AD Banker Life & Health Exam ACTUAL
QUESTIONS AND CORRECT ANSWERS
________ is/are not considered material to the policy issuance. - CORRECT ANSWERS✔✔Age
and/or gender are not considered material to the policy issuance.
One of your clients just reinstated his health insurance plane. When is coverage effective for
sickness and accident? - CORRECT ANSWERS✔✔10 days for sickness, and immediately for
accidental injuries
Jay receives an annual disability benefit of $10,000. His employer contributed 75% of the
premium. How much of Jay's benefit is subject to income tax? - CORRECT ANSWERS✔✔Jay
is covered under a contributory plan in which the employer is contributing 75% of premium, so
75% of the $10,000 benefit ($7,500) is subject to income tax
Reciprocal agreements, as defined in the Georgia Insurance Code, refers to: - CORRECT
ANSWERS✔✔Agreement between the Insurance Commissioner and regulators of other states in
order to facilitate licensing of nonresident adjusters in Georgia and other states
Burt named Liz as his beneficiary; however, he did not choose a Settlement Option. At the time
of his death, who determines the option to be used to receive the benefits? - CORRECT
ANSWERS✔✔If the owner of the policy does not select a Settlement Option while alive, then
the beneficiary may choose an option at the time of claim.
The bank may require its borrowers to have a life insurance policy to secure a loan in the event
of the borrower's death. Which provision gives the bank proportional protection but not control
of the policy. - CORRECT ANSWERS✔✔Collateral Assignment
Similar to life insurance, this party has all rights in the annuity contract. This party is referred to
as the: - CORRECT ANSWERS✔✔Owner
, Which of the following causes of death is covered by an Accidental Death & Dismemberment
policy? - CORRECT ANSWERS✔✔Commercial airline crash
Which of the following statements regarding certificated of authority is correct? - CORRECT
ANSWERS✔✔If an insurance company refuses to be examined by the Commissioner, its
certificate of authority may be suspended or revoked
In a Medicare Supplement replacement sale, if the original policy has been in force for less than
________ months, the replacing insurer shall waive any time periods applicable to preexisting
conditions to the extent that they have already been satisfied under the original policy. -
CORRECT ANSWERS✔✔6
Which of the following is the correct number of days in the grace period for each premium
mode? - CORRECT ANSWERS✔✔7 days for weekly, 10 days for monthly, and 31 for all others
Mandatory uniform provisions found in health insurance policies are designed to protect the: -
CORRECT ANSWERS✔✔Insured
All of the following are considered by definition to be examples of transacting insurance in the
state of Georgia, except: - CORRECT ANSWERS✔✔Adjusting a claim in Georgia
Which provision is a Mandatory Uniform Provision? - CORRECT ANSWERS✔✔Legal Actions
All of the following statements regarding producer appointments are true, except: - CORRECT
ANSWERS✔✔Certificates of authority for subagents must be renewed biennially (should read
annually)
QUESTIONS AND CORRECT ANSWERS
________ is/are not considered material to the policy issuance. - CORRECT ANSWERS✔✔Age
and/or gender are not considered material to the policy issuance.
One of your clients just reinstated his health insurance plane. When is coverage effective for
sickness and accident? - CORRECT ANSWERS✔✔10 days for sickness, and immediately for
accidental injuries
Jay receives an annual disability benefit of $10,000. His employer contributed 75% of the
premium. How much of Jay's benefit is subject to income tax? - CORRECT ANSWERS✔✔Jay
is covered under a contributory plan in which the employer is contributing 75% of premium, so
75% of the $10,000 benefit ($7,500) is subject to income tax
Reciprocal agreements, as defined in the Georgia Insurance Code, refers to: - CORRECT
ANSWERS✔✔Agreement between the Insurance Commissioner and regulators of other states in
order to facilitate licensing of nonresident adjusters in Georgia and other states
Burt named Liz as his beneficiary; however, he did not choose a Settlement Option. At the time
of his death, who determines the option to be used to receive the benefits? - CORRECT
ANSWERS✔✔If the owner of the policy does not select a Settlement Option while alive, then
the beneficiary may choose an option at the time of claim.
The bank may require its borrowers to have a life insurance policy to secure a loan in the event
of the borrower's death. Which provision gives the bank proportional protection but not control
of the policy. - CORRECT ANSWERS✔✔Collateral Assignment
Similar to life insurance, this party has all rights in the annuity contract. This party is referred to
as the: - CORRECT ANSWERS✔✔Owner
, Which of the following causes of death is covered by an Accidental Death & Dismemberment
policy? - CORRECT ANSWERS✔✔Commercial airline crash
Which of the following statements regarding certificated of authority is correct? - CORRECT
ANSWERS✔✔If an insurance company refuses to be examined by the Commissioner, its
certificate of authority may be suspended or revoked
In a Medicare Supplement replacement sale, if the original policy has been in force for less than
________ months, the replacing insurer shall waive any time periods applicable to preexisting
conditions to the extent that they have already been satisfied under the original policy. -
CORRECT ANSWERS✔✔6
Which of the following is the correct number of days in the grace period for each premium
mode? - CORRECT ANSWERS✔✔7 days for weekly, 10 days for monthly, and 31 for all others
Mandatory uniform provisions found in health insurance policies are designed to protect the: -
CORRECT ANSWERS✔✔Insured
All of the following are considered by definition to be examples of transacting insurance in the
state of Georgia, except: - CORRECT ANSWERS✔✔Adjusting a claim in Georgia
Which provision is a Mandatory Uniform Provision? - CORRECT ANSWERS✔✔Legal Actions
All of the following statements regarding producer appointments are true, except: - CORRECT
ANSWERS✔✔Certificates of authority for subagents must be renewed biennially (should read
annually)
