NEBRASKA LIFE AND HEALTH
LICENSE EXAM 2025 QUESTIONS AND
ANSWERS
Before delivering a health insurance policy to a client, the producer alters the insuring clause in
a way that he believes will benefit the insurance company. Which of the following statements is
true about this alteration? - ANS It is prohibited by the entire contract provision
Which organization offers health insurance to Nebraska residents who are denied health
insurance and unable to obtain coverage from private companies due to pre-existing medical
conditions? - ANS Nebraska Comprehensive Health Insurance Pool
Newborn children are automatically covered under an insured's individual health insurance
policy for how long? - ANS from birth to 31 days
As beneficiary of her husband's life insurance, Beth chooses to receive payments for life.
However, she is guaranteed that the payments will be made for ten years. Beth has chosen
which of the following? - ANS life income with period certain
Which method of determining the benefit amount is most common in individual disability
income policies? - ANS flat amount
Which statement describes the "pool of money" approach to benefits under a long-term care
insurance policy? - ANS Benefits are defined as a total sum of money from which money can
be drawn in any amount for as long as the money lasts.
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,Which statement best describes the restrictions an insurer must operate under when using
information from the MIB? - ANS Insurers cannot rate or decline a life insurance applicant
based solely on MIB information.
Which of the following must HMO members use to receive covered care? - ANS HMO's
network of providers and caregivers
Which statement is correct about a buy-up option in a disability income insurance policy for
professionals? - ANS It lets the insured buy more coverage in the future without evidence of
insurability.
Bill believes he has a cause of action against his health insurer for its refusal to pay benefits on a
claim. He filed written proof of loss on April 1. Not having received a response by May 1, he
decides to take legal action. What will his attorney probably do? - ANS advise him to wait
For tax purposes, a self-employed person includes all of the following, EXCEPT: - ANS an
incorporated business owner
The Director of Insurance can examine the business transactions, accounts, and records of
insurers as often as necessary, but must do so at least once in how many years? - ANS five
An insured has a comprehensive major medical insurance policy with a $1,000 deductible and
80/20 coinsurance. She incurs a bill of $11,000. What will she pay in total? - ANS $3,000
Adam owns an individual long-term care policy that was issued in Nebraska. Which of the
following conditions must the policy cover? - ANS Alzheimer's disease
Tax law considers any limited payment life insurance policy that is paid-up in seven years or less
to be which of the following? - ANS a modified endowment contract
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, Eric fails to pay the annual premium on his major medical insurance policy. The grace period
provision allows him to pay the premium within how many days after the due date? - ANS 31
When can the owner of a deferred annuity select a settlement option? - ANS any time prior
to annuitization
When completing an application for life insurance, Andrew states that he is 39 years old,
though he is actually 45. When the insurer discovers this, what will it probably do? -
ANS adjusted the benefits
When underwriting a group life insurance policy, which of the following does the underwriter
look at? - ANS the group as a whole
Alana let her life insurance policy lapse two years ago and now wants to reinstate the policy.
Which action is she NOT required to take to reinstate the policy? - ANS pay the next year's
premium in advance
A long-term care insurance policy issued in Nebraska cannot exclude coverage or limit benefits
for which of the following? - ANS Alzheimer's disease
What happens if the provisions of an insurer's health insurance policies contradict state law? -
ANS The provisions are changed automatically to comply with the law.
