Ohio Life and Health Practice Exam 2026
Questions and Answers
An insured has a stop-loss limit of $5,000, a deductible of $500, and an 80/20
coinsurance. The insured incurs $25,000 of covered losses. How much will the
insured have to pay?
$500
$5,000
$5,400
$5,600 - Correct answer-$5,000
Which of these is NOT subject to income taxation under Modified Endowment
Contract (MEC)
Loan against the cash value
Policy withdrawal
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,Policy Dividend
Death Benefit - Correct answer-Death benefit
An indemnity plan
Pays both the insured and health care provider
Provides the insured a specific dollar amount for services
Pays the health care provider directly for services rendered
Is typically issued as a group plan - Correct answer-provides the insured a specific
dollar amount for services
Chris is an insured bricklayer who severed his left hand in an automobile accident.
Although his primary duty cannot be performed, Chris is also a substitute high
school teacher. He collects a full disability income check every month. How does
his policy define total disability?
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,Recurrent
Any occupation
Own occupation
Presumptive - Correct answer-Own occupation
A policyowner can receive an immediate payment before the insured dies by using
a(n)
viatical settlement contract
buy-sell arrangement
adhesion agreement
spendthrift plan - Correct answer-viatical settlement contract
Signatures for an insurance application MUST be obtained by the producer from
all of the following sources EXCEPT
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, The producer
The insured
The policyowner
The beneficiary - Correct answer-The beneficiary
All of the following are considered appropriate uses of life insurance for business
purposes EXCEPT
Attracting quality employees by offering a group life plan
Funding an entity buy-sell agreement
Protecting the business by covering key employees with life insurance
Protecting the business by covering entry level employees with life insurance -
Correct answer-Protecting the business by covering entry level employees with life
insurance
Elizabeth is the beneficiary of a life insurance policy. She is receiving the death
benefit in payments of $10,000 per month until the principal and interest has been
paid out. Which option was chosen?
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Questions and Answers
An insured has a stop-loss limit of $5,000, a deductible of $500, and an 80/20
coinsurance. The insured incurs $25,000 of covered losses. How much will the
insured have to pay?
$500
$5,000
$5,400
$5,600 - Correct answer-$5,000
Which of these is NOT subject to income taxation under Modified Endowment
Contract (MEC)
Loan against the cash value
Policy withdrawal
©COPYRIGHT 2025, ALL RIGHTS RESERVE 1
,Policy Dividend
Death Benefit - Correct answer-Death benefit
An indemnity plan
Pays both the insured and health care provider
Provides the insured a specific dollar amount for services
Pays the health care provider directly for services rendered
Is typically issued as a group plan - Correct answer-provides the insured a specific
dollar amount for services
Chris is an insured bricklayer who severed his left hand in an automobile accident.
Although his primary duty cannot be performed, Chris is also a substitute high
school teacher. He collects a full disability income check every month. How does
his policy define total disability?
©COPYRIGHT 2025, ALL RIGHTS RESERVE 2
,Recurrent
Any occupation
Own occupation
Presumptive - Correct answer-Own occupation
A policyowner can receive an immediate payment before the insured dies by using
a(n)
viatical settlement contract
buy-sell arrangement
adhesion agreement
spendthrift plan - Correct answer-viatical settlement contract
Signatures for an insurance application MUST be obtained by the producer from
all of the following sources EXCEPT
©COPYRIGHT 2025, ALL RIGHTS RESERVE 3
, The producer
The insured
The policyowner
The beneficiary - Correct answer-The beneficiary
All of the following are considered appropriate uses of life insurance for business
purposes EXCEPT
Attracting quality employees by offering a group life plan
Funding an entity buy-sell agreement
Protecting the business by covering key employees with life insurance
Protecting the business by covering entry level employees with life insurance -
Correct answer-Protecting the business by covering entry level employees with life
insurance
Elizabeth is the beneficiary of a life insurance policy. She is receiving the death
benefit in payments of $10,000 per month until the principal and interest has been
paid out. Which option was chosen?
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