1 ||| ||P ||a ||g ||e
CALIFORNIA LIFE AND HEALTH INSURANCE EXAM 2025-2026
INCLUDES AN ACTUAL EXAM AND 2 PRACTICE EXAMS
WITH STUDY GUIDES - EXPERT VERIFIED FOR
GUARANTEED PASS
On ||an ||HMO, ||initial ||care ||and ||consultation ||is ||performed ||by... ||- | | CORRECT ||ANSWER ||The
||primary ||care ||physician.
Federal ||securities ||laws ||are |enforced ||by? ||- | | CORRECT ||ANSWER ||The |Securities ||and ||Exchange
||Commission.
Policy |delivery |refers ||to ||the ||delivery |of ||the? ||- | | CORRECT ||ANSWER ||Completed ||insurance
||policy ||to ||the ||applicant.
The ||'carry-over-deductible' ||applies ||to ||claims ||occurring |within? ||- | | CORRECT ||ANSWER ||The |last
||three ||months ||of ||the ||year.
In ||general ||Group ||Life ||Insurance ||is? ||- | | CORRECT ||ANSWER ||The ||most ||inexpensive ||type ||of
||life ||insurance, ||since ||it ||is ||usually ||sold ||to ||employer ||groups ||on ||a ||payroll ||deduction ||plan, ||which
||lowers ||the ||cost ||of ||administration ||compared ||to ||individual ||policies.
Ryder ||buys ||an ||annuity ||naming ||Gerry ||and ||Cheryl ||as ||co-annuitants. ||The ||amount ||of ||the ||monthly
||payments ||during |the ||annuity |period ||will ||be ||based ||upon? ||- | | CORRECT ||ANSWER ||The |joint ||life
||span ||of ||both ||Gerry ||and ||Cheryl.
What ||are |Nonprofit ||Service ||Organization ||(Insurers)? ||- | | CORRECT ||ANSWER ||They |are
||organizations ||providing ||prepaid ||plans ||for ||hospital, ||medical, ||and ||surgical ||expenses.
What ||changes ||on ||a ||Term ||Life |insurance |policy |when ||an ||insured ||exercises ||the ||"Reentry" ||option? ||-
||CORRECT ||ANSWER ||Premium.
,2 ||| ||P ||a ||g ||e
The ||period ||of ||time ||between ||the ||onset ||of ||a ||claim ||and ||the ||start ||of ||a ||disability ||income ||benefits ||is
||called ||the? ||- | | CORRECT ||ANSWER ||Elimination ||period ||(Or ||waiting ||period).
What ||is ||Part ||B-Hospital ||Insurance ||for |Medicare? ||- | | CORRECT ||ANSWER |Sometimes ||called
||Supplementary ||Medical ||Insurance ||(SMI) ||since ||it ||supplements ||Part ||A. ||Part ||B ||(the ||optional
||portion) ||is ||generally ||designed ||to ||cover ||physicians' ||services.
An ||insurance ||company |organized ||in ||Great ||Britain ||doing ||business ||in ||California ||is ||considered ||to
||be? ||- | | CORRECT ||ANSWER ||Alien
On ||a ||refund ||annuity, ||who ||is ||entitled ||to ||the ||refund? ||- | | CORRECT ||ANSWER ||The ||beneficiary.
What ||is ||Modified ||Premium ||and ||Graded ||Premium ||Whole ||Life? ||- | | CORRECT ||ANSWER
||Since ||level ||premium ||whole ||life ||is ||expensive, ||many |insurers ||offer ||premium ||discounts ||during |the
||early ||years ||of ||a ||policy ||to ||make ||it ||easier ||to ||sell.
What ||does ||an ||annuity |provide ||to ||a ||retired ||person? ||- | | CORRECT ||ANSWER ||They |provide
||protection ||for ||a ||retired ||individual ||from ||outliving ||their ||savings.
Persons ||covered ||by ||Medicare ||are ||called? ||- | | CORRECT ||ANSWER ||Beneficiaries.
What ||are ||Stock ||Insurers? ||- | | CORRECT ||ANSWER |The |individual ||stockholder ||provides ||capital
||for ||the ||insurer. ||In ||return, ||they ||share ||in ||any ||profits ||and ||any ||losses.
