Question 1

Which of the following statements is true about group life insurance?

Accepted Answer

A)  Group life has been losing its popularity recently. 
B)  Generally the cost of insurance is the same for each employee. 
C)  Group insurance is not a good bargain for older employees regardless of age. 
D)  Principles that apply to other forms of insurance do not apply to group life insurance. 
E)  Not worth getting. 
A)  Group life has been losing its popularity recently. 
B)  Generally the cost of insurance is the same for each employee. 
C)  Group insurance is not a good bargain for older employees regardless of age. 
D)  Principles that apply to other forms of insurance do not apply to group life insurance. 
E)  Not worth getting.

Question 2

Disability income insurance benefits provide regular cash income lost by employees as the result of an accident, illness, or pregnancy.

Accepted Answer

A) True 
 B)False

Question 3

A participating life insurance policy has

Accepted Answer

A)  lower premiums than a nonparticipating policy. 
B)  about the same premium as the nonparticipating policy. 
C)  been declared illegal in many states. 
D)  somewhat higher premiums than nonparticipating policy. 
E)  has no potential for earning dividends. 
A)  lower premiums than a nonparticipating policy. 
B)  about the same premium as the nonparticipating policy. 
C)  been declared illegal in many states. 
D)  somewhat higher premiums than nonparticipating policy. 
E)  has no potential for earning dividends.

Question 4

A document attached to the policy that modifies its coverage by adding or deleting a specified condition is called a(n)

Accepted Answer

A)  beneficiary. 
B)  waiver of premium. 
C)  automatic premium loan. 
D)  rider. 
E)  incontestability clause. 
A)  beneficiary. 
B)  waiver of premium. 
C)  automatic premium loan. 
D)  rider. 
E)  incontestability clause.

Question 5

Critical illness insurance does not usually cover __________________.

Accepted Answer

A)  cancer 
B)  stroke 
C)  HIV/AIDS 
D)  blindness 
E)  organ transplant 
A)  cancer 
B)  stroke 
C)  HIV/AIDS 
D)  blindness 
E)  organ transplant

Question 6

A co-payment provision requires the policyholder to share the expenses beyond the deductible amount.

Accepted Answer

A) True 
 B)False

Question 7

What percent of all applicants who apply for life insurance are found to be insurable?

Accepted Answer

A)  58 
B)  68 
C)  85 
D)  90 
E)  98 
A)  58 
B)  68 
C)  85 
D)  90 
E)  98

Question 8

Which type of insurance is probably the most neglected form of available insurance protection?

Accepted Answer

A)  life 
B)  liability 
C)  disability 
D)  car 
E)  home and property 
A)  life 
B)  liability 
C)  disability 
D)  car 
E)  home and property

Question 9

Which type of life insurance plan requires you to pay premiums for a stipulated period, usually 20 or 30 years or until you reach a specified age?

Accepted Answer

A)  modified life policy 
B)  variable life policy 
C)  adjustable life policy 
D)  limited payment policy 
E)  endowment policy 
A)  modified life policy 
B)  variable life policy 
C)  adjustable life policy 
D)  limited payment policy 
E)  endowment policy

Question 10

Your second step in determining a life insurance program should be to

Accepted Answer

A)  consult a local insurance company agent. 
B)  consider whether you wish to leave your dependants debt free 
C)  estimate your life insurance requirements. 
D)  determine your life insurance objectives. 
E)  evaluate the ratings of the insurance company. 
A)  consult a local insurance company agent. 
B)  consider whether you wish to leave your dependants debt free 
C)  estimate your life insurance requirements. 
D)  determine your life insurance objectives. 
E)  evaluate the ratings of the insurance company.

Question 11

What can be offered with supplemental health and disability insurance? What are their benefits and limitations?

Accepted Answer

Your basic coverage should include hospi

Question 12

Because you are young and healthy now, you may overlook the very real need for

Accepted Answer

A)  Disability income insurance. 
B)  health insurance. 
C)  Dental insurance. 
D)  vision care insurance. 
E)  liability insurance. 
A)  Disability income insurance. 
B)  health insurance. 
C)  Dental insurance. 
D)  vision care insurance. 
E)  liability insurance.

Question 13

What factors should you consider before you buy insurance?

Accepted Answer

A)  your present and future sources of income 
B)  your savings 
C)  group life insurance 
D)  pension benefits 
E)  your present and future sources of income, your savings, group life insurance, and pension benefits. 
A)  your present and future sources of income 
B)  your savings 
C)  group life insurance 
D)  pension benefits 
E)  your present and future sources of income, your savings, group life insurance, and pension benefits.

Question 14

Individual health insurance covers either one person or family.

Accepted Answer

A) True 
 B)False

Question 15

You should seek a disability policy that pays benefits for life.

