insurance exam regulations ACTUAL
QUESTIONS AND CORRECT ANSWERS
Which federal law regulates group health plans and protects their enrollees? - Crrect
answers✔ERISA
Which governments regulate group health insurance? - Crrect answers✔both state and federal
Which statement is correct about the MIB (Medical Information Bureau)? - Crrect answers✔it
collects medical information about insurance applicants
Which of the following play a role in the regulation of variable insurance product sales? - Crrect
answers✔both the FINRA and state insurance departments
Which statement about multiple employer welfare arrangements (MEWAs) is correct? - Crrect
answers✔They are usually created by employers in the same industry.
Which statement regarding Simplified Employee Pension (SEP) plans is correct? - Crrect
answers✔SEP plans do not accept employee contributions.
Which of the following statements about Section 457 qualified plans is correct? - Crrect
answers✔Earnings accumulate tax deferred.
Which of the following types of qualified retirement plan can include life insurance in the plan
funding? - Crrect answers✔412 (i)
, Which statement regarding a Savings Incentive Match Plan for Employees (SIMPLE) plan is
correct? - Crrect answers✔SIMPLE plans are available only to employers with 100 or fewer
employees.
Section 457 plans are qualified retirement plans that are reserved for employees of which type of
organization? - Crrect answers✔state and local government units
Which statement regarding qualified employer plans is correct? - Crrect answers✔All types of
employer plans are subject to IRS contribution limits.
People can start making catch-up contributions to a traditional IRA only if they are: - Crrect
answers✔age 50 or older
Generally speaking, which of the following most correctly describes the taxation of a Roth IRA
qualified distribution? - Crrect answers✔Distributions are generally tax free
Which of the following correctly identifies qualified educational expenses that can be covered
under a Section 529 prepaid tuition plan? - Crrect answers✔tuition and mandatory fees only
Social Security benefits are a function of a worker's average indexed monthly earnings and
primary insurance amount (PIA). What is a worker's PIA? - Crrect answers✔the amount of the
retirement benefit the worker will receive at normal retirement age
Social Security does NOT provide benefits for - Crrect answers✔medical care
The period after the youngest child turns age 16, during which no Social Security benefits are
payable to a surviving spouse until he or she reaches age 60, is called the - Crrect
answers✔blackout period
QUESTIONS AND CORRECT ANSWERS
Which federal law regulates group health plans and protects their enrollees? - Crrect
answers✔ERISA
Which governments regulate group health insurance? - Crrect answers✔both state and federal
Which statement is correct about the MIB (Medical Information Bureau)? - Crrect answers✔it
collects medical information about insurance applicants
Which of the following play a role in the regulation of variable insurance product sales? - Crrect
answers✔both the FINRA and state insurance departments
Which statement about multiple employer welfare arrangements (MEWAs) is correct? - Crrect
answers✔They are usually created by employers in the same industry.
Which statement regarding Simplified Employee Pension (SEP) plans is correct? - Crrect
answers✔SEP plans do not accept employee contributions.
Which of the following statements about Section 457 qualified plans is correct? - Crrect
answers✔Earnings accumulate tax deferred.
Which of the following types of qualified retirement plan can include life insurance in the plan
funding? - Crrect answers✔412 (i)
, Which statement regarding a Savings Incentive Match Plan for Employees (SIMPLE) plan is
correct? - Crrect answers✔SIMPLE plans are available only to employers with 100 or fewer
employees.
Section 457 plans are qualified retirement plans that are reserved for employees of which type of
organization? - Crrect answers✔state and local government units
Which statement regarding qualified employer plans is correct? - Crrect answers✔All types of
employer plans are subject to IRS contribution limits.
People can start making catch-up contributions to a traditional IRA only if they are: - Crrect
answers✔age 50 or older
Generally speaking, which of the following most correctly describes the taxation of a Roth IRA
qualified distribution? - Crrect answers✔Distributions are generally tax free
Which of the following correctly identifies qualified educational expenses that can be covered
under a Section 529 prepaid tuition plan? - Crrect answers✔tuition and mandatory fees only
Social Security benefits are a function of a worker's average indexed monthly earnings and
primary insurance amount (PIA). What is a worker's PIA? - Crrect answers✔the amount of the
retirement benefit the worker will receive at normal retirement age
Social Security does NOT provide benefits for - Crrect answers✔medical care
The period after the youngest child turns age 16, during which no Social Security benefits are
payable to a surviving spouse until he or she reaches age 60, is called the - Crrect
answers✔blackout period
