Question 1

"Own occupation" disability insurance is the least expensive disability insurance coverage.

Accepted Answer

A) True 
 B)False  False

Question 2

The beneficiary of a life insurance policy cannot be the owner.

Accepted Answer

A) True 
 B)False  False

Question 3

CPP has a disability insurance option that will cover you if you are partially disabled.

Accepted Answer

A) True 
 B)False  False

Question 4

Mortgage life insurance is usually the best deal because the policy owners get a group discount through the lender.

Accepted Answer

A) True 
 B)False

Question 5

Which best describes long-term care insurance?

Accepted Answer

A) It provides a lump sum payment if you are diagnosed with an illness specified in the insurance contract. 
B) It provides an income if you need assistance with the everyday tasks of daily living. 
C) It reimburses specific expenses if you need assistance with everyday tasks of daily living. 
D) It only covers costs if someone needs to be placed in a long-term care facility. 
A) It provides a lump sum payment if you are diagnosed with an illness specified in the insurance contract. 
B) It provides an income if you need assistance with the everyday tasks of daily living. 
C) It reimburses specific expenses if you need assistance with everyday tasks of daily living. 
D) It only covers costs if someone needs to be placed in a long-term care facility.

Question 6

Whole life policies are the most popular form of life insurance and are used by most people to take advantage of tax sheltering investments.

Accepted Answer

A) True 
 B)False

Question 7

Which of the following insurance types is only intended to provide insurance in the event of death?

Accepted Answer

A) Whole life 
B) Term life 
C) Universal life 
D) Variable life 
A) Whole life 
B) Term life 
C) Universal life 
D) Variable life

Question 8

In Canada,over twice as many people are covered by extended health care insurance than are covered by disability insurance.

Accepted Answer

A) True 
 B)False

Question 9

Which of the following is True about the chances of becoming disabled?

Accepted Answer

A) The probability of a 35-year-old becoming disabled for three months or longer before they reach age 65 is around 25 percent. 
B) Because the chance of becoming disabled is small,most people do not need disability insurance coverage. 
C) For people who become disabled for longer than three months,the average duration is over 2.2 years. 
D) The probability of a 50-year-old becoming disabled for three months or longer before they reach age 65 is around 50 percent. 
A) The probability of a 35-year-old becoming disabled for three months or longer before they reach age 65 is around 25 percent. 
B) Because the chance of becoming disabled is small,most people do not need disability insurance coverage. 
C) For people who become disabled for longer than three months,the average duration is over 2.2 years. 
D) The probability of a 50-year-old becoming disabled for three months or longer before they reach age 65 is around 50 percent.

Question 10

Which of the following is not an important consideration from the employee's perspective regarding group benefits plans?

Accepted Answer

A) Saving money on premiums for insurance 
B) Coverage for employees who are uninsurable 
C) Protection on top of government plans 
D) Improving staff retention 
A) Saving money on premiums for insurance 
B) Coverage for employees who are uninsurable 
C) Protection on top of government plans 
D) Improving staff retention

Question 11

The budget method of determining life insurance needs considers a family's future expenses and goals.

Accepted Answer

A) True 
 B)False

Question 12

Which of the following types of life insurance has a cash value component?

Accepted Answer

A) Term life 
B) Dependant life 
C) Whole life 
D) Mortgage insurance 
A) Term life 
B) Dependant life 
C) Whole life 
D) Mortgage insurance

Question 13

You are putting $300 per month into a savings account to pay for your child's post-secondary education.You worry that if you die before you get enough saved,your child will not be able to get a good education.Which of the following types of life insurance would best fit your needs at the lowest cost?

Accepted Answer

A) Whole life 
B) Universal life 
C) Term life 
D) Variable life 
A) Whole life 
B) Universal life 
C) Term life 
D) Variable life

Question 14

The 'regular occupation' definition of disability insurance coverage for two years,is the most common offered by group plans.

Accepted Answer

A) True 
 B)False

Question 15

Which of the following is most correct about the guaranteed renewable clause in an insurance policy?

Accepted Answer

A) It guarantees you can renew your insurance up to a certain age. 
B) It guarantees you can renew your insurance up to a certain age without an increase in premiums. 
C) It guarantees you can renew your mortgage insurance at the end of the term. 
D) It guarantees you can renew your disability insurance at the same premium rate. 
A) It guarantees you can renew your insurance up to a certain age. 
B) It guarantees you can renew your insurance up to a certain age without an increase in premiums. 
C) It guarantees you can renew your mortgage insurance at the end of the term. 
D) It guarantees you can renew your disability insurance at the same premium rate.

Question 16

The beneficiary of a life insurance policy is

Accepted Answer

A) the owner of the policy. 
B) the one who pays the premiums. 
C) the life insured. 
D) the one who receives the settlement option. 
A) the owner of the policy. 
B) the one who pays the premiums. 
C) the life insured. 
D) the one who receives the settlement option.

Question 17

If Tom is a technology consultant and wants to purchase reliable long-term disability insurance coverage that is cost effective for him,which would be the best choice?

Accepted Answer

A) Professional occupation 
B) Any occupation 
C) Regular occupation 
D) Own occupation 
A) Professional occupation 
B) Any occupation 
C) Regular occupation 
D) Own occupation

Question 18

The job marketability of your spouse

Accepted Answer

A) would be considered in the budget method of determining life insurance needs. 
B) is used in the income method of determining life insurance needs. 
C) is not important in determining life insurance needs. 
D) is the main factor in determining whether you need life insurance. 
A) would be considered in the budget method of determining life insurance needs. 
B) is used in the income method of determining life insurance needs. 
C) is not important in determining life insurance needs. 
D) is the main factor in determining whether you need life insurance.