An ||insurance ||prospect ||wants ||to ||purchase ||a ||policy ||that ||will ||accumulate ||the |largest ||amount ||of ||cash
||by ||the ||age ||of ||65. ||Which ||policy ||would ||be ||most ||likely ||to ||satisfy ||the ||prospect's ||needs? | | -
||CORRECT ||ANSWER ||Endowment ||at ||age ||65.
If ||the ||insured/owner ||of ||the ||policy |does ||not ||pre-designate ||a ||settlement ||option ||for ||the ||beneficiary
||prior ||to ||death, ||the ||beneficiary ||may? ||- | | CORRECT ||ANSWER ||The ||beneficiary ||may ||select ||the
||settlement ||option ||upon ||the ||death ||of ||the ||insured.
,3 ||| ||P ||a ||g ||e
When ||only |one ||deductible ||applies ||to ||all ||family ||members ||it ||is ||referred ||to ||as ||a? ||- | | CORRECT
||ANSWER ||Family ||deductible.
With ||regard ||to ||the ||ethical ||behavior ||of ||a ||Life ||agent, ||which ||of ||the ||following ||makes ||it ||easier ||for
||agents ||to ||conduct ||themselves ||in ||an ||ethical ||manner? ||- | | CORRECT ||ANSWER ||Always ||putting |the
||best ||interests ||of ||clients ||and ||policyholders ||first.
What ||is ||Limited ||Payment ||and ||Single |Premium ||(Whole ||Life)? ||- | | CORRECT |ANSWER ||These
||policies ||are ||exactly ||like ||Ordinary ||or ||Stright ||Life ||policies, ||except, ||the ||premium ||is ||paid ||over
||a ||shorter ||period ||of ||time.
What ||is ||an ||Endowment ||Policy? ||- | | CORRECT ||ANSWER ||An ||endowment ||policy |is ||exactly |the
||same ||as ||a ||Whole ||Life ||policy, ||except ||maturity ||occurs ||at ||a ||predetermined ||time ||selected ||by
||the ||insured.
Under ||the ||Legal ||Actions ||Provision, ||the ||insured ||cannot ||sue ||for ||non-payment ||of ||a ||valid ||claim ||until
||after ||60 ||days ||in ||order ||to? ||- | | CORRECT ||ANSWER ||Give ||the ||insurer ||time ||to ||investigate ||the
||claim.
What ||are ||the ||three ||types ||of ||ordinary |life |insurance? ||- | | CORRECT ||ANSWER ||W-E-T, ||Whole
||Life, ||Endowments, ||and ||Term.
Medicare |Part ||B-Medical ||Insurance ||pays ||a ||percentage |of? ||- | | CORRECT ||ANSWER ||The
||Medicare ||approved ||amount?
What ||are ||fraternal ||insurers? ||- | | CORRECT ||ANSWER ||Fraternal ||benefit ||societies ||are |primarily |life
||insurance ||carriers ||that ||exist ||as ||social ||organization ||and ||usually ||engage ||in ||charitable ||and
||benevolent ||activities. ||Fraternal ||insurers ||are ||distinguished ||by ||the ||fact ||that ||their ||membership ||is
||usually ||drawn ||from ||those ||who ||are ||also ||members ||of ||a ||lodge ||or ||fraternal ||organization.
To ||restore ||you ||financially |after ||a ||claim ||is ||known ||as ||the? ||- | | CORRECT ||ANSWER ||The |principal
||of ||indemnity.
, 4 ||| ||P ||a ||g ||e
A ||46 ||year ||old ||is ||paralyzed ||in ||an ||accident ||on ||vacation. ||Disability |benefits ||would ||most ||likely |be
||paid ||by? ||- | | CORRECT ||ANSWER ||Social ||Security.
What ||is ||the ||principle ||of ||indemnity? ||- | | CORRECT ||ANSWER ||The |principle ||of ||indemnity |restores
||the ||insured ||person, ||in ||whole ||or ||in ||part, ||to ||the ||condition ||he ||or ||she ||enjoyed ||prior ||to ||the ||loss.
Restoration ||may |take ||the ||form ||of ||payment, ||repair, ||or ||replacement.
