Question 1

Briefly explain the different types of health insurance.

Accepted Answer

Most health insurance is basic health in

Question 2

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.

Accepted Answer

A) $987,440 
B) $1,005,011 
C) $1,105,447 
D) $2,228,553 
E) None of the above 
A) $987,440 
B) $1,005,011 
C) $1,105,447 
D) $2,228,553 
E) None of the above

Question 3

Why is it critically important to check out the financial health of a Life Insurance Company through a ratings company like A.M.Best before you purchase the insurance?

Accepted Answer

When you purchase a life insurance polic

Question 4

The alternative ways that a beneficiary can choose to receive the policy benefits upon the death of the insured are called

Accepted Answer

A) premium options. 
B) settlement options. 
C) terminal options. 
D) residual options. 
E) none of the above. 
A) premium options. 
B) settlement options. 
C) terminal options. 
D) residual options. 
E) none of the above.

Question 5

The needs approach attempts to determine the amount of funds necessary to meet the needs of a family after the death of the primary breadwinner.Name the seven common family needs.

Accepted Answer

1.cleanup funds
2.debt elimina

Question 6

The Affordable Care Act requires that essential health benefits be covered.Which of the following is NOT classified as "essential health benefits"?

Accepted Answer

A) Mental health 
B) Rehabilitative services 
C) Term life 
D) Preventive and wellness services 
A) Mental health 
B) Rehabilitative services 
C) Term life 
D) Preventive and wellness services

Question 7

The primary advantage of term insurance is

Accepted Answer

A) a flexible premium. 
B) a savings component. 
C) affordability. 
D) convertibility. 
A) a flexible premium. 
B) a savings component. 
C) affordability. 
D) convertibility.

Question 8

A flexible spending account saves you money on qualifying healthcare and childcare expenses.

Accepted Answer

A) True 
 B)False

Question 9

The incontestability clause states that the insurance company cannot dispute the validity of the contract after a specified period of time,usually

Accepted Answer

A) one year. 
B) two years. 
C) five years. 
D) 10 years 
A) one year. 
B) two years. 
C) five years. 
D) 10 years

Question 10

You know you desperately need life insurance but don't have much money available for premiums.What is the best thing you can do to find affordable insurance?

Accepted Answer

A) Buy directly from the insurance company. 
B) Buy term insurance. 
C) Use the Internet to shop around for the best quotes. 
D) All of the above 
A) Buy directly from the insurance company. 
B) Buy term insurance. 
C) Use the Internet to shop around for the best quotes. 
D) All of the above

Question 11

For which of these situations is life insurance a good idea?

Accepted Answer

A) Married with children 
B) Married,single-income couple with no children 
C) Single with no dependents 
D) Only A and B 
E) All of the above 
A) Married with children 
B) Married,single-income couple with no children 
C) Single with no dependents 
D) Only A and B 
E) All of the above

Question 12

James is employed by the university.Yesterday he fell outside of his office due to water on the floor.He broke his leg in two places.What type of health care plan will cover James' expenses?

Accepted Answer

A) Worker's Compensation. 
B) Medicaid. 
C) Medicare. 
D) Medigap. 
E) None of the above 
A) Worker's Compensation. 
B) Medicaid. 
C) Medicare. 
D) Medigap. 
E) None of the above

Question 13

Life insurance may not be necessary if

Accepted Answer

A) you're single and don't have any dependents. 
B) you're married,a double-income couple,with no children. 
C) you're married but aren't employed. 
D) you're retired. 
E) all of the above. 
A) you're single and don't have any dependents. 
B) you're married,a double-income couple,with no children. 
C) you're married but aren't employed. 
D) you're retired. 
E) all of the above.

Question 14

Charles is the sole beneficiary of his late uncle's life insurance policy.The face value of the policy is $785,000.Charles has decided to accept annual annuity payments of $95,000.The interest rate on the policy is 5%.How many annual payments will Charles receive from this policy?

Accepted Answer

A) 7.08 years worth of payments 
B) 8.26 years worth of payments 
C) 10.92 years worth of payments 
D) None of the above 
A) 7.08 years worth of payments 
B) 8.26 years worth of payments 
C) 10.92 years worth of payments 
D) None of the above

Question 15

Individual practice association,group practice,and point-of-service plans are the three basic types of

Accepted Answer

A) Blue Cross Blue Shield plans. 
B) traditional indemnity plans. 
C) major medical expense plans. 
D) health maintenance organizations. 
E) fee-for-service policies. 
A) Blue Cross Blue Shield plans. 
B) traditional indemnity plans. 
C) major medical expense plans. 
D) health maintenance organizations. 
E) fee-for-service policies.

