Texas PLW 2026 Practice Test

These questions are part of the practice quiz. Start practicing

• In Social Security retirement benefits, what does Full Retirement mean?
• What does the Incontestability Clause do after a policy has been in force for the specified period?
• Certificate of Authority is best described as what?
• What best defines a conditional contract in insurance?
• What is the Grace Period in a life insurance policy?
• What does the Level Term policy imply about premiums and death benefit?
• Providing funds for surviving spouses and dependents.
• Under Beneficiary Succession, if the primary beneficiary predeceases the insured, who receives the proceeds?
• Which term describes the conditions that initiate or trigger long-term care benefits?
• Insurable interest must exist at what time for a Nonfamily Rider?
• Which statement describes a Modified Endowment Contract (MEC)?
• A Contract of Adhesion is best described as
• Investor Originated Life Insurance (IOLI) involves:
• In a contract, which statement best reflects competency requirements?
• Level Term describes which scenario?
• Which statement about unanswered questions on an application after policy issue is correct?
• Life Policy Settlement Options avoid lump-sum distribution and allow payments to be made for a period or lifetime. Which is an example?
• Credit life is a policy designed to pay off a loan if the borrower dies.
• During the annuitization phase of a fixed annuity, the payment amount is typically:
• Level Term coverage is described by which statement?
• Fraternal membership typically consists of which group?
• For disability claims, the insurer can require notice of continuance every how many months?
• Who is authorized to correct an error on an insurance application and how?
• Medicare is a federal health insurance program for citizens age 65 or older and others of any age who have received Social Security disability benefits for at least 2 years.
• Which statement best describes duplication in Medigap policies?
• What is the minimum waiting period before legal action can be brought after proof of loss?
• The consideration clause in a life insurance contract specifies:
• What is a Non-Admitted Insurer?
• Which rider refunds part or all of the premium based on favorable claims activity over a period?
• What does the right to examine, or free look, allow?
• In Medicare Part D, what is Formulary?
• Dividend Options are best described as what?
• Which statement about Increasing Term insurance is true?
• Which statement describes a corridor deductible under a supplementary major medical policy?
• Which statement best describes Joint Survivorship Life (last to die) policy?
• Hospital Income Indemnity pays a specified dollar amount per day during hospitalization. Which statement correctly describes how payments are determined?
• Which underwriting factor is associated with travel?
• Inflation Protection (Cost of Living) in long-term care policies is typically described as:
• Admitted vs Non-admitted refers to what?
• When is a rider typically added to a policy?
• Estate taxes considerations: which statement is true?
• Which statement best defines a domestic insurer?
• The suicide clause period is typically how many years?
• During open enrollment for a Medicare Supplement, guaranteed issue means the policy must be offered on a guaranteed issue basis.
• What best describes cash accumulation in permanent life insurance?
• Which statement best describes the cash value in a Variable Universal Life policy?
• When is a Buy-Sell Agreement triggered?
• A stock insurance company is owned by
• What does insurable interest mean in life insurance?
• Which statement best describes an immediate annuity?
• An Indexed (Equity Indexed) Annuity has interest rates linked to what?
• The maximum interest rate for adjustable-rate policy loans is based on which index?
• Claim forms must be received by the insured from the insurer within 15 days after notice of claim.
• Life Policy Settlement Options provide distributions other than lump sum, for a period or lifetime. Which option describes this?
• Which annuity option pays as long as either of two lives remain, with the survivor eventually continuing payments after the first death?
• What is the Conversion Privilege in group life insurance?
• Hospital Indemnity payments are based on which of the following characteristics?
• Which statement about decreasing term life insurance is true?
• Which premium payment mode typically has the highest cost?
• Under a life policy, who receives the death benefits if there is no assignment and no irrevocable beneficiary?
• Which annuity option provides payments that may terminate with a refund of premium either in installments or as a lump sum after death?
• Distributions from a Modified Endowment Contract (MEC) are taxed using which method?
• Nonforfeiture Options include:
• Which statement correctly contrasts contributory and noncontributory group plans?
• A rider allowing the insured to purchase additional amounts of insurance at certain ages, events, or dates without evidence of insurability is called
• Which of the following is a valid annuity payment option?
