1|Page
Texas State Exam Simulator - Life And
Health Insurance Exam 2025 | Certified
Questions With Answers
An agent whose license has been revoked is required to
wait at least five years before applying for a new license
submit all previously written policies to the Commissioner of Insurance's office for
servicing of the accounts
cancel all policies currently in effect and advise the insureds to place them
elsewhere
continue to service the existing accounts but not solicit new business - correct-
answer-wait at least five years before applying for a new license
The benefits under a Disability Buy-Out policy are
normally paid in installments
taxable to the beneficiary
payable to the company or another shareholder
normally paid after a short elimination period - correct-answer-payable to the
company or another shareholder
,2|Page
he Health Insurance Portability and Accountability Act (HIPAA) gives privacy
protection for
insolvency
health information
financial information
overinsurance - correct-answer-health information
How are surrender charges deducted in a life policy with a rear-end loaded
provision?
Deducted from the death benefit
Deducted when the policy is discontinued
Deducted from policy's cash value
Deducted when assigned to another policyowner - correct-answer-Deducted
when the policy is discontinued
What MUST an insurance company use in its advertising?
Its trade name
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Its true corporate name
Its service mark
Its corporate logo - correct-answer-Its true corporate name
An accident policy will most likely pay a benefit for a(n)
self-inflicted injury
critical illness
on-the-job accident
off-the-job accident - correct-answer-off-the-job accident
M completes an application for life insurance but does not pay the initial
premium. All of these actions must occur before M's policy goes into effect
EXCEPT
policy is delivered
free-look period has expired
insurance company issues policy
initial premium is collected - correct-answer-free-look period has expired
, 4|Page
When a policyowner cash surrenders a Universal Life insurance policy in it's early
years, this may be considered a red flag for a(n)
Federal Fair Credit Act Violation
Title 18 Fraud violation
Anti-Money Laundering violation
Unfair Trade Practice violation - correct-answer-Anti-Money Laundering violation
Which of these do NOT constitute policy delivery?
Policy mailed to applicant
Policy mailed to agent
Policy delivered to the applicant by the agent
Policy issued with a rating - correct-answer-Policy issued with a rating
What is the MINIMUM number of Activities of Daily Living (ADL) an insured must
be unable to perform to qualify for Long Term Care benefits?
1
2
3
4 - correct-answer-2
Texas State Exam Simulator - Life And
Health Insurance Exam 2025 | Certified
Questions With Answers
An agent whose license has been revoked is required to
wait at least five years before applying for a new license
submit all previously written policies to the Commissioner of Insurance's office for
servicing of the accounts
cancel all policies currently in effect and advise the insureds to place them
elsewhere
continue to service the existing accounts but not solicit new business - correct-
answer-wait at least five years before applying for a new license
The benefits under a Disability Buy-Out policy are
normally paid in installments
taxable to the beneficiary
payable to the company or another shareholder
normally paid after a short elimination period - correct-answer-payable to the
company or another shareholder
,2|Page
he Health Insurance Portability and Accountability Act (HIPAA) gives privacy
protection for
insolvency
health information
financial information
overinsurance - correct-answer-health information
How are surrender charges deducted in a life policy with a rear-end loaded
provision?
Deducted from the death benefit
Deducted when the policy is discontinued
Deducted from policy's cash value
Deducted when assigned to another policyowner - correct-answer-Deducted
when the policy is discontinued
What MUST an insurance company use in its advertising?
Its trade name
,3|Page
Its true corporate name
Its service mark
Its corporate logo - correct-answer-Its true corporate name
An accident policy will most likely pay a benefit for a(n)
self-inflicted injury
critical illness
on-the-job accident
off-the-job accident - correct-answer-off-the-job accident
M completes an application for life insurance but does not pay the initial
premium. All of these actions must occur before M's policy goes into effect
EXCEPT
policy is delivered
free-look period has expired
insurance company issues policy
initial premium is collected - correct-answer-free-look period has expired
, 4|Page
When a policyowner cash surrenders a Universal Life insurance policy in it's early
years, this may be considered a red flag for a(n)
Federal Fair Credit Act Violation
Title 18 Fraud violation
Anti-Money Laundering violation
Unfair Trade Practice violation - correct-answer-Anti-Money Laundering violation
Which of these do NOT constitute policy delivery?
Policy mailed to applicant
Policy mailed to agent
Policy delivered to the applicant by the agent
Policy issued with a rating - correct-answer-Policy issued with a rating
What is the MINIMUM number of Activities of Daily Living (ADL) an insured must
be unable to perform to qualify for Long Term Care benefits?
1
2
3
4 - correct-answer-2
