CALIFORNIA LIFE, ACCIDENT AND HEALTH STATE
EXAM 2024-2025 TEST BANK WITH 400+ QUESTIONS
AND CORRECT ANSWERS / STATE OF CALIFORNIA
LIFE, ACCIDENT AND HEALTH INSURANCE LICENSE
PRACTICE EXAM (NEW!!)
According to the California Insurance Code, what is the maximum penalty per violation for anyone who unwilfully commits an unfair method of competition? -
ANSWER-$5,000
What is an "insurance broker" according to California Insurance Code?
- A person who offers or attempts to negotiate life settlement contracts between an
- A person authorized to assist a broker or agent in transacting insurance
- A person compensated for transacting insurance on behalf of another person with
- A person who requires a license and charges a fee to review an insured's existing
owner and providers
an insurer
life or disability policy - ANSWER-A person compensated for transacting insurance on behalf of another person with an insurer
What is required after a life agent sells an insurance policy to an applicant without being appointed by the insurer?
- Notice of appointment must be submitted to the
- Application is automatically turned away
- Penalty is assessed to the insurer and life agent
- Notice of appointment must be submitted to the insurer - ANSWER-A) Notice
Commissioner
of appointment must be submitted to the 1 / 4
Commissioner
The California Insurance Code defines "policy" as a(n)
- accepted offer
- promissory arrangement
- written contract
- written quotation - ANSWER-written contract
When an insurer has met the qualifications necessary to transact business in California, it is said to be
- admitted
- valid
- authorized
- qualified - ANSWER-admitted
What does a life insurance policy's premium take effect? - ANSWER-Insured becomes totally disabled
Anyone employed in California to assist an insurance agent in transacting insurance is called an insurance - ANSWER-solicitor
Which of the following is NOT a common exclusion for a medical expense policy?
- On-the-job injury
- Physical therapy
- Act of war 2 / 4
- Self inflicted injury - ANSWER-B) Physical therapy
Cindy buys a 10-year certain annuity with an installment refund. After receiving monthly payments for 5 years, Cindy dies. How many remaining payments will the insurer make to her beneficiary?
- No payments
- 30 payments
- 60 payments
- 120 payments - ANSWER-60 Payments
Major medical expense plans typically use a cost containment measure for emergency hospital care. This is refer to as a (n)
- Exclusion
- Limitation
- Deductible
- Capitation - ANSWER-C) Deductible
All of the following are considered appropriate uses of life insurance for business purposes EXCEPT
- Protecting the business by covering entry level employees with life insurance
- Protecting the business by covering key employees with life insurance
- Attracting quality employees by offering a group life plan
- Funding an entity buy-sell agreement - ANSWER-A) Protecting the business by
- / 4
covering entry level employees with life insurance
Under a long-term care insurance policy, adult day care coverage will provide for
- living arrangements in an assisted living center
- full time care at a facility for elderly individuals
- full time home health care
- part time care at a facility for elderly individuals who live at - ANSWER-D)
part time care at a facility for elderly individuals who live at
What is the elimination period of an individual disability policy?
- The point in time when benefits are no longer payable
- Time period after the policy issue date in which the provisions are still
- Time period a disabled person must walt before benefits are paid
- Time period an insured must wait before coverage begins - ANSWER-C) Time
contestable
period a disabled person must walt before benefits are paid
The period in which there are no Social Security benefits for the surviving spouse is called the
- blackout period
- ineligible period
- dependency period
- elimination period - ANSWER-A) blackout period
A hospital or medical expense policy will typically cover dental treatment expenses under which circumstance?
- / 4