Whether a variable annuity's monthly income rises, falls, or stays level depends largely on
which of the following? - ANS the assumed interest rate (AIR) selected by the contract owner
Producers and insurers selling Medicare supplement insurance policies are prohibited from
engaging in all of the following acts EXCEPT: - ANS replacement
Jessica, age 48, owns a traditional IRA that she funded with tax-deducted contributions and
which is now worth $300,000. Which of the following correctly describes the tax consequences
3 Copyright ©2025 BRAINBARTER ALL RIGHTS RESERVED
LICENSE EXAM 2025 QUESTIONS AND
ANSWERS
Before delivering a health insurance policy to a client, the producer alters the insuring clause in
a way that he believes will benefit the insurance company. Which of the following statements is
true about this alteration? - ANS It is prohibited by the entire contract provision
Which organization offers health insurance to Nebraska residents who are denied health
insurance and unable to obtain coverage from private companies due to pre-existing medical
conditions? - ANS Nebraska Comprehensive Health Insurance Pool
Newborn children are automatically covered under an insured's individual health insurance
policy for how long? - ANS from birth to 31 days
As beneficiary of her husband's life insurance, Beth chooses to receive payments for life.
However, she is guaranteed that the payments will be made for ten years. Beth has chosen
which of the following? - ANS life income with period certain
Which method of determining the benefit amount is most common in individual disability
income policies? - ANS flat amount
Which statement describes the "pool of money" approach to benefits under a long-term care
insurance policy? - ANS Benefits are defined as a total sum of money from which money can
be drawn in any amount for as long as the money lasts.
1 Copyright ©2025 BRAINBARTER ALL RIGHTS RESERVED
,Which statement best describes the restrictions an insurer must operate under when using
information from the MIB? - ANS Insurers cannot rate or decline a life insurance applicant
based solely on MIB information.
Which of the following must HMO members use to receive covered care? - ANS HMO's
network of providers and caregivers
Which statement is correct about a buy-up option in a disability income insurance policy for
professionals? - ANS It lets the insured buy more coverage in the future without evidence of
insurability.
Bill believes he has a cause of action against his health insurer for its refusal to pay benefits on a
claim. He filed written proof of loss on April 1. Not having received a response by May 1, he
decides to take legal action. What will his attorney probably do? - ANS advise him to wait
For tax purposes, a self-employed person includes all of the following, EXCEPT: - ANS an
incorporated business owner
The Director of Insurance can examine the business transactions, accounts, and records of
insurers as often as necessary, but must do so at least once in how many years? - ANS five
An insured has a comprehensive major medical insurance policy with a $1,000 deductible and
80/20 coinsurance. She incurs a bill of $11,000. What will she pay in total? - ANS $3,000
Adam owns an individual long-term care policy that was issued in Nebraska. Which of the
following conditions must the policy cover? - ANS Alzheimer's disease
Tax law considers any limited payment life insurance policy that is paid-up in seven years or less
to be which of the following? - ANS a modified endowment contract
2 Copyright ©2025 BRAINBARTER ALL RIGHTS RESERVED
, Eric fails to pay the annual premium on his major medical insurance policy. The grace period
provision allows him to pay the premium within how many days after the due date? - ANS 31
When can the owner of a deferred annuity select a settlement option? - ANS any time prior
to annuitization
When completing an application for life insurance, Andrew states that he is 39 years old,
though he is actually 45. When the insurer discovers this, what will it probably do? -
ANS adjusted the benefits
When underwriting a group life insurance policy, which of the following does the underwriter
look at? - ANS the group as a whole
Alana let her life insurance policy lapse two years ago and now wants to reinstate the policy.
Which action is she NOT required to take to reinstate the policy? - ANS pay the next year's
premium in advance
A long-term care insurance policy issued in Nebraska cannot exclude coverage or limit benefits
for which of the following? - ANS Alzheimer's disease
What happens if the provisions of an insurer's health insurance policies contradict state law? -
ANS The provisions are changed automatically to comply with the law.
Whether a variable annuity's monthly income rises, falls, or stays level depends largely on
which of the following? - ANS the assumed interest rate (AIR) selected by the contract owner
Producers and insurers selling Medicare supplement insurance policies are prohibited from
engaging in all of the following acts EXCEPT: - ANS replacement
Jessica, age 48, owns a traditional IRA that she funded with tax-deducted contributions and
which is now worth $300,000. Which of the following correctly describes the tax consequences
3 Copyright ©2025 BRAINBARTER ALL RIGHTS RESERVED