Group ||health ||insurance ||normally ||specifies ||that ||what ||percentage ||of ||those ||eligible ||must ||be
||enrolled ||under ||a ||noncontributory |plan? ||- | | CORRECT ||ANSWER ||100% ||in ||a |noncontributory
||group ||plan.
A ||settlement ||option ||that ||provides ||for ||payment ||to ||be ||made ||in ||regular ||installments ||of ||a ||specified
||amount ||until ||the |principle ||and ||interest ||are ||exhausted ||is? ||- | | CORRECT ||ANSWER ||Fixed ||Amount
What ||is ||an ||accidental ||Injury? ||- | | CORRECT ||ANSWER ||It ||is ||an ||injury |that ||is ||unintentional ||and
||unforeseen.
The |Join ||and ||Survivor ||Life |Annuity |contract ||calls ||for |the ||surviving |annuitant ||to ||receive ||a? ||-
||CORRECT ||ANSWER ||Predetermined ||income ||for ||life.
Medical ||expense |premiums ||paid ||by |sole ||proprietors ||or ||partners ||are? ||- | | CORRECT ||ANSWER
||They ||are ||fully ||deductible.
What ||is ||the ||Eligibility ||of ||a ||Qualified ||Plan? ||- | | CORRECT ||ANSWER ||ERISA ||prescribes ||that ||all
||full ||time ||employees ||who ||have ||worked ||for ||at ||least ||1 ||year ||and ||are ||age ||21 ||or ||more ||must ||be ||covered
||in ||a ||Qualified ||Plan, ||if ||offered.
If ||an ||insurance ||contract ||has ||"variable" ||features, ||which ||set ||of ||laws ||does ||it ||come ||under? ||-
||CORRECT ||ANSWER ||It ||is ||under ||the ||Federal ||Securities ||Laws. ||They |have |met ||the |defition ||of ||a
||security ||as ||defined ||by ||the ||Federal ||Securities ||Act ||of ||1933.
What ||insurance |product ||has ||a |flexible ||premium, ||fixed ||rate ||of ||return, ||tax ||deferred ||growth ||and ||a
||death ||benefit ||equal ||to ||the ||cash ||value? ||- | | CORRECT ||ANSWER ||A ||flexible ||premium ||deferred
||annuity.
CALIFORNIA LIFE AND HEALTH INSURANCE EXAM 2025-2026
INCLUDES AN ACTUAL EXAM AND 2 PRACTICE EXAMS
WITH STUDY GUIDES - EXPERT VERIFIED FOR
GUARANTEED PASS
On ||an ||HMO, ||initial ||care ||and ||consultation ||is ||performed ||by... ||- | | CORRECT ||ANSWER ||The
||primary ||care ||physician.
Federal ||securities ||laws ||are |enforced ||by? ||- | | CORRECT ||ANSWER ||The |Securities ||and ||Exchange
||Commission.
Policy |delivery |refers ||to ||the ||delivery |of ||the? ||- | | CORRECT ||ANSWER ||Completed ||insurance
||policy ||to ||the ||applicant.
The ||'carry-over-deductible' ||applies ||to ||claims ||occurring |within? ||- | | CORRECT ||ANSWER ||The |last
||three ||months ||of ||the ||year.
In ||general ||Group ||Life ||Insurance ||is? ||- | | CORRECT ||ANSWER ||The ||most ||inexpensive ||type ||of
||life ||insurance, ||since ||it ||is ||usually ||sold ||to ||employer ||groups ||on ||a ||payroll ||deduction ||plan, ||which
||lowers ||the ||cost ||of ||administration ||compared ||to ||individual ||policies.
Ryder ||buys ||an ||annuity ||naming ||Gerry ||and ||Cheryl ||as ||co-annuitants. ||The ||amount ||of ||the ||monthly
||payments ||during |the ||annuity |period ||will ||be ||based ||upon? ||- | | CORRECT ||ANSWER ||The |joint ||life
||span ||of ||both ||Gerry ||and ||Cheryl.
What ||are |Nonprofit ||Service ||Organization ||(Insurers)? ||- | | CORRECT ||ANSWER ||They |are
||organizations ||providing ||prepaid ||plans ||for ||hospital, ||medical, ||and ||surgical ||expenses.
What ||changes ||on ||a ||Term ||Life |insurance |policy |when ||an ||insured ||exercises ||the ||"Reentry" ||option? ||-
||CORRECT ||ANSWER ||Premium.
