Exam 9: Life and Health Insurance

Roxanne has been stricken with a muscular degeneration disease that may potentially shorten her life span. However, she chose a renewable term insurance policy because she is able to be continually renew the policy for an agreed-upon period, regardless of her deteriorating condition.

Free

(True/False)

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(76)

Question 1

Correct Answer:

Verified

True

An insurance policy is a contract with an insurance company that spells out what losses are covered, what the policy costs, and who receives the payment if a loss occurs.

Free

(True/False)

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Question 2

Correct Answer:

Verified

True

What factors should be considered when selecting a life insurance policy?

Free

(Essay)

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Question 3

Correct Answer:

Verified

Select an agent who will work for you; that is, meet your needs, not his or hers.Choose a company that is highly rated by one of the independent rating firms such as A.M.Best.Be sure to compare costs and choose a policy with a low cost index.Carefully select the amount of life insurance needed, the type of policy, and the method of premium payments.
Make sure the beneficiary designation is correct.Choose between using an advisor (agent) or buying direct from a company.

If your employer doesn't provide them, then it might not be a financially wise decision to purchase dental and eye insurance.

(True/False)

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Question 4

Special provisions that may be added to your policy which either provide extra benefits to the beneficiary or limit the company's liability under certain conditions are known as

(Multiple Choice)

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Question 5

Short-term disability insurance generally provides benefits on disabilities from after a short wait of days.

(Multiple Choice)

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Question 6

The waiting or elimination period on one's disability insurance refers to the period after the disability during which no benefits can occur. The waiting period is equivalent to ________.

(Multiple Choice)

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Question 7

Most likely, when you apply for life insurance, you will have to fill out a detailed medical history and take a physical exam. Why is this true?

(Multiple Choice)

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Question 8

A stop-loss provision limits the total dollar amount an insurance company pays to one policyholder in a certain time period.

(True/False)

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Question 9

The ________ provision allows you to renew your health insurance policy regardless of your health until you reach some preset age, generally 65.

(Multiple Choice)

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Question 10

Health insurance that provides payments to the insured in the event that the insured's income is interrupted by illness, sickness, or accident is called ________ insurance.

(Multiple Choice)

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Question 11

Your agent has told you to think about immediate needs at the time of death, debt elimination funds, immediate transitional funds, dependency expenses, spousal life income, educational expenses for the children, and retirement income. What has he described?

(Multiple Choice)

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Question 12

Alice and Tommy have 3 dependent children. Alice earns $125,000 per year. They are taking out insurance on Alice for the next 30 years. Tommy expects to get a 9.25% rate of return on the life insurance payoff. Using the earnings multiple approach calculate how much life insurance they need to take out on Alice.

(Multiple Choice)

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Question 13

Traditional, fee-for-service plans are becoming rarer due to rising health care costs.

(True/False)

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(83)

Question 14

One of the provisions of the Affordable Care Act is to prevent insurance companies from denying coverage to consumers with preexisting conditions.

(True/False)

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Question 15

All life insurance policies should have a contingent beneficiary designated.

(True/False)

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Question 16

Dwayne Blue was pleasantly surprised to find out that within three to five years after expiration of a previous life insurance policy, he can

(Multiple Choice)

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Question 17

Typically, who should buy life insurance?

(Essay)

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Question 18

Why are health care costs so expensive at this time?

(Essay)

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Question 19

The money that the policy holder is entitled to if the policy is terminated is known as the face value.

(True/False)

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(76)

Question 20

Showing 1 - 20 of 210

Roxanne has been stricken with a muscular degeneration disease that may potentially shorten her life span. However, she chose a renewable term insurance policy because she is able to be continually renew the policy for an agreed-upon period, regardless of her deteriorating condition.

An insurance policy is a contract with an insurance company that spells out what losses are covered, what the policy costs, and who receives the payment if a loss occurs.

What factors should be considered when selecting a life insurance policy?

If your employer doesn't provide them, then it might not be a financially wise decision to purchase dental and eye insurance.

Special provisions that may be added to your policy which either provide extra benefits to the beneficiary or limit the company's liability under certain conditions are known as

Short-term disability insurance generally provides benefits on disabilities from after a short wait of days.

The waiting or elimination period on one's disability insurance refers to the period after the disability during which no benefits can occur. The waiting period is equivalent to ________.

Most likely, when you apply for life insurance, you will have to fill out a detailed medical history and take a physical exam. Why is this true?

