- | Page
Kentucky Health Insurance Exam | Study Questions and Verified ANSWERs| 100 % Correct| Grade A (New Update)
Question: The full premium was submitted with the application
for life insurance, and the policy was issued two weeks later as requested. When does the policy become effective?
Options: A. As of the application date, B. As of the policy
delivery date, C. As of the first of the month after the policy issue date, D. As of the policy issue date ANSWER: A. As of the application date [Note: When full premium is paid with the application, coverage typically begins on the application date, contingent on approval.]
Question: All of the following are true about group disability
income insurance EXCEPT:
Options: A. The waiting period starts at the onset of the injury or
sickness, B. The longer the waiting period, the lower the premium, C. Coverage applies both on and off the job, D.Benefits are usually short term ANSWER: C. Coverage applies both on and off the job [Note: Group disability insurance typically covers nonoccupational injuries/illnesses, not those covered by workers’ compensation.]
- | Page
Question: Under the Age Discrimination in Employment Act, if
the obligation of the employer to provide retiree health benefits, what will an individual younger than 65 receive in benefits each year?
Options: A. One-fourth of the benefits required under the Social
Security Act, B. At least 10,000, C. At least the value of the Social Security Benefits, D. The minimum established by the employer
ANSWER: C. At least the value of the Social Security benefits
Question: Disability income policies can provide coverage for a
loss of income when returning to work only part-time after recovering from total disability. What is the benefit that is based on the insured's loss of earnings after recovery from a disability?
Options: A. Recurrent disability, B. Partial disability, C. Income
replacement, D. Residual disability
ANSWER: D. Residual disability
Question: A producer is acting in what capacity when he or she
is trying to obtain credible information about an applicant for health insurance?
- | Page
Options: A. Office underwriter, B. General agent, C. Consumer
report investigator, D. Field underwriter
ANSWER: D. Field underwriter
Question: Which of the following riders would NOT increase
the premium for a policyowner?
Options: A. Impairment rider, B. Payor benefit rider, C. Waiver
of premium rider, D. Multiple indemnity rider ANSWER: A. Impairment rider [Note: An impairment rider excludes specific conditions, typically reducing or not increasing the premium.]
Question: An insured wants to name her husband as the
beneficiary of her health policy. She also wishes to retain all of the rights of ownership. The insured should have her husband named as what type of beneficiary?
Options: A. Contingent, B. Irrevocable, C. Revocable, D.
Primary ANSWER: C. Revocable [Note: A revocable beneficiary allows the policyowner to retain ownership rights and change the beneficiary.]
- | Page
Question: Guarantee of insurability option in long-term care
policies allows the insured to:
Options: A. Secure the policy's nonforfeiture values regardless
of the insured's age or health status, B. Increase benefit levels without providing proof of insurability, C. Add dependents to the plan without providing proof of their insurability, D.Replace the existing LTC policy based on the original underwriting
ANSWER: B. Increase benefit levels without providing proof of
insurability
Question: What is the maximum age for qualifying for a
catastrophic plan?
Options: A. 26, B. 30, C. 45, D. 62
ANSWER: B. 30 [Note: Under the ACA, catastrophic plans are available to those under 30 or with hardship exemptions.]
Question: Which type of dental care would cover operative
treatment of the mouth?
Options: A. Endodontics, B. Orthodontics, C. Oral surgery, D.
Restorative