• Cash Surrender Value is associated with which concept?
• Which entities qualify as a small employer for Small Employer Medical Expense Insurance?
• An Attending Physician Statement is used in cases where:
• Which of the following is an underwriting information source?
• Comprehensive Major Medical Policy combines the best features of the Basic and Major Medical policies into one. It will include deductibles, coinsurance, and stop loss limits.
• Which statement best describes Annually Renewable Term?
• How are representations defined in life insurance applications?
• Which statement defines Own Occupation in disability policies?
• Which of the following is NOT one of the four essential elements of a legal contract?
• Outpatient Hospital Treatment (Emergency Room/Urgent Care) is defined as what?
• What is a waiver of cost of insurance rider?
• Which items are encompassed by the Owner's Rights in an ownership provision?
• In a Major Medical Policy, which element is designed to limit lifetime exposure to high medical costs?
• Which of the following is a nonforfeiture option available when a policy lapses?
• Who is the chief insurance regulator empowered to issue rules and enforce statutes?
• If a policy is issued based on an incomplete application, what is assumed about the information and the insurer's rights?
• What is the actual month of eligibility for the Initial Enrollment Period?
• What do Point of Service (POS) plans do?
• What describes a 1-Year Term policy?
• Life Income Period Certain describes distributions that are made for the recipient's lifetime or a specified period, whichever lasts longer.
• Estate Creation: Life insurance provides an immediate cash flow to beneficiaries upon the death of the insured. This creates an immediate estate.
• Prospective Review is a utilization review conducted before the requested medical service is delivered. Which statement best describes Prospective Review?
• Which statement describes an irrevocable beneficiary?
• Liquidity in life insurance refers to?
• Return of Premium Term generally has higher premiums than Level Term.
• Which statement best describes preferred risks?
• What defines a Benefit Period?
• Who is the primary beneficiary?
• Permanent Disability is defined as
• Beneficiary: The designated recipient of life insurance proceeds upon the death of the insured.
• Who is responsible for ensuring an insurance application is filled out completely and accurately?
• Money accumulated in a permanent life policy that may be borrowed or surrendered before maturity is commonly referred to as:
• Which statement about STOLI is true?
• Which statement describes a life income (pure or straight life) annuity?
• During inpatient hospitalization, days 61–90 require what payment arrangement?
• Which statement about dividends is true?
• Which statement best describes the purpose of the waiver of cost of insurance rider in universal life?
• Which area of law pertains to the formation and enforcement of contracts?
• The transfer aspect of STOLI can include:
• What distinguishes a mutual insurance company from a stock insurance company?
• Which dental care type focuses on teeth alignment and irregularities?
• A noncancelable policy guarantees renewal to what age with guaranteed premiums?
• Which statement best describes the 'Any Occupation' definition used in disability policies?
• Which term describes a trust created to pay the account holder's qualified medical expenses, typically paired with an HDHP?
• Which statement is true about term insurance?
• Under liability coverage, what happens if the insured is injured while committing an illegal occupation or act?
• Which statement about premiums paid by the employer and employee is true?
• Laboratory services are typically performed as what?
• The annual renewable term rider added to a disability income policy provides which benefit?
• Notice of Medicare Benefit Changes must inform the insured of changes to which items?
• When does the contingent beneficiary receive the death benefit?
• An insurer incorporated in New York is domestic to which state?
• Misstatement of Age or Gender allows the insurer to adjust benefits at time of claim based on what?
• Which statement about surrender charges on deferred annuities is true?
• What is the probationary period in insurance policies?
• Health Maintenance Organization (HMO) is best described as which?
• A Nonfamily Rider provides coverage for which of the following?
• Under Medicare Part A, how many days of coverage are provided up to in a benefit period?
• A Nonoccupational Policy pays for injury and illness in what situation?
• Which statement best describes a reciprocal insurance company?
• After the policy is issued, any unanswered questions are considered waived by the insurer.
• Community Rating determines premiums by examining which factor?
• Retrospective Review is used for?
• What does the Principal of Indemnity mean?
• Which statement describes Single Premium?