A stop-loss provision limits the total dollar amount an insurance company pays to one policyholder in a certain time period.

The ________ provision allows you to renew your health insurance policy regardless of your health until you reach some preset age, generally 65.

Health insurance that provides payments to the insured in the event that the insured's income is interrupted by illness, sickness, or accident is called ________ insurance.

Your agent has told you to think about immediate needs at the time of death, debt elimination funds, immediate transitional funds, dependency expenses, spousal life income, educational expenses for the children, and retirement income. What has he described?

Traditional, fee-for-service plans are becoming rarer due to rising health care costs.

One of the provisions of the Affordable Care Act is to prevent insurance companies from denying coverage to consumers with preexisting conditions.

All life insurance policies should have a contingent beneficiary designated.

Dwayne Blue was pleasantly surprised to find out that within three to five years after expiration of a previous life insurance policy, he can

Typically, who should buy life insurance?

Why are health care costs so expensive at this time?

The money that the policy holder is entitled to if the policy is terminated is known as the face value.

The Financial Planning Process

Measuring Your Financial Health and Making a Plan

Understanding and Appreciating the Time Value of Money

Tax Planning and Strategies

Cash or Liquid Asset Management

Using Credit Cards: The Role of Open Credit

Using Consumer Loans: The Role of Planned Borrowing

The Home and Automobile Decision

Property and Liability Insurance

Investment Basics

Securities Markets

Investing in Stocks

Investing in Bonds and Other Alternatives

Mutual Funds: An Easy Way to Diversify

Retirement Planning

Estate Planning: Saving Your Heirs Money and Headaches

Financial Life Events Fitting the Pieces Together

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Exam 9: Life and Health Insurance

Roxanne has been stricken with a muscular degeneration disease that may potentially shorten her life span. However, she chose a renewable term insurance policy because she is able to be continually renew the policy for an agreed-upon period, regardless of her deteriorating condition.

An insurance policy is a contract with an insurance company that spells out what losses are covered, what the policy costs, and who receives the payment if a loss occurs.

What factors should be considered when selecting a life insurance policy?

If your employer doesn't provide them, then it might not be a financially wise decision to purchase dental and eye insurance.

Special provisions that may be added to your policy which either provide extra benefits to the beneficiary or limit the company's liability under certain conditions are known as

Short-term disability insurance generally provides benefits on disabilities from ________ after a short wait of ________ days.

The waiting or elimination period on one's disability insurance refers to the period after the disability during which no benefits can occur. The waiting period is equivalent to ________.

Most likely, when you apply for life insurance, you will have to fill out a detailed medical history and take a physical exam. Why is this true?

A stop-loss provision limits the total dollar amount an insurance company pays to one policyholder in a certain time period.

The ________ provision allows you to renew your health insurance policy regardless of your health until you reach some preset age, generally 65.

Health insurance that provides payments to the insured in the event that the insured's income is interrupted by illness, sickness, or accident is called ________ insurance.

Your agent has told you to think about immediate needs at the time of death, debt elimination funds, immediate transitional funds, dependency expenses, spousal life income, educational expenses for the children, and retirement income. What has he described?

Traditional, fee-for-service plans are becoming rarer due to rising health care costs.

One of the provisions of the Affordable Care Act is to prevent insurance companies from denying coverage to consumers with preexisting conditions.

All life insurance policies should have a contingent beneficiary designated.

Dwayne Blue was pleasantly surprised to find out that within three to five years after expiration of a previous life insurance policy, he can

Typically, who should buy life insurance?

Why are health care costs so expensive at this time?

The money that the policy holder is entitled to if the policy is terminated is known as the face value.

The Financial Planning Process

Measuring Your Financial Health and Making a Plan

Understanding and Appreciating the Time Value of Money

Tax Planning and Strategies

Cash or Liquid Asset Management

Using Credit Cards: The Role of Open Credit

Using Consumer Loans: The Role of Planned Borrowing

The Home and Automobile Decision

Property and Liability Insurance

Investment Basics

Securities Markets

Investing in Stocks

Investing in Bonds and Other Alternatives

Mutual Funds: An Easy Way to Diversify

Retirement Planning

Estate Planning: Saving Your Heirs Money and Headaches

Financial Life Events Fitting the Pieces Together

Filters

Short-term disability insurance generally provides benefits on disabilities from after a short wait of days.