Question 16

According to the Keown book,________of U.S.households have no life insurance coverage.

Accepted Answer

A) 15 percent 
B) 30 percent 
C) 50 percent 
D) 65 percent 
A) 15 percent 
B) 30 percent 
C) 50 percent 
D) 65 percent

Question 17

When the Affordable Care Act is fully implemented,100 percent of Americans will have health care insurance.

Accepted Answer

A) True 
 B)False

Question 18

Define long-term care insurance and describe its basic features.

Accepted Answer

Long-term care insurance pays for nursin

Question 19

Why are health care costs so expensive at this time?

Accepted Answer

There are several reasons why health car

Question 20

Long-term care insurance may not be a good buy for people under the age of 40.

Accepted Answer

A) True 
 B)False

Briefly explain the different types of health insurance.

Why is it critically important to check out the financial health of a Life Insurance Company through a ratings company like A.M.Best before you purchase the insurance?

The alternative ways that a beneficiary can choose to receive the policy benefits upon the death of the insured are called

The needs approach attempts to determine the amount of funds necessary to meet the needs of a family after the death of the primary breadwinner.Name the seven common family needs.

The Affordable Care Act requires that essential health benefits be covered.Which of the following is NOT classified as "essential health benefits"?

The primary advantage of term insurance is

A flexible spending account saves you money on qualifying healthcare and childcare expenses.

The incontestability clause states that the insurance company cannot dispute the validity of the contract after a specified period of time,usually

You know you desperately need life insurance but don't have much money available for premiums.What is the best thing you can do to find affordable insurance?

For which of these situations is life insurance a good idea?

James is employed by the university.Yesterday he fell outside of his office due to water on the floor.He broke his leg in two places.What type of health care plan will cover James' expenses?

Life insurance may not be necessary if

Charles is the sole beneficiary of his late uncle's life insurance policy.The face value of the policy is $785,000.Charles has decided to accept annual annuity payments of $95,000.The interest rate on the policy is 5%.How many annual payments will Charles receive from this policy?

Individual practice association,group practice,and point-of-service plans are the three basic types of

According to the Keown book,________of U.S.households have no life insurance coverage.

When the Affordable Care Act is fully implemented,100 percent of Americans will have health care insurance.

Define long-term care insurance and describe its basic features.

Why are health care costs so expensive at this time?

Long-term care insurance may not be a good buy for people under the age of 40.

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

Student and Consumer Loans: the Role of Planned Borrowing

The Home and Automobile Decision

Property and Liability Insurance

Investment Basics

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 Eventsfitting the Pieces Together

Filters

Exam 9: Life and Health Insurance

Briefly explain the different types of health insurance.

Why is it critically important to check out the financial health of a Life Insurance Company through a ratings company like A.M.Best before you purchase the insurance?

The alternative ways that a beneficiary can choose to receive the policy benefits upon the death of the insured are called

The needs approach attempts to determine the amount of funds necessary to meet the needs of a family after the death of the primary breadwinner.Name the seven common family needs.

The Affordable Care Act requires that essential health benefits be covered.Which of the following is NOT classified as "essential health benefits"?

The primary advantage of term insurance is

A flexible spending account saves you money on qualifying healthcare and childcare expenses.

The incontestability clause states that the insurance company cannot dispute the validity of the contract after a specified period of time,usually

You know you desperately need life insurance but don't have much money available for premiums.What is the best thing you can do to find affordable insurance?

For which of these situations is life insurance a good idea?

James is employed by the university.Yesterday he fell outside of his office due to water on the floor.He broke his leg in two places.What type of health care plan will cover James' expenses?

Life insurance may not be necessary if

Charles is the sole beneficiary of his late uncle's life insurance policy.The face value of the policy is $785,000.Charles has decided to accept annual annuity payments of $95,000.The interest rate on the policy is 5%.How many annual payments will Charles receive from this policy?

Individual practice association,group practice,and point-of-service plans are the three basic types of

According to the Keown book,________of U.S.households have no life insurance coverage.

When the Affordable Care Act is fully implemented,100 percent of Americans will have health care insurance.

Define long-term care insurance and describe its basic features.

Why are health care costs so expensive at this time?

Long-term care insurance may not be a good buy for people under the age of 40.

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

Student and Consumer Loans: the Role of Planned Borrowing

The Home and Automobile Decision

Property and Liability Insurance

Investment Basics

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 Eventsfitting the Pieces Together

Filters