Question 19

Jane and Joe each earn $55 000 and have estimated that over the next 20 years will need 60 percent of total income to manage debt,pay off the mortgage,and pay for children's postsecondary education.How much life insurance should they apply for? (Investment returns are 6 percent. )

Accepted Answer

A) $587 000 
B) $1 320 000 
C) $843 000 
D) $757 000 
A) $587 000 
B) $1 320 000 
C) $843 000 
D) $757 000

Question 20

The Canada Health Act dictates that the provinces provide minimum universal standards of health care coverage.

Accepted Answer

A) True 
 B)False

"Own occupation" disability insurance is the least expensive disability insurance coverage.

The beneficiary of a life insurance policy cannot be the owner.

CPP has a disability insurance option that will cover you if you are partially disabled.

Mortgage life insurance is usually the best deal because the policy owners get a group discount through the lender.

Which best describes long-term care insurance?

Whole life policies are the most popular form of life insurance and are used by most people to take advantage of tax sheltering investments.

Which of the following insurance types is only intended to provide insurance in the event of death?

In Canada,over twice as many people are covered by extended health care insurance than are covered by disability insurance.

Which of the following is True about the chances of becoming disabled?

Which of the following is not an important consideration from the employee's perspective regarding group benefits plans?

The budget method of determining life insurance needs considers a family's future expenses and goals.

Which of the following types of life insurance has a cash value component?

The 'regular occupation' definition of disability insurance coverage for two years,is the most common offered by group plans.

Which of the following is most correct about the guaranteed renewable clause in an insurance policy?

The beneficiary of a life insurance policy is

If Tom is a technology consultant and wants to purchase reliable long-term disability insurance coverage that is cost effective for him,which would be the best choice?

The job marketability of your spouse

Jane and Joe each earn $55 000 and have estimated that over the next 20 years will need 60 percent of total income to manage debt,pay off the mortgage,and pay for children's postsecondary education.How much life insurance should they apply for? (Investment returns are 6 percent. )

The Canada Health Act dictates that the provinces provide minimum universal standards of health care coverage.

Overview of a Financial Plan

Tools for Financial Planning - Applying Time Value Concepts

Tools for Financial Planning - Planning with Personal Financial Statements

Tools for Financial Planning - Using Tax Concepts for Planning

Managing Your Financial Resources - Banking Services and Managing Your Money

Managing Your Financial Resources - Assessing, Managing, and Securing Your Credit

Managing Your Financial Resources - Purchasing and Financing a Home

Protecting Your Wealth - Auto and Homeowner's Insurance

Personal Investing - Investing Fundamentals

Personal Investing - Investing in Stocks

Personal Investing - Investing in Bonds

Personal Investing - Investing in Mutual Funds

Retirement and Estate Planning - Retirement Planning

Retirement and Estate Planning - Estate Planning

Synthesis of Financial Planning - Integrating the Components of a Financial Plan

Filters

Exam 9: Protecting Your Wealth - Health and Life Insurance

"Own occupation" disability insurance is the least expensive disability insurance coverage.

The beneficiary of a life insurance policy cannot be the owner.

CPP has a disability insurance option that will cover you if you are partially disabled.

Mortgage life insurance is usually the best deal because the policy owners get a group discount through the lender.

Which best describes long-term care insurance?

Whole life policies are the most popular form of life insurance and are used by most people to take advantage of tax sheltering investments.

Which of the following insurance types is only intended to provide insurance in the event of death?

In Canada,over twice as many people are covered by extended health care insurance than are covered by disability insurance.

Which of the following is True about the chances of becoming disabled?

Which of the following is not an important consideration from the employee's perspective regarding group benefits plans?

The budget method of determining life insurance needs considers a family's future expenses and goals.

Which of the following types of life insurance has a cash value component?

The 'regular occupation' definition of disability insurance coverage for two years,is the most common offered by group plans.

Which of the following is most correct about the guaranteed renewable clause in an insurance policy?

The beneficiary of a life insurance policy is

If Tom is a technology consultant and wants to purchase reliable long-term disability insurance coverage that is cost effective for him,which would be the best choice?

The job marketability of your spouse

Jane and Joe each earn $55 000 and have estimated that over the next 20 years will need 60 percent of total income to manage debt,pay off the mortgage,and pay for children's postsecondary education.How much life insurance should they apply for? (Investment returns are 6 percent. )

The Canada Health Act dictates that the provinces provide minimum universal standards of health care coverage.

Overview of a Financial Plan

Tools for Financial Planning - Applying Time Value Concepts

Tools for Financial Planning - Planning with Personal Financial Statements

Tools for Financial Planning - Using Tax Concepts for Planning

Managing Your Financial Resources - Banking Services and Managing Your Money

Managing Your Financial Resources - Assessing, Managing, and Securing Your Credit

Managing Your Financial Resources - Purchasing and Financing a Home

Protecting Your Wealth - Auto and Homeowner's Insurance

Personal Investing - Investing Fundamentals

Personal Investing - Investing in Stocks

Personal Investing - Investing in Bonds

Personal Investing - Investing in Mutual Funds

Retirement and Estate Planning - Retirement Planning

Retirement and Estate Planning - Estate Planning

Synthesis of Financial Planning - Integrating the Components of a Financial Plan

Filters