PSI Life, Accident, Health Practice EXAM
Questions with Revised Answers (2025 /
2026) 100% Guarantee Pass.
Which is an ACCURATE statement regarding benefits of Medicare supplement and Medicare select
plans?
1
The insurer is able to cancel, or deny renewal of an existing policy, based solely on the health of the
insured.
2
There is no restriction for benefits after the coverage has been in effect for six months when involving a
preexisting condition.
3
The coverage for a loss from an illness or disease is treated differently than for a loss resulting from an
injury due to an accident.
4
The coverage for a spouse cannot be terminated for any reason, including for nonpayment of premiums.
- CORRECT ANSWERS 2
There is no restriction for benefits after the coverage has been in effect for six months when involving a
preexisting condition.
How is the insurance commissioner chosen?
1
Elected by the people.
2
Appointed by the Governor
3
Selected by a vote in the House and the Senate.
4
Randomly selected from a list of qualified candidates. - CORRECT ANSWERS 1
Elected by the people.
An insurance agent is a person who transacts all of the following types of insurance EXCEPT:
1
annuities.
2
homeowners.
3
auto insurance.
4
life insurance. - CORRECT ANSWERS 4
,life insurance.
The California Legislature declared all of the following when creating the Healthy Families Program
EXCEPT:
1
that most uninsured children come from low-income families.
2
lack of educational resources for children and their parents leads to increased medical expenses.
3
that lack of insurance coverage for children results in reduced access to medical services.
4
when a child is seriously ill or injured, the costs of needed medical care can force families into financial
ruin. - CORRECT ANSWERS 2
lack of educational resources for children and their parents leads to increased medical expenses.
Which of the following BEST defines the general concept of the 24-hour care plan?
1
It integrates workers compensation medical care with the care provided by group health insurance.
2
It provides immediate medical care from any source for injuries on which occur on the job.
3
It permits non job related injuries to be treated through the worker?s compensation program.
4
It pays any medical bill from a job related injury for services within the first 24 hours of the injury. -
CORRECT ANSWERS 1
It integrates workers compensation medical care with the care provided by group health insurance.
How does an "admitted" person differ from an "nonadmitted" person, as it pertains to insurance?
1
An "admitted" person has admitted to a crime or fraud, while a "nonadmitted" person has not.
2
An "admitted" person has been granted admission to an insurance association, while a "nonadmitted"
person has not been accepted.
3
An "admitted" person has been admitted to an accreditation program, while a "nonadmitted" person
has yet to earn the credits.
4
An "admitted" person has the right to transact insurance business within the state, while a
"nonadmitted" person is not entitled to this action. - CORRECT ANSWERS 4
An "admitted" person has the right to transact insurance business within the state, while a
"nonadmitted" person is not entitled to this action.
When may a licensee surrender for cancellation any license under which they are permitted to act?
1
,upon renewal of the license
2
within 60 days of renewal of their license
3
at any time
4
when they no longer have any clients with policies in force - CORRECT ANSWERS 3
at any time
When does a disability policy become incontestable as to the statements contained in the application?
1
After this policy been in force for a period of one year during the lifetime of the insured.
2
After this policy been in force for a period of two years during the lifetime of the insured.
3
When the company has confirmed all of the statements and issued a binding contract.
4
Two years after the date of the application when a conditional receipt has been issued. - CORRECT
ANSWERS 2
After this policy been in force for a period of two years during the lifetime of the insured.
Which statement describes the intent of the California Financial Information Privacy Act?
1
It enables and authorizes the Gramm-Leach-Bliley Act into California legal system.
2
It permits civil lawsuits against financial institutions who violate the Gramm-Leach-Bliley Act.
3
It provides greater privacy protections than those provided in the federal Gramm-Leach-Bliley Act.
4
It permits greater flexibility to financial institutions than privacy protections enacted in Gramm-Leach-
Bliley Act. - CORRECT ANSWERS 3
It provides greater privacy protections than those provided in the federal Gramm-Leach-Bliley Act.
All of the following are TRUE about the rules regarding the sale of life insurance and annuities to seniors
age 65 or older EXCEPT
1
the senior is entitled to have others present during any presentation by an agent, broker or insurer.
2
all insurance brokers, agents, or insurers owe a prospective insured at 65 years or older a duty of
honesty, good faith, and fair dealing.
3
the agent, broker or insurer is required to show a copy of their insurance license with name, address,
and phone number when conducting business in the senior's home.
4
, advance notice must be provided to the senior disclosing and identifying details of the visit and the
agent or broker prior to the scheduled meeting. - CORRECT ANSWERS 3
the agent, broker or insurer is required to show a copy of their insurance license with name, address,
and phone number when conducting business in the senior's home.
All of the following are a duty of an insurer in regards to claims on file and record documentation
EXCEPT
1
maintaining claim data so that an insurer shall be able to provide the claim number, line of coverage,
and other pertinent data.
2
recording the date the licensee received, date(s) the licensee processed and date the licensee
transmitted or mailed every material and relevant document in the file.
3
maintaining any sales material, which had a material impact on the claims process.
4
maintaining claim files that are accessible, legible, and claim of duplication. - CORRECT ANSWERS
3
maintaining any sales material, which had a material impact on the claims process.
"Person" means all of the following EXCEPT
1
an association.
2
a corporation.
3
a business trust.
4
an organizational trust. - CORRECT ANSWERS 4
an organizational trust.
Which of the following may be insured against?
1
Disability.
2
Accidental death.
3
Wagering losses.
4
Catastrophic losses. - CORRECT ANSWERS 3
Wagering losses.
When is it allowable for a written application for any disability policy to be altered?
