Mississippi Life and Health Insurance
Exam 2026 Questions and Answers
Absolute assignment - Answer -Policy assignment under which the assignee
(person to whom the policy is assigned)
receives full control over the policy and also full rights to its benefits. Generally,
when a policy is assigned to secure
a debt, the owner retains all rights in the policy in excess of the debt, even though
the assignment is absolute in
form. (See assignment)
Accelerated benefits rider - Answer -A life insurance rider that allows for the early
payment of some portion of the
policies face amount should the insured suffers from a terminal i l l n e s s or
injury.
Acceptance - Answer -(See offer and acceptance)
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,Accidental bodily injury provision - Answer -Disability income or accident policy
provision that requires that the injury
be accidental in order for benefits to be payable.
Accidental death and dismemberment (AD&D) - Answer -Insurance providing
payment if the insured's death results
from an accident, if the insured accidentally severs a limb above the wrist or ankle
joints, or totally and irreversibly
Accidental death benefit rider - Answer -A life insurance policy rider providing for
payment of an additional benefit
when death occurs by accidental means.
Accidental dismemberment - Answer -Often defined as "the severance of limbs at
or above the wrists or ankle
joints, or the entire irrevocable loss of sight." Loss of use in itself may or not be
considered dismemberment.
Accidental means provision - Answer -Unforeseen, unexpected, unintended cause
of an accident. Requirement of an
accident-based policy that the cause of the mishap must be accidental for any claim
to be payable.
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,Accident and health insurance - Answer -Under which benefits are payable in case
of disease, accidental injury, or
accidental death. Also called health insurance, personal health insurance, and
sickness and accident insurance.
Accumulation unit - Answer -Premiums an annuitant pays into annuities are
credited as accumulation units. At the end of
the accumulation period, accumulation units are converted to annuity units.
Acquired immune deficiency syndrome (AIDS) - Answer -A life-threatening
condition brought on by the human
immunodeficiency virus; insurers must adhere to strict underwriting and claims
guidelines in regard to AIDS risks
and AIDS-related conditions.
Acute illness - Answer -A serious condition, such as pneumonia, from which the
body can fully recover with proper
medical attention.
Adhesion - Answer -A life insurance policy is a contract of adhesion because
buyers must adhere to the terms of the
©COPYRIGHT 2025, ALL RIGHTS RESERVED 3
, contract already in existence. They have no opportunity to negotiate terms, rates,
values, and so on.
Adjustable life insurance - Answer -Combines features of both term and whole life
coverage with the length of coverage
and amount of accumulated cash value as the adjustable factors. Premiums may be
increased or decreased to fit the
specific needs. Such adjustments are not retroactive and apply only to the future.
Administrative-services-only (ASO) Plan - Answer -Arrangement under which an
insurance company or an
independent organization, for a fee, handles the administration of claims, benefits,
and other administrative
functionsfor a self-insured group.
Admitted insurer - Answer -An insurance company that has met the legal and
financial requirements for operation within
a given state.
Adult day care - Answer -Type of care (usually custodial) designed for individuals
who require assistance with various
©COPYRIGHT 2025, ALL RIGHTS RESERVED 4
Exam 2026 Questions and Answers
Absolute assignment - Answer -Policy assignment under which the assignee
(person to whom the policy is assigned)
receives full control over the policy and also full rights to its benefits. Generally,
when a policy is assigned to secure
a debt, the owner retains all rights in the policy in excess of the debt, even though
the assignment is absolute in
form. (See assignment)
Accelerated benefits rider - Answer -A life insurance rider that allows for the early
payment of some portion of the
policies face amount should the insured suffers from a terminal i l l n e s s or
injury.
Acceptance - Answer -(See offer and acceptance)
©COPYRIGHT 2025, ALL RIGHTS RESERVED 1
,Accidental bodily injury provision - Answer -Disability income or accident policy
provision that requires that the injury
be accidental in order for benefits to be payable.
Accidental death and dismemberment (AD&D) - Answer -Insurance providing
payment if the insured's death results
from an accident, if the insured accidentally severs a limb above the wrist or ankle
joints, or totally and irreversibly
Accidental death benefit rider - Answer -A life insurance policy rider providing for
payment of an additional benefit
when death occurs by accidental means.
Accidental dismemberment - Answer -Often defined as "the severance of limbs at
or above the wrists or ankle
joints, or the entire irrevocable loss of sight." Loss of use in itself may or not be
considered dismemberment.
Accidental means provision - Answer -Unforeseen, unexpected, unintended cause
of an accident. Requirement of an
accident-based policy that the cause of the mishap must be accidental for any claim
to be payable.
©COPYRIGHT 2025, ALL RIGHTS RESERVED 2
,Accident and health insurance - Answer -Under which benefits are payable in case
of disease, accidental injury, or
accidental death. Also called health insurance, personal health insurance, and
sickness and accident insurance.
Accumulation unit - Answer -Premiums an annuitant pays into annuities are
credited as accumulation units. At the end of
the accumulation period, accumulation units are converted to annuity units.
Acquired immune deficiency syndrome (AIDS) - Answer -A life-threatening
condition brought on by the human
immunodeficiency virus; insurers must adhere to strict underwriting and claims
guidelines in regard to AIDS risks
and AIDS-related conditions.
Acute illness - Answer -A serious condition, such as pneumonia, from which the
body can fully recover with proper
medical attention.
Adhesion - Answer -A life insurance policy is a contract of adhesion because
buyers must adhere to the terms of the
©COPYRIGHT 2025, ALL RIGHTS RESERVED 3
, contract already in existence. They have no opportunity to negotiate terms, rates,
values, and so on.
Adjustable life insurance - Answer -Combines features of both term and whole life
coverage with the length of coverage
and amount of accumulated cash value as the adjustable factors. Premiums may be
increased or decreased to fit the
specific needs. Such adjustments are not retroactive and apply only to the future.
Administrative-services-only (ASO) Plan - Answer -Arrangement under which an
insurance company or an
independent organization, for a fee, handles the administration of claims, benefits,
and other administrative
functionsfor a self-insured group.
Admitted insurer - Answer -An insurance company that has met the legal and
financial requirements for operation within
a given state.
Adult day care - Answer -Type of care (usually custodial) designed for individuals
who require assistance with various
©COPYRIGHT 2025, ALL RIGHTS RESERVED 4