,2 ||| ||P ||a ||g ||e
The ||period ||of ||time ||between ||the ||onset ||of ||a ||claim ||and ||the ||start ||of ||a ||disability ||income ||benefits ||is
||called ||the? ||- | | CORRECT ||ANSWER ||Elimination ||period ||(Or ||waiting ||period).
What ||is ||Part ||B-Hospital ||Insurance ||for |Medicare? ||- | | CORRECT ||ANSWER |Sometimes ||called
||Supplementary ||Medical ||Insurance ||(SMI) ||since ||it ||supplements ||Part ||A. ||Part ||B ||(the ||optional
||portion) ||is ||generally ||designed ||to ||cover ||physicians' ||services.
An ||insurance ||company |organized ||in ||Great ||Britain ||doing ||business ||in ||California ||is ||considered ||to
||be? ||- | | CORRECT ||ANSWER ||Alien
On ||a ||refund ||annuity, ||who ||is ||entitled ||to ||the ||refund? ||- | | CORRECT ||ANSWER ||The ||beneficiary.
What ||is ||Modified ||Premium ||and ||Graded ||Premium ||Whole ||Life? ||- | | CORRECT ||ANSWER
||Since ||level ||premium ||whole ||life ||is ||expensive, ||many |insurers ||offer ||premium ||discounts ||during |the
||early ||years ||of ||a ||policy ||to ||make ||it ||easier ||to ||sell.
What ||does ||an ||annuity |provide ||to ||a ||retired ||person? ||- | | CORRECT ||ANSWER ||They |provide
||protection ||for ||a ||retired ||individual ||from ||outliving ||their ||savings.
Persons ||covered ||by ||Medicare ||are ||called? ||- | | CORRECT ||ANSWER ||Beneficiaries.
What ||are ||Stock ||Insurers? ||- | | CORRECT ||ANSWER |The |individual ||stockholder ||provides ||capital
||for ||the ||insurer. ||In ||return, ||they ||share ||in ||any ||profits ||and ||any ||losses.
An ||insurance ||prospect ||wants ||to ||purchase ||a ||policy ||that ||will ||accumulate ||the |largest ||amount ||of ||cash
||by ||the ||age ||of ||65. ||Which ||policy ||would ||be ||most ||likely ||to ||satisfy ||the ||prospect's ||needs? | | -
||CORRECT ||ANSWER ||Endowment ||at ||age ||65.
If ||the ||insured/owner ||of ||the ||policy |does ||not ||pre-designate ||a ||settlement ||option ||for ||the ||beneficiary
||prior ||to ||death, ||the ||beneficiary ||may? ||- | | CORRECT ||ANSWER ||The ||beneficiary ||may ||select ||the
||settlement ||option ||upon ||the ||death ||of ||the ||insured.
,3 ||| ||P ||a ||g ||e
When ||only |one ||deductible ||applies ||to ||all ||family ||members ||it ||is ||referred ||to ||as ||a? ||- | | CORRECT
||ANSWER ||Family ||deductible.
With ||regard ||to ||the ||ethical ||behavior ||of ||a ||Life ||agent, ||which ||of ||the ||following ||makes ||it ||easier ||for
||agents ||to ||conduct ||themselves ||in ||an ||ethical ||manner? ||- | | CORRECT ||ANSWER ||Always ||putting |the
||best ||interests ||of ||clients ||and ||policyholders ||first.
What ||is ||Limited ||Payment ||and ||Single |Premium ||(Whole ||Life)? ||- | | CORRECT |ANSWER ||These
||policies ||are ||exactly ||like ||Ordinary ||or ||Stright ||Life ||policies, ||except, ||the ||premium ||is ||paid ||over
||a ||shorter ||period ||of ||time.
What ||is ||an ||Endowment ||Policy? ||- | | CORRECT ||ANSWER ||An ||endowment ||policy |is ||exactly |the
||same ||as ||a ||Whole ||Life ||policy, ||except ||maturity ||occurs ||at ||a ||predetermined ||time ||selected ||by
||the ||insured.
