In Florida, the underwriting and issuance of a master group health policy requires that all employees Show are eligible to participate, regardless of their individual health history need to be individually approved or declined during the underwriting process must contribute toward the group health policy's premiums take a physical examination before the master policy is issued are eligible to participate,
regardless of their individual health history- Which of the following situations does NOT apply to the Florida Replacement Rule? An existing policy is reissued with a reduction in cash value A new policy is issued while an existing one is surrendered An existing policy is subject to extensive borrowing An existing policyholder purchases an additional policy from the same insurer An existing policyholder purchases an additional policy from the same insurer- Which of the following situations are NOT subject to Florida life insurance laws? Insurance companies' day-to-day operations Insurance companies' life policy replacement requirements Insurance companies' setting of life insurance policy rates Insurance companies' guidelines for paying a life insurance claim Insurance companies' day-to-day operations- Association Plans that are designed to provide health benefits to their members are regulated by the state because they are insured by an authorized insurer they are insured by an authorized insurer- What percentage of eligible persons must a policy cover in a noncontributory group? 25% 100%- Which of the following is NOT a consequence for placing business with an unauthorized insurer? Third degree felony First degree misdemeanor- An applicant who pays the initial premium at the time of application is typically given a(n) official receipt conditional receipt- Group Life policies in Florida are required to contain a conversion privilege that allows for conversion with evidence of insurability to an individual policy for a stated period of time- All of these are a prerequisite for becoming a licensed agent EXCEPT
Complete a prelicensing course Graduate from high school- Which of the following is NOT an unfair claim settlement practice? Failing to acknowledge and act promptly with respect to an insurance claim Compelling an insured to initiate a lawsuit by offering less on an insurance claim Failing to accept or deny a claim within reasonable time after proof of loss is submitted Needing written documentation of claim details Needing written documentation of claim details- Which of the following documents must an agent submit to the replacing insurance company during the replacement of an existing life insurance policy? Notice to existing and replacing insurers of intention to replace A list of all policies the agent has replaced in the last 3 years A statement made by the agent that NAIC guidelines have been met during the replacement process A copy of the agent's insurance license Notice to existing and replacing insurers of intention to
replace- Which of the following provisions is NOT required in HMO contracts/certificates? Enrollment Seven-day grace period- At what point must a life insurance applicant be informed of their rights that fall under the Fair Credit Reporting Act? Before the appointment is scheduled Upon completion of the application- Non-occupational disability coverage is designed for 24 hour protection those who are exempt from Workers' Compensation coverage sole proprietors and self-employed individuals employees who suffer non-work related disabilities, since work-related disabilities are covered by Workers' Compensation employees who suffer non-work related
disabilities, since work-related disabilities are covered by Workers' Compensation- What is the primary factor that determines the benefits paid under a disability income policy? Education level Wages- Medicare Part B does NOT cover occupational therapy inpatient hospital services- What is issued to each employee of an employer health plan? Provision Certificate- In health insurance policies, a waiver of premium provision keeps the coverage in force without premium payments Whenever an insured is unable to work During the time an insured is confined in a hospital Following an accidental injury, but not during sickness After an insured has become totally disabled as defined in the policy After an insured has become totally disabled as defined in the policy- An agent's license can be suspended or revoked by writing primarily controlled business writing primarily controlled business- Which of the following types of insureds are life insurance companies allowed to make policy rate discriminations against? People of different religions People that smoke- Florida requires that an insurance agent must complete __ hours of continuing education on the subject of law and ethics every two years. 3 5- An example of sliding would be speaking maliciously of an insurer intending to harm charging for an additional product without the applicant's consent replacing an existing insurance policy with a new one inducing an applicant to purchase an insurance policy by returning some of the premium charging for an additional product without the applicant's consent- How can an agent-in-charge have more than one location? Only if the locations are in Florida By keeping all locations within a close proximity An agent-in-charge can only have one location Only if the agent-in-charge is present when insurance activity occurs Only if the agent-in-charge is present when insurance activity occurs- Which of the following acts is an agent NOT authorized to do on behalf of an insurer? Accept premiums from policyowners Authorize claim payments- Which Unfair Trade Practice involves an agent telling a prospective client that a policy's dividends are guaranteed? Coercion Misrepresentation- Which of the following is NOT considered rebating? Sharing commissions with an agent licensed in the same line of business Returning premium to a client as an inducement for purchasing a policy Giving something of value to an insured in exchange for their business Offering special dividends Sharing commissions with an agent licensed in the same line of business- An example of an unfair claims practice would be requesting a third-party arbitrator to resolve a disagreement failing to effectuate prompt, fair, and equitable settlements of a claim paying a claim promptly after receiving proof of loss requiring the insured to give a statement under oath failing to effectuate prompt, fair, and equitable settlements of a claim- Which Unfair Trade Practice involves making a false statement on an insurance application in order to receive money from an insurer? Rebating Misrepresentation- An example of rebating would be a mutual insurance company paying dividends to its policyowners reducing the premiums across the board for a specific risk class offering a client something of value not stated in the contract in exchange for their business using intimidation in order to restrain or monopolize the business of insurance. offering a client something of value not stated in the contract in exchange for their business- Upon reaching the limiting age, a handicapped child can extend their health insurance coverage as a dependent only if the child is incapable of employment and chiefly dependent on the policyowner for up to an additional 10 years only only if physically disabled only if mentally disabled only if the child is