1
Questions with Revised Answers (2025 /
2026) 100% Guarantee Pass.
Which is an ACCURATE statement regarding benefits of Medicare supplement and Medicare select
plans?
1
The insurer is able to cancel, or deny renewal of an existing policy, based solely on the health of the
insured.
2
There is no restriction for benefits after the coverage has been in effect for six months when involving a
preexisting condition.
3
The coverage for a loss from an illness or disease is treated differently than for a loss resulting from an
injury due to an accident.
4
The coverage for a spouse cannot be terminated for any reason, including for nonpayment of premiums.
- CORRECT ANSWERS 2
There is no restriction for benefits after the coverage has been in effect for six months when involving a
preexisting condition.
How is the insurance commissioner chosen?
1
Elected by the people.
2
Appointed by the Governor
3
Selected by a vote in the House and the Senate.
4
Randomly selected from a list of qualified candidates. - CORRECT ANSWERS 1
Elected by the people.
An insurance agent is a person who transacts all of the following types of insurance EXCEPT:
1
annuities.
2
homeowners.
3
auto insurance.
4
life insurance. - CORRECT ANSWERS 4
,life insurance.
The California Legislature declared all of the following when creating the Healthy Families Program
EXCEPT:
1
that most uninsured children come from low-income families.
2
lack of educational resources for children and their parents leads to increased medical expenses.
3
that lack of insurance coverage for children results in reduced access to medical services.
4
when a child is seriously ill or injured, the costs of needed medical care can force families into financial
ruin. - CORRECT ANSWERS 2
lack of educational resources for children and their parents leads to increased medical expenses.
Which of the following BEST defines the general concept of the 24-hour care plan?
1
It integrates workers compensation medical care with the care provided by group health insurance.
2
It provides immediate medical care from any source for injuries on which occur on the job.
3
It permits non job related injuries to be treated through the worker?s compensation program.
4
It pays any medical bill from a job related injury for services within the first 24 hours of the injury. -
CORRECT ANSWERS 1
It integrates workers compensation medical care with the care provided by group health insurance.
How does an "admitted" person differ from an "nonadmitted" person, as it pertains to insurance?
1
An "admitted" person has admitted to a crime or fraud, while a "nonadmitted" person has not.
2
An "admitted" person has been granted admission to an insurance association, while a "nonadmitted"
person has not been accepted.
3
An "admitted" person has been admitted to an accreditation program, while a "nonadmitted" person
has yet to earn the credits.
4
An "admitted" person has the right to transact insurance business within the state, while a
"nonadmitted" person is not entitled to this action. - CORRECT ANSWERS 4
An "admitted" person has the right to transact insurance business within the state, while a
"nonadmitted" person is not entitled to this action.
When may a licensee surrender for cancellation any license under which they are permitted to act?
1
,upon renewal of the license
2
within 60 days of renewal of their license
3
at any time
4
when they no longer have any clients with policies in force - CORRECT ANSWERS 3
at any time
When does a disability policy become incontestable as to the statements contained in the application?
1
After this policy been in force for a period of one year during the lifetime of the insured.
2
After this policy been in force for a period of two years during the lifetime of the insured.
3
When the company has confirmed all of the statements and issued a binding contract.
4
Two years after the date of the application when a conditional receipt has been issued. - CORRECT
ANSWERS 2
After this policy been in force for a period of two years during the lifetime of the insured.
Which statement describes the intent of the California Financial Information Privacy Act?
1
It enables and authorizes the Gramm-Leach-Bliley Act into California legal system.
2
It permits civil lawsuits against financial institutions who violate the Gramm-Leach-Bliley Act.
3
It provides greater privacy protections than those provided in the federal Gramm-Leach-Bliley Act.
4
It permits greater flexibility to financial institutions than privacy protections enacted in Gramm-Leach-
Bliley Act. - CORRECT ANSWERS 3
It provides greater privacy protections than those provided in the federal Gramm-Leach-Bliley Act.
All of the following are TRUE about the rules regarding the sale of life insurance and annuities to seniors
age 65 or older EXCEPT
1
the senior is entitled to have others present during any presentation by an agent, broker or insurer.
2
all insurance brokers, agents, or insurers owe a prospective insured at 65 years or older a duty of
honesty, good faith, and fair dealing.
3
the agent, broker or insurer is required to show a copy of their insurance license with name, address,
and phone number when conducting business in the senior's home.
4
, advance notice must be provided to the senior disclosing and identifying details of the visit and the
agent or broker prior to the scheduled meeting. - CORRECT ANSWERS 3
the agent, broker or insurer is required to show a copy of their insurance license with name, address,
and phone number when conducting business in the senior's home.
All of the following are a duty of an insurer in regards to claims on file and record documentation
EXCEPT
1
maintaining claim data so that an insurer shall be able to provide the claim number, line of coverage,
and other pertinent data.
2
recording the date the licensee received, date(s) the licensee processed and date the licensee
transmitted or mailed every material and relevant document in the file.
3
maintaining any sales material, which had a material impact on the claims process.
4
maintaining claim files that are accessible, legible, and claim of duplication. - CORRECT ANSWERS
3
maintaining any sales material, which had a material impact on the claims process.
"Person" means all of the following EXCEPT
1
an association.
2
a corporation.
3
a business trust.
4
an organizational trust. - CORRECT ANSWERS 4
an organizational trust.
Which of the following may be insured against?
1
Disability.
2
Accidental death.
3
Wagering losses.
4
Catastrophic losses. - CORRECT ANSWERS 3
Wagering losses.
When is it allowable for a written application for any disability policy to be altered?
1
