit Reporting Act, what is the maximum
penalty that may be imposed on Ken?: $5000 and 1 year imprisonment
12. A closed network plan offers a primary physician copay of $25. If a
subscriber chooses a primary care physician outside of the network, the
subscriber will likely pay: 100% of the billed amount
13. What is the maximum fine for a producer violating an NJ insurance law for
the first time?: $5000
14. A licensed producer is required to file notice to any changes of address
within how many days: 30 days
15. Jonas has disability insurance through his employer. The employer pays
75% of the premium, and Jonas pays the other 25%. What is Jonas's tax
liability for any benefits paid from the disability plan?: Taxes must be paid on
75% of the benefits received
16. After an insured gives notice of loss, what must he/she do if the insurer
does not furnish forms?: File written proof of loss
17. Which of the following is an example of the insured's consideration?: A
paid premium
1/8
, NJ Health and Accident
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18. A(n) _______ insurance company is one that was formed under the laws
of a state other than NJ: Foreign
19. Kathy pays a monthly premium on her health insurance policy. How long
is her grace period?: 10 days
20. Insurance licenses are intended to be issued for the purpose of authorizing
the transaction of business with members of the general public and not
primarily allowing someone to benefit from commissions on business that
insurers their personal interest. The description of which of the following?: -
Controlled business
21. A master contract and certified coverage can be found in which type of
policy?: Group
22. Medicaid is a government-funded program designed to provide health care
to: poor people
23. Which type of long-term care benefit would be most appropriate for a
stroke victim who requires speech therapy administered at her home?: Home
Health Care
24. What does the Consolidated Omnibus Budget Reconciliation Act (COBRA)
of 1985 allow an employee to do?: In the event of employment termination, group
health insurance can be kept if the employee pays the premiums
25. Replacement regulation is designed to protect the interests of: Policy own-
ers
26. Continued coverage under COBRA would be provided to all of the follow-
ing except?: a covered employee is terminated for gross misconduct
27. A health insurer must be provided with written proof of loss ______ days
after the date of loss: 90 days
28. All of the following are factors would affect a health insurance policies
premium rate Except: Residential address of the insured
29. Which of the following is NOT a required provision in an accident and
health insurance policy?: Change of occupation (considered optional provision)
30. Within how many days must a producer notify the Department of Banking
and Insurance of a change in address?: 30 days
31. When comparing an HMO, to a PPO, the PPO: provides a greater choice of
providers
32. Under the Consolidated Omnibus Budget Reconciliation Act (COBRA),
a terminated employee's benefits must: be the same and the premium cannot
exceed 102%
33. An agent is required to keep replacement forms on file for at LEAST ______
years.: 5 years
2/8
Study online at https://quizlet.com/_9zb88x
1. In what form do disability income policies typically pay benefits: Periodic
income
2. The Mandatory health policy provision states that the policy, including
endorsements and attached papers, constitutes: The entire insurance contract
between the parties
3. The entire contract includes the actual policy and the: application
4. employer sponsored group health insurance provides coverage for which
of the following: Alcoholism
5. The term which describes the fact that both parties of a contract may not
receive the same value is referred to as: Aleatory
6. Tom has a home health care benefit and is confined to his home. Which of
these is NOT typically covered: Full-time nursing care
7. A Medicare Supplement policy can be cancelled by the insurer for: Nonpay-
ment
8. Credit Accident and Health plans are designed to: help pay off existing loans
during periods of disability
9. A payment system for health care in which the provider is paid for each
service given is called: fee-for-service
10. An insurance company ONLY pay a sales commission to: individuals li-
censed by the state
11. Ken is a producer who has obtained Consumer Information Reports under
false pretenses. Under the Fair Credit Reporting Act, what is the maximum
penalty that may be imposed on Ken?: $5000 and 1 year imprisonment
12. A closed network plan offers a primary physician copay of $25. If a
subscriber chooses a primary care physician outside of the network, the
subscriber will likely pay: 100% of the billed amount
13. What is the maximum fine for a producer violating an NJ insurance law for
the first time?: $5000
14. A licensed producer is required to file notice to any changes of address
within how many days: 30 days
15. Jonas has disability insurance through his employer. The employer pays
75% of the premium, and Jonas pays the other 25%. What is Jonas's tax
liability for any benefits paid from the disability plan?: Taxes must be paid on
75% of the benefits received
16. After an insured gives notice of loss, what must he/she do if the insurer
does not furnish forms?: File written proof of loss
17. Which of the following is an example of the insured's consideration?: A
paid premium
1/8
, NJ Health and Accident
Study online at https://quizlet.com/_9zb88x
18. A(n) _______ insurance company is one that was formed under the laws
of a state other than NJ: Foreign
19. Kathy pays a monthly premium on her health insurance policy. How long
is her grace period?: 10 days
20. Insurance licenses are intended to be issued for the purpose of authorizing
the transaction of business with members of the general public and not
primarily allowing someone to benefit from commissions on business that
insurers their personal interest. The description of which of the following?: -
Controlled business
21. A master contract and certified coverage can be found in which type of
policy?: Group
22. Medicaid is a government-funded program designed to provide health care
to: poor people
23. Which type of long-term care benefit would be most appropriate for a
stroke victim who requires speech therapy administered at her home?: Home
Health Care
24. What does the Consolidated Omnibus Budget Reconciliation Act (COBRA)
of 1985 allow an employee to do?: In the event of employment termination, group
health insurance can be kept if the employee pays the premiums
25. Replacement regulation is designed to protect the interests of: Policy own-
ers
26. Continued coverage under COBRA would be provided to all of the follow-
ing except?: a covered employee is terminated for gross misconduct
27. A health insurer must be provided with written proof of loss ______ days
after the date of loss: 90 days
28. All of the following are factors would affect a health insurance policies
premium rate Except: Residential address of the insured
29. Which of the following is NOT a required provision in an accident and
health insurance policy?: Change of occupation (considered optional provision)
30. Within how many days must a producer notify the Department of Banking
and Insurance of a change in address?: 30 days
31. When comparing an HMO, to a PPO, the PPO: provides a greater choice of
providers
32. Under the Consolidated Omnibus Budget Reconciliation Act (COBRA),
a terminated employee's benefits must: be the same and the premium cannot
exceed 102%
33. An agent is required to keep replacement forms on file for at LEAST ______
years.: 5 years
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