incapable of employment and chiefly dependent on the policyowner- How many days does an insurance company have to reject a reinstatement application before it is automatically reinstated? 31 45- T is an agent and when hired, is reminded that he has a responsibility to handle clients' funds in an honest and ethical manner. This responsibility is referred to as fiduciary responsibility fiduciary responsibility- Which action could result in a hearing being ordered by the Department of Financial Services? Representing a foreign insurer Sharing commissions with another licensed agent Performing insurance transactions without a license Conducting insurance business in this state while being a resident of another Performing
insurance transactions without a license- Defamation occurs when an agent makes a false statement intended to malign another insurer malign another
insurer- Which of the following medical expenses does Cancer insurance NOT cover? Chemotherapy Arthritis- P is a forty year old woman and would like to purchase an annuity that will provide a lifetime income stream beginning at age sixty. Which of the following did she NOT buy? A straight life annuity An immediate annuity- Which mode of payment is NOT used by health insurance policies? Monthly premium Single premium- Which type of renewability best describes a Disability Income policy that covers an individual until the age of 65, but the insurer has the right to change the premium rate? Conditionally Renewable Guaranteed Renewable- D is an architect receiving Disability Income benefits who is not able to return to work full time, but can work on a part-time basis. Which of these features would allow D to continue receiving benefits? Residual Benefit clause Residual Benefit clause- The percentage of an individual's Primary Insurance Amount (PIA) determines the benefits paid in which of the following programs? Social Security Disability Income Social Security Disability Income- P is self-employed and owns an Individual Disability Income policy. He becomes totally disabled on June 1 and receives $2,000 a month for the next 10 months. How much of this income is subject to federal income tax? $20,000 $0- A major medical policy typically provides benefits for surgical expenses only, subject to policy limits contains more limitations than a Basic Hospital, Medical, or Surgical policy contains a 60-day Elimination period for losses due to accident provides benefits for reasonable and necessary medical expenses, subject to policy limits provides benefits for reasonable and necessary medical expenses, subject to policy limits- The Coordination of Benefits provision allows an insured covered by two health plans to make a profit on a covered loss prevents an insured covered by two health plans from making a profit on a covered loss allows an insurer to defer paying a claim for a work-related injury until Workers' Compensation Benefits have expired prevents an insured to change insurers during a claim for a covered loss prevents an insured covered by two health plans from making a profit on a covered loss- Which type of policy would pay an employee's salary if the employer was injured in a bicycle accident and out of work for six weeks? Key Employer Disability Business Overhead Expense- A "reimbursement policy" pays what amount of covered Long-Term Care expenses? All expenses regardless of the policy limits Actual covered expenses up to the daily maximum A daily dollar amount regardless of the actual incurred expenses The usual, customary, and reasonable expenses regardless of the the policy limits Actual covered expenses up to the daily maximum- T is receiving $3,000/month from a Disability Income policy in which T's employer had paid the premiums. How are the $3,000 benefit payments taxable? Benefits are taxable to T Benefits are taxable to T- An insurance company normally has 2 years to contest information provided on an accident and health application. This 2 year period begins on the date that the medical examination is given insurer dates
the policy- Which of the following does Social Security NOT provide benefits for? Survivorship Dismemberment- The Consolidated Omnibus Budget Reconciliation Act (COBRA) gives workers (and their families) whose employment has been terminated the right to continue group health benefits continue group health benefits- K has a health policy that must be renewed by the insurer and the premiums can only be increased if applied to the entire class of insureds. This type of policy is considered optionally renewable guaranteed
renewable- What are associations in insurance?Insurance association means any group of individuals, corporations, partnerships, associations, or governmental units or agencies whose members collectively own, control, or hold with power to vote all of the outstanding voting securities of an association captive insurer.
What is a group benefits plan?What is a group benefits plan? A group benefits plan helps employees cover the cost of things that provincial health care plansOpens in a new window may not pay for, including certain prescription drugs, dental, hospital, vision, paramedical and ambulance services.
What are some examples of health related benefits?Some common examples include coverage for mammograms, alcohol and substance abuse, infant care, home health care, and infertility treatment.
Which organization was established to provide funds to protect an insured?An insurance guaranty association protects policyholders and claimants in the event of an insurance company's impairment or insolvency. Insurance guaranty associations are given their powers by the state insurance commissioner.
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