• Medicare-Approved Amount is the amount a doctor or supplier that accepts assignment can be paid. Which statement is true?
• Distributions from a MEC are taxed using which method?
• Which rider provides level term coverage on the life of the insured's spouse?
• What does a Morbidity Table show?
• Which dental care type deals with dental pulp care and root canals?
• Experience rating is determined by:
• Premiums for a Guaranteed Insurability Rider are based on
• Which statement is true about absolute assignment?
• Earned interest from invested premiums is used in calculating premium. What is the effect of this earned interest on the premium due?
• A pre-existing condition is defined as a prior medical condition for which medical advice or treatment was received within a specified period before the policy's effective date. The statement is:
• Which federal act governs retirement plans such as 401(k) and pension plans?
• What characterizes a recurrent disability?
• Group life insurance is defined as insuring a group of people under a single contract. The most accurate description is:
• Which statement is true about revocable and irrevocable beneficiaries?
• Variable Annuity: An annuity in which the accumulation and benefit payments fluctuate according to the investment experience of the separate account.
• A pre-existing condition timeframe is described as:
• Long-Term Care Rider provides up to 100% of policy benefits if the insured qualifies for long-term benefits as defined in the rider.
• What does a Revocable Beneficiary allow?
• Which statement about dividends is true in the Accumulate at Interest concept?
• Cancellable means
• Prospective Review includes which of the following true statements?
• Which statement best describes Variable Universal Life?
• During Medicare's Initial Enrollment Period, how long does it last and when does it begin?
• What is the primary effect of an impairment rider on coverage?
• Laboratory services are best described as which of the following?
• An Admitted Insurer is one that
• Under Medicare Part A, if lifetime reserve days are used and hospitalization extends beyond 90 days in a benefit period, the out-of-pocket expense is
• Under federal law, which describes who qualifies as a dependent child for coverage?
• Which statement best describes Any Occupation in disability definitions?
• Annually Renewable Term renews with what condition?
• Permitted Compensation for Medicare supplement insurance agents means what?
• What is a surrender charge?
• In a replacement of insurer scenario, which statement is true?
• For Life Income (Pure or Straight) payments, the dollar amount of each payment depends on which factors?
• Which rider is used to cover a spouse (other insured)?
• Who is the annuitant in an annuity policy?
• Home Health Care is defined as?
• Which option describes Limited Payment Life?
• Where is an outstanding policy loan plus interest deducted?
• Mode of Premium specifies:
• During the General Enrollment Period for Medicare, when does coverage begin for those who enroll?
• In policy replacement scenarios, which party is the existing insurer?
• The owner of a cash value policy may surrender the entire policy. This action will cancel the insurance coverage, and the policyowner is entitled to receive the cash surrender value.
• Life Income (Pure or Straight) payments are guaranteed for the lifetime of the recipient and do what upon death?
• Which dividend option is defined as dividends used to buy a single premium, additional permanent benefits, at the insured's attained age?
• Which policy provides for a full refund of premiums if living at the end of the term?
• Reinstatement occurs when a lapsed policy is put back in force before surrender; the insurer will require what?
• The act that requires AML training for financial institutions including insurance companies is called:
• Living Needs Rider is a rider that provides accelerated death benefits when the insured is terminally ill.
• What is Straight Life or Continuous Premium?
• Is the following statement true or false: Social Security death benefits include a one-time lump-sum payment of $255 payable to a surviving spouse or minor children?
• Annuitization: The election to receive payments from the annuity for life, or for a specified period depending on the settlement option selected.
• Respite care provides what?
• Which of the following is an Activity of Daily Living?
• Surrender charge difference is the difference between which values?
• Buyer's Guide is a generic brochure developed by the NAIC to assist prospective buyers of life insurance. Which option best describes it?
• Newborn infant coverage applies to dependents of the insured from birth in which policies?
• A Nonfamily Rider covers whom?
• Newborn coverage for dependents of the insured applies to which policy type?
• Which item is included in Intermediate Care Facility?
• Which term describes the action of surrendering a cash value policy to receive its surrender value?
• Waiver of Premium is a provision that allows the insured to suspend paying premiums during which period?
• What does Underwriting involve in the issuance of coverage?
