{ The WACC is not constant, but is increasing as Bigbee adds more projects into its capital budget for the year. "text": "Depending on the state, you could know as soon as the test is over. c. What are the incremental cash flows in Years 1 through 5? "text": "While the day of the test will vary by state, there are some similarities. I have learned so much from this study guide. a. Medical payments under a homeowners policy are available for expenses resulting from an injury to which of the following? "acceptedAnswer": { "name": "What types of questions can I expect with taking the Life and Health Insurance Exam? "@type": "Answer", Does your answer here make you question the yield curve you drew in part c? "@type": "Answer", This book saved my life. These General insurance exam questions and answers cover general insurance concepts. } This California life and health insurance exam quiz is useful for those individuals who are looking towards producing or selling life and/or health insurance in the state of California. Under which type of marketing system do agents or agencies operate as In short, its a good idea not to bring anything of value to the testing center. A representation that fails to correspond with its assertions or stipulations is: All are true about transacting insurance EXCEPT: If a Life insurer issues a policy based upon an application submitted by an agent who is not their appointee, the insurer must send a Notice of Appointment to the Commissioner within: Under the California Insurance Code (CIC), neither party to a contract of insurance is bound to communicate any of the following EXCEPT: A Life settlement broker represents a life insurance: A hazard is defined as something that increases the risk. } "name": "What does the application process for the test entail? "acceptedAnswer": { Maladaptive Daydreaming Test: Am I A Maladaptive Daydreamer. "@type": "FAQPage", { hYRRj.P[kH@plhcd';`F|}b?J>O~y{Mm3Q4DD*%u>8-e6f'It qsSMbr "name": "What can I expect on test day? For example, 99214 may be used for a physical and 90658 indicates a flu shot. endstream
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It tells me what I need to know on the test. While major medical insurance policies typically have high deductibles, these must be established in the policy as well as the maximum amount of out-of-pocket costs that will be paid by the policy holder. } This product synthesizes the information to make it more palatable and easier to digest. "mainEntity": [ Assume that interest rate parity holds and that 90-day risk-free securities yield a nominal annual rate of 3% in the United States and a nominal annual rate of 3.5% in the United Kingdom. There are many purposes in which the proceeds of corporate owned life insurance may be used. "acceptedAnswer": { for at least one vehicle, a new vehicle will be automatically covered from the This is because the beneficiary must be at risk of suffering some type of loss should the insured pass away. An insured can select different classifications for various coverages. a marketing system that offers contracts to the public through direct mail, newspapers, raido tv, magazine and vending machines. This book is the best way to study . Policies issued under the National Flood Insurance Program provide removal coverage for property removed to protect it from the flood. "text": "There are no specific education and degree requirements, so that means a high school diploma or its equivalent is fine. If youre interested in selling life or health insurance, this may be a good time to get the licensing that you need. coverage within how many days? A long-term care insurance policy's elimination period is the number of days that the insured must pay for services out-of-pocket until the insurance coverage begins to pay. "@type": "Question", She has held roles at several large insurance and investment companies. We believe you can perform better on your exam, so we work hard to provide you with the best study guides, practice questions, and flashcards to empower you to be your best. Support your answer. Every person has an insurable interest in the life or health of all of the following persons EXCEPT: An insurer organized under the laws of another state who is legally transacting insurance in this state is known as: Making an insured whole again after a loss is known as: An individual who assists consumers with enrollment into the programs administered by the California Health Benefit Exchange is known as a(n)? Every licensee shall file with the Commissioner his or her truename and also all fictitious names under which he or she conducts business. While there are many different options and riders on life insurance, all policies possess a death benefit. You may be required to present your test confirmation to ensure youre taking it at the right day, time, and location. So how to you get through this? 2. Over the 5-year period, what average nominal interest rate would be expected to produce a 2% real risk-free return on 5-year Treasury securities? } the following? An insurer's loss ratio is determined by dividing what? While the day of the test will vary by state, there are some similarities. Great tool to study for the exam.
