CA Life, Accident and Health State Exam Simulator (200 Questions) Questions With Complete Solutions An insurance policy issued in CA may be called a comprehensive long-term care insurance policy if benefits are provided for - Correct Answers ✅Institutional (nursing facilities) and home care In a renewable term life insurance policy, the contract will usually - Correct Answers ✅Require a higher premium payable at each renewal A hazard can be described as - Correct Answers ✅A condition that may increase the likelihood of a loss occuring What type of policy would only provide coverage for specific types of illnesses (cancer, stroke, etc.)? - Correct Answers ✅Dread disease insurance An employee for XYZ Corp is injured on the job. Where does coverage for the employee's injuries come from? - Correct Answers ✅Worker's Compensation Which of the following is NOT considered a definition of risk?
- Exposure to danger
- The potential for loss
- The cause of a loss
- Uncertainty - Correct Answers ✅The cause of a loss 1 / 4
CA Life, Accident and Health State Exam Simulator (200 Questions) Questions With Complete Solutions When calculating life insurance premium rates, which component is affected by an insured's age and gender? - Correct Answers ✅Mortality A nonparticipating policy will - Correct Answers ✅not pay dividends Where must you specifically reside to qualify for MRMIP? - Correct Answers ✅California Why is a life insurance policy's delivery date important? - Correct Answers ✅The free-look period begins on the policy delivery date How long must an individual be unable to engage in any gainful activity due to physical or mental disability in order to qualify for Social Security Total Disability? - Correct Answers ✅12 months Which statement about Health Maintenance Organizations is NOT true?
- Members minimize out-of-pocket expenses by using HMO
- Subscribers pay a fixed periodic fee to the HMO 2 / 4
network providers
CA Life, Accident and Health State Exam Simulator (200 Questions) Questions With Complete Solutions
- When a member uses out-of-network providers, a higher
- HMOs are known for stressing preventive care - Correct
monthly fee is charged
Answers ✅When a member uses out-of-network providers, a higher monthly fee is charged Upon policy delivery, which of the following must a producer have an applicant sign if no initial premium was collected with the life insurance application? - Correct Answers ✅A good health statement Pete is a life agent who has misappropriated fiduciary funds to his own use. What is Pete guilty of? - Correct Answers ✅Theft The focus of major medical insurance is providing coverage for - Correct Answers ✅Medical and hospitalization expenses Key person insurance is intended to - Correct Answers ✅cover business losses due to the death of a key employee Who acts as the gatekeeper in a Health Maintenance Organization (HMO)? - Correct Answers ✅Primary Care Physician 3 / 4
CA Life, Accident and Health State Exam Simulator (200 Questions) Questions With Complete Solutions Which of the following is NOT a characteristic of a preferred provider organization (PPO)? - Correct Answers ✅Primary physicians serve as gatekeepers Life insurance surplus must be distributed to policy owners at what frequency? - Correct Answers ✅Annually Employer-provided group term life insurance is exempt from income taxation up to - Correct Answers ✅$50,000 In California, an insurer organized under the state laws of Oregon is called a(n) - Correct Answers ✅Foreign insurer What type of license is required for an individual who charges a fee to review an insured's existing life insurance policy? - Correct Answers ✅Life and disability analyst Group health plans may deny participation based upon the - Correct Answers ✅Member's part-time employment status A rollover from a Traditional IRA to another IRA MUST be done within _____ days to avoid tax consequences - Correct Answers ✅60
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