North Carolina Pearson Vue All Lines Adjuster Final
Exam Questions And Answers Practice Questions with
Solutions Newest 2026-2027 | Already Graded A+
Q1. What measures are designed to prevent the lapse of a qualified Long-Term
Care insurance policy due to nonpayment of premium?
A. The insurer automatically waives premiums after 30 days
B. The policyholder may borrow against cash value
C. The state guarantee association pays the premium
D. The insurance company provides a grace period and a third party may be
notified that the premium has not been paid
• ANSWER- D. The insurance company provides a grace period and a
third party may be notified that the premium has not been paid
Q2. A producer and an applicant complete an application for a health policy and
submit it to the insurer for underwriting without any premium. The underwriter
issues a policy and mails it to the producer for delivery to the applicant. The
producer should take all of the following actions during the delivery of the policy
to the applicant EXCEPT:
A. Collect the initial premium
B. Issue a conditional receipt
C. Explain the policy terms and conditions
D. Obtain a statement of good health if required
• ANSWER- B. Issue a conditional receipt
Q3. An insured who works as a realtor breaks a leg in a skiing accident. Since the
insured can still perform some realty work by telephone, the disability would be
defined as:
A. Total disability
B. Residual disability
C. Partial disability
D. Temporary disability
• ANSWER- C. Partial disability
,Q4. Which of the following reports may include information obtained by a
telephone call to the proposed insured?
A. Attending physician statement
B. MIB report
C. Inspection report
D. Credit report
• ANSWER- C. Inspection report
Q5. The Elimination Period in most Disability Income policies applies:
A. To each separate disability
B. Only once during the policy term
C. Only to accident-related disabilities
D. Only to sickness-related disabilities
• ANSWER- A. To each separate disability
Q6. A group disability income policy can be recognized by which of the following
characteristics?
A. Guaranteed issue without evidence of insurability
B. COBRA continuation
C. Dividends paid to all members
D. Individual underwriting for each employee
• ANSWER- B. COBRA continuation
Q7. A health care plan that reimburses a flat fee for medical care it provides at a
clinic it owns and operates is referred to as:
A. A Health Maintenance Organization (HMO)
B. A Preferred Provider Organization (PPO)
C. A Point of Service plan (POS)
D. A High Deductible Health Plan (HDHP)
• ANSWER- A. A Health Maintenance Organization (HMO)
Q8. A precertification review prior to a nonemergency hospitalization is an
example of:
A. Managed care
B. Retrospective review
C. Utilization review after discharge
D. Fee-for-service billing
, • ANSWER- A. Managed care
Q9. Which of the following statements is CORRECT about a Disability Income
policy with a Guaranteed Insurability rider?
A. The insured may periodically increase the amount of benefits payable under the
policy
B. The insurer guarantees to waive the elimination period
C. The policy cannot be cancelled by the insurer
D. The premium is guaranteed never to increase
• ANSWER- A. The insured may periodically increase the amount of
benefits payable under the policy
Q10. A group long-term disability plan is integrated with Social Security when
which of the following statements is CORRECT?
A. Social Security and group benefits pay a combined maximum limit
B. Social Security benefits are paid in addition to full group benefits
C. The group plan pays only if Social Security is denied
D. Social Security replaces the group plan entirely
• ANSWER- A. Social Security and group benefits pay a combined
maximum limit
Q11. An individual who has had a heart murmur since birth is likely to be issued
an individual disability policy that includes:
A. A waiver of premium rider
B. An exclusionary/impairment rider
C. A guaranteed renewable rider
D. A cost of living adjustment rider
• ANSWER- B. An exclusionary/impairment rider
Q12. In which of the following health policies are both the renewability and the
premiums guaranteed?
A. Noncancellable
B. Guaranteed renewable
C. Conditionally renewable
D. Optionally renewable
• ANSWER- A. Noncancellable
, Q13. Medicare Part A covers which of the following expenses?
A. Hospital room and board
B. Physician office visits
C. Prescription drugs
D. Routine dental care
• ANSWER- A. Hospital room and board
Q14. The Consideration clause in an accident and health policy states the:
A. Applicant pays the initial premium
B. Insurer will pay claims within 30 days
C. Policy may be cancelled for nonpayment
D. Entire contract consists of the policy and attachments
• ANSWER- A. Applicant pays the initial premium
Q15. Under a group health plan, an employer may offer additional benefits to
classes of employees on the basis of all of the following factors EXCEPT:
A. Salary level
B. Gender
C. Full-time versus part-time status
D. Length of service
• ANSWER- B. Gender
Q16. Which of the following health policies requires a beneficiary designation?
A. Travel Accident
B. Hospital Indemnity
C. Major Medical
D. Dental Expense
• ANSWER- A. Travel Accident
Q17. All of the following elements are required of a contract EXCEPT:
A. Assignment
B. Offer and acceptance
C. Consideration
D. Legal purpose
• ANSWER- A. Assignment
Exam Questions And Answers Practice Questions with
Solutions Newest 2026-2027 | Already Graded A+
Q1. What measures are designed to prevent the lapse of a qualified Long-Term
Care insurance policy due to nonpayment of premium?