• Formulary is a listing of prescription drugs that are covered under Medicare - Part D.
• What does a conditional receipt imply for coverage?
• During the General Enrollment Period, which statement is true?
• What does a Certificate of Insurance document?
• What is the focus of hospice care?
• In group plans, what is the purpose of the participation requirement?
• In an Accidental Death and Dismemberment Rider, the principal sum equals what?
• Application is a written formal request by an applicant to an insurer requesting the insurer issue a policy based upon information contained in the application.
• Long-Term Disability (LTD) is typically described as having benefit periods of
• If hospitalized beyond 90 days in a benefit period, which option describes the available coverage?
• Which statement describes Interest-Sensitive (Whole Life)?
• How does selecting a longer elimination period typically affect premium?
• Estate Taxes and Benefits Included: If the policyowner is also the named insured, the proceeds will be added to which estate?
• Survivor benefits are payable to eligible dependents of a fully insured deceased worker:
• Single Premium Deferred Annuity (SPDA) is described as which of the following?
• In STOLI, the transfer of ownership/benefits can include:
• Federal law requires that every policy providing coverage for a dependent child extends coverage up to what age?
• Term Insurance characteristics include?
• Which annuity option guarantees payments for the life of the annuitant with a guaranteed period?
• Which premium option allows flexible contributions with a minimum and maximum?
• Coordination of Benefits is used to determine...
• In a policy, if the insured changes to a more hazardous occupation, how are benefits adjusted?
• A Long-Term Care Rider provides up to what percentage of policy benefits if the insured qualifies for long-term care benefits as defined in the rider?
• Which annuity option guarantees payments for a specified period regardless of survival?
• Which statement best describes comprehensive case management?
• Who is the owner of an insurance policy?
• What defines Renewable Term?
• In a life settlement, the policyowner sells a life policy to a third party for more than cash surrender value but less than death benefit, with no requirement for terminal illness. Which statement is accurate?
• Who is the third in line in beneficiary succession if both the primary and contingent predeceased the insured?
• What describes Partial Disability?
• Which statement best describes an annuity?
• The Medicare Special Enrollment Period lasts how many months?
• What describes Flexible Premiums?
• In a fixed annuity, which guarantee is provided during the accumulation period?
• Which term refers to the provision requiring claim forms to be received within a specified period after notice of claim?
• In Beneficiary Succession, which term refers to the third person in line?
• What happens when an annuity contract is annuitized?
• A pre-need plan is defined as what?
• As of May 2006, insurance companies were required to provide anti-money laundering training to whom?
• Which policy pays for injury and illness both on and off the job?
• Inspection Report typically describes which of the following?
• Usual, Customary, Reasonable (UCR) means what in insurer payments?
• What term collects adverse medical information about an applicant's health (supported by insurance companies) and acts as an information exchange?
• Extended Term is defined as:
• Group Conversion allows an insured to convert group coverage such as term to a policy of a different type (such as a cash value policy). Which statement is true?
• Which timeframe defines a pre-existing condition for LTC insurance?
• In a STOLI arrangement, the beneficiary is typically:
• A Flexible Premium Deferred Annuity (FPDA) is characterized by which features?
• Medicare blood coverage contains which deductible rule?
• Which statement describes FPDA contributions and withdrawals?
• Short-Term Disability (STD) describes disability income plans with benefits for what duration?
• What does the Life Income Option allow?
• Which statement about HMOs is true?
• What rights does the insurer have regarding examination or autopsy?
• Who is primarily responsible for field underwriting?
• Which of the following is an underwriting factor?
• Long-Term Care Rider provides up to what percentage of policy benefits if long-term care is required?
• SPDA is characterized by which of the following?
• Medical Examinations are typically requested after certain underwriting determinations, such as what?
• In an Entity Plan, who owns the policies and who is the designated beneficiary?
• A Flexible Spending Account funds用于 pay:
• Which option best describes Adult Day Care?
• In an interest-sensitive whole life policy, how do changes in interest rates affect policy premiums?
• Which premium payment mode is associated with the lowest total cost?
• Medicare-Approved Amount is best described as
• Which of the following best describes expense loading?
• What is a typical feature of a Child Rider?