Accepted Answer

A) True 
 B)False

Question 16

You probably have little or no need for life insurance if you are

Accepted Answer

A)  married and your spouse works. 
B)  divorced and have two children. 
C)  a single person living alone or with parents. 
D)  gainfully employed. 
E)  a household with several children. 
A)  married and your spouse works. 
B)  divorced and have two children. 
C)  a single person living alone or with parents. 
D)  gainfully employed. 
E)  a household with several children.

Question 17

What is disability income insurance? What are the sources of disability income?

Accepted Answer

Disability income insurance benefits pro

Question 18

A rider is any document attached to the policy that modifies its coverage by adding or excluding specified conditions or altering its benefits.

Accepted Answer

A) True 
 B)False

Question 19

Who has the greatest need for life insurance?

Accepted Answer

A)  children 
B)  singles living alone 
C)  singles living with parents 
D)  dual income couple 
E)  households with small children 
A)  children 
B)  singles living alone 
C)  singles living with parents 
D)  dual income couple 
E)  households with small children

Question 20

A two-earner couple may have

Accepted Answer

A)  the greatest need for life insurance. 
B)  no need for life insurance. 
C)  a moderate need for life insurance, especially if they have a mortgage. 
D)  the greatest need for an annuity. 
E)  no need for an annuity. 
A)  the greatest need for life insurance. 
B)  no need for life insurance. 
C)  a moderate need for life insurance, especially if they have a mortgage. 
D)  the greatest need for an annuity. 
E)  no need for an annuity.

Which of the following statements is true about group life insurance?

Disability income insurance benefits provide regular cash income lost by employees as the result of an accident, illness, or pregnancy.

A participating life insurance policy has

A document attached to the policy that modifies its coverage by adding or deleting a specified condition is called a(n)

Critical illness insurance does not usually cover __________________.

A co-payment provision requires the policyholder to share the expenses beyond the deductible amount.

What percent of all applicants who apply for life insurance are found to be insurable?

Which type of insurance is probably the most neglected form of available insurance protection?

Which type of life insurance plan requires you to pay premiums for a stipulated period, usually 20 or 30 years or until you reach a specified age?

Your second step in determining a life insurance program should be to

What can be offered with supplemental health and disability insurance? What are their benefits and limitations?

Because you are young and healthy now, you may overlook the very real need for

What factors should you consider before you buy insurance?

Individual health insurance covers either one person or family.

You should seek a disability policy that pays benefits for life.

You probably have little or no need for life insurance if you are

What is disability income insurance? What are the sources of disability income?

A rider is any document attached to the policy that modifies its coverage by adding or excluding specified conditions or altering its benefits.

Who has the greatest need for life insurance?

A two-earner couple may have

Personal Financial Planning: An Introduction

Money Management Strategy: Financial Statements and Budgeting

Planning Your Tax Strategy

The Banking Services of Financial Institutions

Introduction to Consumer Credit

Choosing a Source Credit: the Costs of Credit Alternatives

The Finances of Housing

Home and Automobile Insurance

Fundamentals of Investing

Investing in Stocks

Investing in Bonds

Investing in Mutual Funds

Retirement Planning

Estate Planning

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Exam 9: Life, Health, and Disability Insurance

Which of the following statements is true about group life insurance?

Disability income insurance benefits provide regular cash income lost by employees as the result of an accident, illness, or pregnancy.

A participating life insurance policy has

A document attached to the policy that modifies its coverage by adding or deleting a specified condition is called a(n)

Critical illness insurance does not usually cover __________________.

A co-payment provision requires the policyholder to share the expenses beyond the deductible amount.

What percent of all applicants who apply for life insurance are found to be insurable?

Which type of insurance is probably the most neglected form of available insurance protection?

Which type of life insurance plan requires you to pay premiums for a stipulated period, usually 20 or 30 years or until you reach a specified age?

Your second step in determining a life insurance program should be to

What can be offered with supplemental health and disability insurance? What are their benefits and limitations?

Because you are young and healthy now, you may overlook the very real need for

What factors should you consider before you buy insurance?

Individual health insurance covers either one person or family.

You should seek a disability policy that pays benefits for life.

You probably have little or no need for life insurance if you are

What is disability income insurance? What are the sources of disability income?

A rider is any document attached to the policy that modifies its coverage by adding or excluding specified conditions or altering its benefits.

Who has the greatest need for life insurance?

A two-earner couple may have

Personal Financial Planning: An Introduction

Money Management Strategy: Financial Statements and Budgeting

Planning Your Tax Strategy

The Banking Services of Financial Institutions

Introduction to Consumer Credit

Choosing a Source Credit: the Costs of Credit Alternatives

The Finances of Housing

Home and Automobile Insurance

Fundamentals of Investing

Investing in Stocks

Investing in Bonds

Investing in Mutual Funds

Retirement Planning

Estate Planning

Filters