A. The insurer automatically waives premiums after 30 days
B. The policyholder may borrow against cash value
C. The state guarantee association pays the premium
D. The insurance company provides a grace period and a third party may be
notified that the premium has not been paid
• ANSWER- D. The insurance company provides a grace period and a
third party may be notified that the premium has not been paid
Q2. A producer and an applicant complete an application for a health policy and
submit it to the insurer for underwriting without any premium. The underwriter
issues a policy and mails it to the producer for delivery to the applicant. The
producer should take all of the following actions during the delivery of the policy
to the applicant EXCEPT:
A. Collect the initial premium
B. Issue a conditional receipt
C. Explain the policy terms and conditions
D. Obtain a statement of good health if required
• ANSWER- B. Issue a conditional receipt
Q3. An insured who works as a realtor breaks a leg in a skiing accident. Since the
insured can still perform some realty work by telephone, the disability would be
defined as:
A. Total disability
B. Residual disability
C. Partial disability
D. Temporary disability
• ANSWER- C. Partial disability
,Q4. Which of the following reports may include information obtained by a
telephone call to the proposed insured?
A. Attending physician statement
B. MIB report
C. Inspection report
D. Credit report
• ANSWER- C. Inspection report
Q5. The Elimination Period in most Disability Income policies applies:
A. To each separate disability
B. Only once during the policy term
C. Only to accident-related disabilities
D. Only to sickness-related disabilities
• ANSWER- A. To each separate disability
Q6. A group disability income policy can be recognized by which of the following
characteristics?
A. Guaranteed issue without evidence of insurability
B. COBRA continuation
C. Dividends paid to all members
D. Individual underwriting for each employee
• ANSWER- B. COBRA continuation
Q7. A health care plan that reimburses a flat fee for medical care it provides at a
clinic it owns and operates is referred to as:
A. A Health Maintenance Organization (HMO)
B. A Preferred Provider Organization (PPO)
C. A Point of Service plan (POS)
D. A High Deductible Health Plan (HDHP)
• ANSWER- A. A Health Maintenance Organization (HMO)
Q8. A precertification review prior to a nonemergency hospitalization is an
example of:
A. Managed care
B. Retrospective review
C. Utilization review after discharge
D. Fee-for-service billing
, • ANSWER- A. Managed care
Q9. Which of the following statements is CORRECT about a Disability Income
policy with a Guaranteed Insurability rider?
A. The insured may periodically increase the amount of benefits payable under the
policy
B. The insurer guarantees to waive the elimination period
C. The policy cannot be cancelled by the insurer
D. The premium is guaranteed never to increase
• ANSWER- A. The insured may periodically increase the amount of
benefits payable under the policy
Q10. A group long-term disability plan is integrated with Social Security when
which of the following statements is CORRECT?
A. Social Security and group benefits pay a combined maximum limit
B. Social Security benefits are paid in addition to full group benefits
C. The group plan pays only if Social Security is denied
D. Social Security replaces the group plan entirely
• ANSWER- A. Social Security and group benefits pay a combined
maximum limit
Q11. An individual who has had a heart murmur since birth is likely to be issued
an individual disability policy that includes:
A. A waiver of premium rider
B. An exclusionary/impairment rider
C. A guaranteed renewable rider
D. A cost of living adjustment rider
• ANSWER- B. An exclusionary/impairment rider
Q12. In which of the following health policies are both the renewability and the
premiums guaranteed?
A. Noncancellable
B. Guaranteed renewable
C. Conditionally renewable
D. Optionally renewable
• ANSWER- A. Noncancellable
, Q13. Medicare Part A covers which of the following expenses?
A. Hospital room and board
B. Physician office visits
C. Prescription drugs
D. Routine dental care
• ANSWER- A. Hospital room and board
Q14. The Consideration clause in an accident and health policy states the:
A. Applicant pays the initial premium
B. Insurer will pay claims within 30 days
C. Policy may be cancelled for nonpayment
D. Entire contract consists of the policy and attachments
• ANSWER- A. Applicant pays the initial premium
Q15. Under a group health plan, an employer may offer additional benefits to
classes of employees on the basis of all of the following factors EXCEPT:
A. Salary level
B. Gender
C. Full-time versus part-time status
D. Length of service
• ANSWER- B. Gender
Q16. Which of the following health policies requires a beneficiary designation?
A. Travel Accident
B. Hospital Indemnity
C. Major Medical
D. Dental Expense
• ANSWER- A. Travel Accident
Q17. All of the following elements are required of a contract EXCEPT:
A. Assignment
B. Offer and acceptance
C. Consideration
D. Legal purpose
• ANSWER- A. Assignment