Here, there is nothing suspicious about John's death. I love this because it excludes all the fluff. Whats the best way to prepare? and the insured purchases a supplemental extended reporting period (ERP), the apply to bodily injury or property damage that occurs when? Twisting involves an agent suggesting that an individual let their current insurance coverage lapse in order to purchase a new policy, typically with similar benefits. What was the average expected inflation rate over the 5-year period 19811985? "@type": "Question", The old machine is being depreciated by $120,000 per year, using the straight-line method. "acceptedAnswer": { { As well preparation for my license. Depending on the state, you could know as soon as the test is over. This promise of covering losses is in exchange for the premium that is paid by the insured and the compliance with the policy terms. c?p{Id6Q^HY8(d,! 146 0 obj
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", Incorrect answer. These criteria can include hobbies, occupation, lifestyle, gender, age, income, and many more. Your license will be considered to be inactive when you: As specified by the California Insurance Code (CIC), every person must have insurable interest in the person insured at the time of application. endstream
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Insurance agents regularly talk with clients, youll need to be a very skilled communicator. }
Injury for such things as libel, slander, false arrest, or invasion of privacy. "@type": "Answer", If a contract contains unclear wording, then a court will interpret the language used against the writer of the contract - unless the wording that is used is required by law to be stated in a specific way. Great investment and resource guide.
"Hired autos" include autos the insured leases, hires, rents, or borrows. Underwriters look at many factors that can deem an applicant for life insurance as being more or less risky. It is prohibited as an unfair trade practice. The elimination period is not part of a major medical insurance policy. In this case, the new policy does not necessarily benefit the client, however, the agent will likely receive a commission on the sale of the new policy. %PDF-1.6
%
Since my friend gave me his property & casualty exam study guide exam book, I said "wow" this book was awesome because everything that I need is all in the book, it helped me a lot. The United States, its territories and possessions, and Canada. "name": "What does it cost to take the test? DIC can provide considerable protection at a reasonable cost. A beneficiary and the underwriter are not parties to a life insurance contract. Although it typically takes approximately two weeks to settle death benefit claims, insurance companies are required to settle such claims within 30 days. You need to be self-confident and be willing to take the initiative since youll be seeking out new clients." It is concise and to the point so there is no wasted time digging through hundreds of pages with useless information. While a new job with a drastic change in income and / or hazardous duties could result in a change of life insurance coverage needs, simply changing job titles will not. In short, its a good idea not to bring anything of value to the testing center." by Mometrix Test Preparation | This Page Last Updated: July 20, 2022. hbbd```b``m L2'A< X V"M@`` g`$
In total, an annual savings of$255,000 will be realized if the new machine is installed. }, Traditional perils (such as fire, lightning, and so on) are usually excluded by DIC policies. It covers all of the following areas which are typically covered in your actual state Life & Health Insurance examination: Copyright 2009-2022 Tests.com LLC - All Rights Reserved, General Life Insurance Basics, Insurable Interest, Parties and Regulations, Types of Life Insurance Policies and Individual versus Group Life Insurance, Life Insurance Application and Underwriting, Selling Life Insurance, Determining Coverage Needs and Issuance and Delivery, Life Insurance for Business Owners and in Estate Planning, Policy Components, Riders and Non-forfeiture Options, Claims, Settlement Options and Tax Concepts, Living Benefits and Viatical and Life Settlements, General Health Insurance Basics, Regulation and Social Health Insurance, Types of Health Insurance Policies and HMO and PPO, Health Insurance Policy Components and Exclusions, Selling Health Insurance, Issuance and Delivery and Tax Considerations, Health Insurance Claims and Indemnity vs. "text": "You should get a high-quality, professional study guide, like the one here. With the installment method, the insured may wish to use these funds to pay his or her ongoing monthly bills. } The number of questions on the test, the format, and the length of time it takes all vary by state. "acceptedAnswer": { ", LaTonya purchases a house from John. }, Only bodily injuries that are suffered by individuals. An appointment as an agent of an insurer becomes effective on the date it is: All of the following are ways to reduce risk EXCEPT. basic, or minimum, the limit for employers liability coverage is how much per It is the most the insurer will pay for any one accident. All of the following are required to be included in all insurance policies EXCEPT: The financial rating of the insurance company. What a difference! b. 136 0 obj
