Life and Health Practice Exam- Ohio
Which annuity payout option allows the policyowner to choose a pre-determined number of benefit
payments? ANS: Period certain
What happens when an insurance policy is backdated? ANS: The policy's probation period is earlier than
the present
What is an insurer required to do when faced with an error made under the Misstatement of Age
provision? ANS: Pay age-corrected benefits
An insurer will accept a premium from the insured and continue the coverage in full force as though it
was NOT late during which time period? ANS: Grace period
A life insurance policyowner is allowed ___ days upon policy delivery to return the policy for a full
premium refund. ANS: 10
Which of these statements regarding the annuitant is CORRECT? ANS: The annuitant's life expectancy
determines the annuity payments
During the accumulation period, who can surrender an annuity ANS: Policyowner
An insurer has a right to screen applicants for HIV in which of the following ways? ANS: Blood test for
HIV
In order to activate the reinstatement clause of a lapsed life insurance policy, the insured MUST ANS:
provide evidence of insurability to the insurer
All of the following riders can increase the death benefit amount EXCEPT ANS: Waiver of Premium
,A non-admitted insurer ANS: is not afforded protection by the guaranty fund
What is involved when a life insurance policy has been backdated? ANS: Making the policy effective on
an earlier date than the present
Which of the following is considered to be an act of misrepresentation? ANS: Falsifying the terms,
benefits, advantages, or conditions of an insurance policy
Andy the annuitant dies before the annuity start date. Which of the following is a TRUE statement?
ANS: Premiums paid plus interest earned is returned to the beneficiary
A guaranteed issue insurance policy has no
initial premium requirement
incontestable period
waiting period ANS: medical underwriting
a securities license is required for a life insurance producer to sell ANS: variable life insurance
Ron has a life insurance policy with a face value of $100,000 and a cost of living rider. If the consumer
price index has gone up 4%, how much may Ron increase the face value of the policy? ANS: $4,000
The deeds and actions of a producer indicate what kind of authority? ANS: Apparent
The double indemnity provision in a life insurance policy pertains to an insured's death caused by a(n)
ANS: accident
, If an insured dies during the grace period with no premiums paid ANS: the policy would be payable,
minus the premium amount
A plan in which an employer pays insurance benefits from a fund derived from the employer's current
revenues is called ANS: A self-funded plan
What does the word "level" in Level Term describe? ANS: The face amount
If an agent is believed to be causing considerable harm, the superintendent ANS: may issue a cease and
desist order against the agent
Which of the following does a life insurance policy summary normally include? ANS: The policy's cash
value
Which type of life insurance policy pays the face amount at the end of the specified period if the insured
is still alive? ANS: Endowment policy
The type of policy which pays on the death of the last person is called ANS: survivorship life
Which of these is NOT considered to be a risk factor in life insurance underwriting? ANS: Number of
children
A life insurance rider that allows an individual to purchase insurance as they grow older, regardless of
insurability, is called a(n) ANS: guaranteed insurability rider
Pete the agent recently had his license suspended because he was found to be in violation of a state
insurance law. Due to this suspension, Pete ANS: may be assessed the administrative costs sustained by
the Department
Which annuity payout option allows the policyowner to choose a pre-determined number of benefit
payments? ANS: Period certain
What happens when an insurance policy is backdated? ANS: The policy's probation period is earlier than
the present
What is an insurer required to do when faced with an error made under the Misstatement of Age
provision? ANS: Pay age-corrected benefits
An insurer will accept a premium from the insured and continue the coverage in full force as though it
was NOT late during which time period? ANS: Grace period
A life insurance policyowner is allowed ___ days upon policy delivery to return the policy for a full
premium refund. ANS: 10
Which of these statements regarding the annuitant is CORRECT? ANS: The annuitant's life expectancy
determines the annuity payments
During the accumulation period, who can surrender an annuity ANS: Policyowner
An insurer has a right to screen applicants for HIV in which of the following ways? ANS: Blood test for
HIV
In order to activate the reinstatement clause of a lapsed life insurance policy, the insured MUST ANS:
provide evidence of insurability to the insurer
All of the following riders can increase the death benefit amount EXCEPT ANS: Waiver of Premium
,A non-admitted insurer ANS: is not afforded protection by the guaranty fund
What is involved when a life insurance policy has been backdated? ANS: Making the policy effective on
an earlier date than the present
Which of the following is considered to be an act of misrepresentation? ANS: Falsifying the terms,
benefits, advantages, or conditions of an insurance policy
Andy the annuitant dies before the annuity start date. Which of the following is a TRUE statement?
ANS: Premiums paid plus interest earned is returned to the beneficiary
A guaranteed issue insurance policy has no
initial premium requirement
incontestable period
waiting period ANS: medical underwriting
a securities license is required for a life insurance producer to sell ANS: variable life insurance
Ron has a life insurance policy with a face value of $100,000 and a cost of living rider. If the consumer
price index has gone up 4%, how much may Ron increase the face value of the policy? ANS: $4,000
The deeds and actions of a producer indicate what kind of authority? ANS: Apparent
The double indemnity provision in a life insurance policy pertains to an insured's death caused by a(n)
ANS: accident
, If an insured dies during the grace period with no premiums paid ANS: the policy would be payable,
minus the premium amount
A plan in which an employer pays insurance benefits from a fund derived from the employer's current
revenues is called ANS: A self-funded plan
What does the word "level" in Level Term describe? ANS: The face amount
If an agent is believed to be causing considerable harm, the superintendent ANS: may issue a cease and
desist order against the agent
Which of the following does a life insurance policy summary normally include? ANS: The policy's cash
value
Which type of life insurance policy pays the face amount at the end of the specified period if the insured
is still alive? ANS: Endowment policy
The type of policy which pays on the death of the last person is called ANS: survivorship life
Which of these is NOT considered to be a risk factor in life insurance underwriting? ANS: Number of
children
A life insurance rider that allows an individual to purchase insurance as they grow older, regardless of
insurability, is called a(n) ANS: guaranteed insurability rider
Pete the agent recently had his license suspended because he was found to be in violation of a state
insurance law. Due to this suspension, Pete ANS: may be assessed the administrative costs sustained by
the Department