• Common Disaster Clause: In case of ambiguous who dies first, who is presumed to have survived?
• What does choosing a lump-sum option for an annuity entail?
• Which service is Not Covered Under Medicare Part B?
• Which statement best describes the Agent's Report?
• Which premium option is defined as a lump-sum payment into an annuity?
• If an insured has more than one occupation, how is risk determined for underwriting?
• What best defines a PPO?
• Legal Purpose in contract law requires that:
• The Extended Term option is a nonforfeiture option because:
• Expense Loading is the amount charged to cover each policy's share of expenses of operation.
• What does the Mandatory Second Surgical Opinion require?
• During the accumulation period of a deferred annuity, who can sign the surrender request?
• Which policy provides benefits for defined illnesses such as cancer or heart disease?
• Medical Examinations are conducted by whom?
• Term Rider is
• Which statement about the Insuring Clause is true?
• Medicare Part C statement true?
• Estate Conservation in life insurance serves which purpose?
• Regarding the Agreement element of a contract (Offer and Acceptance), which condition is required?
• A pre-existing condition is defined as:
• Which statement correctly describes Fee-for-Service in health coverage?
• A Long-Term Care policy cannot define a pre-existing condition more restrictively than which definition?
• What does the incontestable (time limit on certain defenses) clause primarily do?
• Which statement describes universal life policy characteristics?
• Which statement describes a guaranteed renewable policy?
• Which feature best describes a Major Medical Policy designed for prolonged or catastrophic injury or illness?
• What does the Return of Premium Rider provide?
• What is a rider in an insurance policy?
• Which feature characterizes Current Assumption Life (interest sensitive whole life)?
• Who receives policy proceeds if both the primary and contingent beneficiaries predecease the insured?
• Residual Disability is a disability income policy that provides what?
• Which statement about an aleatory contract is true?
• Which description best defines Benefit Triggers in a Long-Term Care policy?
• In what scenarios is an Attending Physician Statement used?
• Medicare Supplement Insurance (Medigap) describes private plans designed to supplement Medicare coverage and pay for what?
• What is a Joint Life (First to Die) policy?
• Collateral Assignment in life insurance allows the policyowner to do what?
• What does a Business Overhead Expense policy cover?
• The Entire Contract Clause in an insurance policy states that the contract consists of which documents?
• Notice of Claim must be provided?
• The Fair Credit Reporting Act primarily protects which of the following?
• Payor Benefit (Waiver of Payors Premium) describes which outcome?
• Which statement about Social Security retirement benefits is true?
• Which statement about Current Assumption Life cash value is true?
• Coordination of Benefits is used to determine:
• What is Key Person (Key Employee) insurance?
• Which statement reflects the concept of good faith in contracting?
• In a cash value policy, a loan against the cash value can be made only when there is what?
• In a stock insurance company, who elects the directors and officers?
• Who has the obligation to perform in a unilateral contract?
• Which statement best describes completing the application and field underwriting?
• Which option is used to add a spouse as an additional insured?
• What describes the Annuity Accumulation Period?
• Which Medicare coverage statement correctly describes outpatient mental health services?
• Under a life policy, when is consent of the beneficiary required to change the designation?
• Automatic Premium Loan (APL) is a policy provision that...
• In a dividend premium reduction, what does the policyowner do with dividends?
• What happens to the death benefit when there is an outstanding policy loan at death?
• Which transaction qualifies as replacement?
• Fraternal Benefit Societies are primarily what type of organizations?
• When making a partial withdrawal from a universal life policy, what may apply in the early years?
• Long-Term Disability (LTD) best characterizes benefit periods of
• When must premium rate adjustments and increases be provided to the insured in writing?
• Medicare Part B outpatient mental health coverage is described as:
• In a Third-Party Ownership arrangement, who owns the policy?
• Which statement about the Any Occupation definition is true in comparison to Own Occupation?
• Under group underwriting, which statement correctly describes how costs are determined?
• Accelerated Death Benefits: Two riders provide Accelerated Death Benefits: Living Needs Rider and Long-Term Care Rider.
• Utilization Review determines if provided or proposed health care services were/are medically necessary. Does it apply to emergency services?
