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ARIZONA LIFE AND HEALTH INSURANCE
LICENSING EXAM 2 VERSIONS 2025/2026 BANK
ACTUAL 500 QUESTIONS WITH DETAILED ANSWERS
WITH STUDY GUIDE EXPERT VERIFIED FOR
GUARANTEED PASS/ALREADY GRADED A+
When the disclosure of an insured's nonpublic
information is involved, what is the insurer obligated
to do? - . . ANSWER ✓✓ Give notice, explain, and
allow opting out
Under the Telemarketing Sales Rule, telemarketing calls
may NOT be received after - . . ANSWER ✓✓ 9:00 PM
A health plan offered by private insurance companies is -
. . ANSWER ✓✓ Medicare Supplement
Chris has a single major medical contract which covers
all medical expenses. His plan is considered to be - . .
ANSWER ✓✓ comprehensive
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In accident and health insurance, 60 days must pass after
written proof of loss has been received by an insurer
before the insured may - . . ANSWER ✓✓ Bring legal
action against the insurer
When a ten year renewable term life insurance policy
issued at age 45 is renewed, the premium rate will be the
current rate for - . . ANSWER ✓✓ Ten year term
insurance for a person aged 55
All of the following are unfair claims settlement practices
except - . . ANSWER ✓✓ An attempt to settle a claim by
arbitration
What is covered under a limited accident and health
insurance policy? - . . ANSWER ✓✓ Limited perils and
amounts
A life insurance policy provision that has the ability to
reduce the death benefit is called - . . ANSWER ✓✓
Accelerated (living) benefit
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If an accident and health insurance claim form is NOT
supplied to the insured within 15 says after the notice of
claim, the insured may comply with the proof of loss
provision by submitting - . . ANSWER ✓✓ Written proof of
the occurrence and extent of loss
How are monthly life annuity benefit payments treated
under a tax sheltered annuity (TSA)? - . . ANSWER ✓✓
Taxed as ordinary income in the year received
How does a continuous premium whole life policy differ
from a limited payment whole life policy? - . . ANSWER
✓✓ The time period in which premiums will be paid
Which of these is an accurate statement regarding the
fixed period settlement option on a life insurance policy? -
. . ANSWER ✓✓ A portion of the payments paid to the
beneficiary comes from interest calculated on the
proceeds of the policy
Under what circumstance does an accident and health
insurer have the right to request an autopsy? - . .
ANSWER ✓✓ When not prohibited by state law
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A material change in a modified endowment contract
(MEC) results in - . . ANSWER ✓✓ the seven pay test,
adjusted for cash value, being applied again
Under an adjustable life insurance policy, which of the
following may NOT be changed without further
underwriting? - . . ANSWER ✓✓ The person insured
Linda is covered with long-term care insurance and has
early-stage Alzheimer's. She is still able to reside in her
home while receiving primary care, as opposed to moving
into a nursing home. All of the following long-term
benefits encourage this EXCEPT for - . . ANSWER ✓✓
custodial care
Employer-paid qualified long-term care insurance
premiums are typically - . . ANSWER ✓✓ Excluded from
the employee's gross income.
Which statement regarding the certificate of insurance is
accurate? - . . ANSWER ✓✓ Indicates evidence of an
employee's insurance coverage
ARIZONA LIFE AND HEALTH INSURANCE
LICENSING EXAM 2 VERSIONS 2025/2026 BANK
ACTUAL 500 QUESTIONS WITH DETAILED ANSWERS
WITH STUDY GUIDE EXPERT VERIFIED FOR
GUARANTEED PASS/ALREADY GRADED A+
When the disclosure of an insured's nonpublic
information is involved, what is the insurer obligated
to do? - . . ANSWER ✓✓ Give notice, explain, and
allow opting out
Under the Telemarketing Sales Rule, telemarketing calls
may NOT be received after - . . ANSWER ✓✓ 9:00 PM
A health plan offered by private insurance companies is -
. . ANSWER ✓✓ Medicare Supplement
Chris has a single major medical contract which covers
all medical expenses. His plan is considered to be - . .
ANSWER ✓✓ comprehensive
,2|Page
In accident and health insurance, 60 days must pass after
written proof of loss has been received by an insurer
before the insured may - . . ANSWER ✓✓ Bring legal
action against the insurer
When a ten year renewable term life insurance policy
issued at age 45 is renewed, the premium rate will be the
current rate for - . . ANSWER ✓✓ Ten year term
insurance for a person aged 55
All of the following are unfair claims settlement practices
except - . . ANSWER ✓✓ An attempt to settle a claim by
arbitration
What is covered under a limited accident and health
insurance policy? - . . ANSWER ✓✓ Limited perils and
amounts
A life insurance policy provision that has the ability to
reduce the death benefit is called - . . ANSWER ✓✓
Accelerated (living) benefit
,3|Page
If an accident and health insurance claim form is NOT
supplied to the insured within 15 says after the notice of
claim, the insured may comply with the proof of loss
provision by submitting - . . ANSWER ✓✓ Written proof of
the occurrence and extent of loss
How are monthly life annuity benefit payments treated
under a tax sheltered annuity (TSA)? - . . ANSWER ✓✓
Taxed as ordinary income in the year received
How does a continuous premium whole life policy differ
from a limited payment whole life policy? - . . ANSWER
✓✓ The time period in which premiums will be paid
Which of these is an accurate statement regarding the
fixed period settlement option on a life insurance policy? -
. . ANSWER ✓✓ A portion of the payments paid to the
beneficiary comes from interest calculated on the
proceeds of the policy
Under what circumstance does an accident and health
insurer have the right to request an autopsy? - . .
ANSWER ✓✓ When not prohibited by state law
, 4|Page
A material change in a modified endowment contract
(MEC) results in - . . ANSWER ✓✓ the seven pay test,
adjusted for cash value, being applied again
Under an adjustable life insurance policy, which of the
following may NOT be changed without further
underwriting? - . . ANSWER ✓✓ The person insured
Linda is covered with long-term care insurance and has
early-stage Alzheimer's. She is still able to reside in her
home while receiving primary care, as opposed to moving
into a nursing home. All of the following long-term
benefits encourage this EXCEPT for - . . ANSWER ✓✓
custodial care
Employer-paid qualified long-term care insurance
premiums are typically - . . ANSWER ✓✓ Excluded from
the employee's gross income.
Which statement regarding the certificate of insurance is
accurate? - . . ANSWER ✓✓ Indicates evidence of an
employee's insurance coverage