Under ||the ||Legal ||Actions ||Provision, ||the ||insured ||cannot ||sue ||for ||non-payment ||of ||a ||valid ||claim ||until
||after ||60 ||days ||in ||order ||to? ||- | | CORRECT ||ANSWER ||Give ||the ||insurer ||time ||to ||investigate ||the
||claim.
What ||are ||the ||three ||types ||of ||ordinary |life |insurance? ||- | | CORRECT ||ANSWER ||W-E-T, ||Whole
||Life, ||Endowments, ||and ||Term.
Medicare |Part ||B-Medical ||Insurance ||pays ||a ||percentage |of? ||- | | CORRECT ||ANSWER ||The
||Medicare ||approved ||amount?
What ||are ||fraternal ||insurers? ||- | | CORRECT ||ANSWER ||Fraternal ||benefit ||societies ||are |primarily |life
||insurance ||carriers ||that ||exist ||as ||social ||organization ||and ||usually ||engage ||in ||charitable ||and
||benevolent ||activities. ||Fraternal ||insurers ||are ||distinguished ||by ||the ||fact ||that ||their ||membership ||is
||usually ||drawn ||from ||those ||who ||are ||also ||members ||of ||a ||lodge ||or ||fraternal ||organization.
To ||restore ||you ||financially |after ||a ||claim ||is ||known ||as ||the? ||- | | CORRECT ||ANSWER ||The |principal
||of ||indemnity.
, 4 ||| ||P ||a ||g ||e
A ||46 ||year ||old ||is ||paralyzed ||in ||an ||accident ||on ||vacation. ||Disability |benefits ||would ||most ||likely |be
||paid ||by? ||- | | CORRECT ||ANSWER ||Social ||Security.
What ||is ||the ||principle ||of ||indemnity? ||- | | CORRECT ||ANSWER ||The |principle ||of ||indemnity |restores
||the ||insured ||person, ||in ||whole ||or ||in ||part, ||to ||the ||condition ||he ||or ||she ||enjoyed ||prior ||to ||the ||loss.
Restoration ||may |take ||the ||form ||of ||payment, ||repair, ||or ||replacement.
Group ||health ||insurance ||normally ||specifies ||that ||what ||percentage ||of ||those ||eligible ||must ||be
||enrolled ||under ||a ||noncontributory |plan? ||- | | CORRECT ||ANSWER ||100% ||in ||a |noncontributory
||group ||plan.
A ||settlement ||option ||that ||provides ||for ||payment ||to ||be ||made ||in ||regular ||installments ||of ||a ||specified
||amount ||until ||the |principle ||and ||interest ||are ||exhausted ||is? ||- | | CORRECT ||ANSWER ||Fixed ||Amount
What ||is ||an ||accidental ||Injury? ||- | | CORRECT ||ANSWER ||It ||is ||an ||injury |that ||is ||unintentional ||and
||unforeseen.
The |Join ||and ||Survivor ||Life |Annuity |contract ||calls ||for |the ||surviving |annuitant ||to ||receive ||a? ||-
||CORRECT ||ANSWER ||Predetermined ||income ||for ||life.
Medical ||expense |premiums ||paid ||by |sole ||proprietors ||or ||partners ||are? ||- | | CORRECT ||ANSWER
||They ||are ||fully ||deductible.
What ||is ||the ||Eligibility ||of ||a ||Qualified ||Plan? ||- | | CORRECT ||ANSWER ||ERISA ||prescribes ||that ||all
||full ||time ||employees ||who ||have ||worked ||for ||at ||least ||1 ||year ||and ||are ||age ||21 ||or ||more ||must ||be ||covered
||in ||a ||Qualified ||Plan, ||if ||offered.
If ||an ||insurance ||contract ||has ||"variable" ||features, ||which ||set ||of ||laws ||does ||it ||come ||under? ||-
||CORRECT ||ANSWER ||It ||is ||under ||the ||Federal ||Securities ||Laws. ||They |have |met ||the |defition ||of ||a
||security ||as ||defined ||by ||the ||Federal ||Securities ||Act ||of ||1933.
What ||insurance |product ||has ||a |flexible ||premium, ||fixed ||rate ||of ||return, ||tax ||deferred ||growth ||and ||a
||death ||benefit ||equal ||to ||the ||cash ||value? ||- | | CORRECT ||ANSWER ||A ||flexible ||premium ||deferred
||annuity.