• What describes a foreign insurer?
• A pre-need plan is designed to cover which type of expense?
• What characterizes a Noncontributory Group plan?
• Issue Age (Original) refers to the insured's age on which date?
• Community Rating pricing focuses on which factor?
• When withdrawing from a nonqualified plan, which portion is taxable?
• Which statement about Medicare Part D is accurate?
• What are Warranties in the insurance application?
• Which statement best describes the characteristic of an HMO?
• Who is the chief state regulator who can issue rules and regulations to enforce state insurance statutes?
• Conservation is the act of saving or keeping the existing policy and preventing it from being replaced.
• Which of the following is an underwriting information source?
• In a change of occupation scenario, rate determination is based on which factor?
• Which statement accurately describes charitable use of life insurance?
• What does the Insuring Clause define?
• When a policy loan exists and the policy is surrendered, from which value is the loan deducted?
• What does a Buy-Sell Agreement do?
• Regarding employer-paid premiums, which statement is true about premiums above $50,000?
• Key Employee Insurance is designed to do which of the following for a business when a key employee becomes disabled?
• What does Medicare Part B cover?
• Conservation in life insurance refers to which concept?
• If hospitalized beyond 90 days, how many lifetime reserve days are available?
• Which statement about Extended Term is correct?
• Limited Choice plans typically provide benefits to
• What best describes a 'Cancellable' health insurance policy?
• Which statement about substandard risk is true?
• Which term describes providing funds for surviving spouses and dependents after the insured's death?
• Elimination Period (Waiting Period) is defined as which of the following?
• Who are claims typically paid to, and what applies to death benefits?
• Life Income with Refund provides distributions for the lifetime; if death occurs before total paid-in is refunded, the balance is refunded to the beneficiary as either a fixed amount or cash.
• Substandard risks are defined as which of the following?
• In a life insurance contract, what does the insuring clause describe?
• What does field underwriting involve?
• Which description best defines Variable Life insurance?
• What best describes an Applicant in life insurance terms?
• What does convertible term allow?
• Which statement is true about a policy loan against cash value?
• Assisted Living is a system of housing and limited care designed for senior citizens who need some assistance with daily activities but do not require care in a nursing home.
• Basic Surgical Expense coverage pays which fees?
• Compared to level term, decreasing term has which characteristic?
• Which of the following is covered under Medicare Part B?
• A viatical settlement is best described as:
• Flexible Spending Account (FSA) is:
• Which statement about Nonoccupational Policy is true?
• Which rider would cover a nonfamily insured?
• Which risk classification corresponds to expected risks with a standard premium?
• A Mutual Insurance Company is defined as what?
• Which statement about death benefit proceeds is correct?
• When is consent of the beneficiary not required for a beneficiary change?
• Which statement describes nonqualified plans?
• What is the effect of choosing Extended Term as a nonforfeiture option?
• Medicare Supplement policies must be guaranteed renewable and cannot be nonrenewed or canceled on the basis of health status.
• Vision Care coverage typically includes which of the following?
• Under the Relationship of Earnings to Insurance clause, disability benefits cannot exceed which of the following?
• If changing to a less hazardous occupation, what happens to benefits and premiums?
• Under Medicare Part A, who pays the daily copayment for days 61-90?
• In a contributory group plan, what participation and premium contribution is required?
• Under a family deductible provision in a major medical policy, how many deductibles may satisfy the deductible requirement for the entire family per calendar year?
• Which is a trust created to pay the account holder's qualified medical expenses, often coupled with a High Deductible Health Plan?
• When does a life policy typically go into effect?
• What is the purpose of a Supplementary Major Medical Policy?
• Survivor Benefit description?
• What does Cognitive Impairment refer to in insurance terminology?
• What best describes an Entity Plan?
• The Family Rider refers to which arrangement?
• What is the Elimination Period in disability policies?
• Which of the following is NOT listed as an Activity of Daily Living?
• An Accidental Death and Dismemberment Rider pays a death benefit upon which event?
• A custodial care facility is defined by which features?
• Ordinary Whole Life provides insurance protection to age 100, cash value accumulation to age 100, and fixed level premium payments. Which statement best describes Ordinary Whole Life?
• In contract law, consideration means:
• Which statement correctly defines the Contingent beneficiary in a life policy?
• What is cash surrender?
• If the insured works two jobs, which occupation’s rate is used?
• Cash surrender is described as which type of option?
• Who is the policyowner?
• Which statement best describes the 1-Year Term policy?
• Which term is a false statement or lie that can render the contract void, if material to acceptance of the risk?
• Which is the primary source of information for underwriting a potential risk?
• In Intermediate Care Facility, which option describes included features?
• What is true about a guaranteed renewable policy?
• In an annuity, what factors determine payout?
• Which feature allows the insured to increase or decrease the policy's face amount, and any increase requires evidence of insurability?
• Estate Conservation in terms of estate preservation is best described by which of the following?
• In an annuity, after annuitization, who takes ownership of the funds in the account?
• Which statement best defines a unilateral contract in insurance?
• A Single Premium Immediate Annuity is funded by a single premium and begins immediate withdrawals within one year.
• What is the maximum fixed interest rate for policy loans?
• What is Preventive Care?
• What is consideration in an insurance contract?
• Which item is used as an information source in underwriting?
• Under underwriting, Standard Risk is determined by comparing the applicant's characteristics to which resource?
• What is the purpose of the 7-Pay Test in life insurance?
• What is a Limited Policy?
• The actuarial table showing the mathematical probability of death at a certain age.
• Proof of loss must be provided within how many days after loss?
• Assignment is defined as?
• In a universal life policy, the cash value earns what kind of interest?
• Which statement about survivor benefits in Social Security is accurate?
• Which statement best describes the Joint Life Income Option?
• Special Enrollment Period (Medicare) begins when a person past age 65 who was covered by an employer-sponsored group health plan is no longer covered by the plan.
• In a prepaid plan, how are benefits determined?
• Which dental specialty focuses on gum problems and disease?
• Deferred annuities are normally purchased to defer taxes on contract earnings. Which statement describes their tax purpose best?
• Dividends under a dividend accumulate at interest: which statement is true?
• What does a Critical Illness policy provide?
• Dividends Paid-Up Option: Dividends used to pay off the original policy more quickly.
• Under inpatient hospitalization coverage, how many days per benefit period does Medicare pay 100%?
• In a standard life policy with no designation changes, who receives the death benefit?
• Waiver of Premium Rider provides what benefit?
• What describes Periodic Premiums?
• Who is a Producer (Agent) in the insurance industry?
• The Own Occupation definition often applies for the first how many years of disability?
• The Carry Provision allows expenses that did not satisfy the previous year's deductible and were incurred in which period to be used toward the current year's deductible?
• Which term provides level term coverage on the life of the insured's spouse?
• Which statement best defines an eligible expense?
• What does a suicide clause typically limit the insurer's liability to if the insured commits suicide within the specified period?
• Which statement best describes an irrevocable beneficiary?
• Which of the following describes Standard Risk?
• Dividends are paid from the insurer's surplus earnings and are not taxable (return of excess premium) but interest is. Which option best reflects this?
• Fixed Premium means what about the premium over the contract?
• Accelerated Death Benefits Rider allows early payment of a portion of the face amount before death when the insured is terminally ill.
• Which statement describes a High Deductible Health Plan (HDHP)?
• Deductibles and Coinsurance feature in this plan include which statement?
• What term describes an insurer organized under the laws of this state, whether or not admitted to do business in this state?
• What is concurrent review in health insurance?
• The Notice of Medicare Benefit Changes must inform the insured of changes to which items? (as part of changes to deductibles and copays and policy adjustments)
• What is the Accidental Death Benefit?
• Which statement best describes a deferred annuity?
• Which type of beneficiary cannot be changed, assigned, transferred, or surrendered by the policyowner without written consent of the beneficiary?
• ERISA established rules pertaining to participating, vesting, and funding of retirement plans.
• Which nonforfeiture option uses cash value to buy a single premium, permanent paid-up policy with a reduced face amount?
• Partial withdrawals are allowed with which types of policies?
• What does 'Scheduled Injury' refer to?
• How are misstatements of age handled in benefits?