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She has earned nine industry professional designations, including: Chartered Life Underwriter, Registered Health Underwriter, Registered Employee Benefits Consultant, Certified Senior Advisor and Certified in Long-Term Care. { FINRA IS A REGISTERED TRADEMARK OF THE FINANCIAL INDUSTRY REGULATORY AUTHORITY, INC. FINRA operates the largest securities dispute resolution forum in the United States, To report on abuse or fraud in the industry. ", Learn More >>, Formerly known as: INS - Program in General Insurance. Where can I find a best-in-class study guide? When can a representation be altered or withdrawn? Some states tests are 150 questions long; some are shorter. a period of time, a personal auto policy will provide coverage for { "@type": "Question", You will be tested in topics that include HMOs (health maintenance organizations), and health insurance tax issues; annuities and annuity policy tax issues; life insurance plans and general knowledge about the subject; health insurance, dental coverage, medical plans, and more. 
When you have read the first 100 pages you, won't remember the first thing you read. Draw a yield curve based on these data. insurer markets the policies from the home office. ?MfM HiD%s>?iHKSN%m]wmQd[em^rCfW/K How long does it take? Which type of insurance professional does not actually sell insurance coverages but sells advice about insurance coverages? "text": "No. You need to be self-confident and be willing to take the initiative since youll be seeking out new clients. Health savings accounts (HAS) are used with high deductible health insurance policies. Certain articles of clothing may also be prohibited. However, many investors expected the new Reagan administration to be more effective in controlling inflation than the Carter administration had been. Check out Mometrix's Life & Health Study Guide, Get practice questions, video tutorials, and detailed study lessons, { As these investments move up and down with the movements of the equities market, variable life insurance is considered to be more risky than other types of policies as there is the probability that the value of the policy's investment component could decrease. This product is also great when paired with another book for more referencing. hVko0+jb~4!imi4RHPn^Pcr)n@nH8v w\=Fw;=x hW%{%fX,/`NQT YGGUC74Z7 2B600\OwT#Ik$31i]b1M2ucA#y>N}Z4kig&gjk:iYR0^|1pQzzw$7 4]$NF$jG'r=5IO;:`_'ZMZ;]NTZ~.$a4VrSVU5hH^elQ^7j/h.x=]?.R7!C3,q6^s|@~-s]D'z, purchaser is now responsible for payments. The questions are intended to resemble the types of queries and the range of content on your insurance license qualification exam; however, because insurance license exam questions are kept strictly confidential, you should not expect these questions to be the same as those you will see on your actual exam.
A commercial property coverage part with the basic causes of loss form attached Given Jack's temporary need for 15 years of coverage to pay off the mortgage balance, the best choice for Jack would be a 15-year term life insurance policy as the premiums would likely be far less than a permanent policy, and once the mortgage is paid off in 15 years, this particular need for Jack will no longer exist. She borrows $75,000 from The guide provides specifics on how to tackle the questions youll be asked. No. This study guide is easy to understand and only 82 pages.
}] All of the following are true regarding warranties in an insurance contract EXCEPT: A particular form of words is necessary to create a warranty. In addition to the information about the applicant for insurance, underwriters will also look at the named beneficiary in the policy in order to determine whether or not there is an insurable interest. accident? I can tell this book is very useful, understandable. A wife (owner) can take a policy out on her husband (insured), yet the husband is not a party to the insurance contract. The expected life of the existing machine decreases. The practice exam is written by Susan Wright, MBA, CLU, RHU, REBC, who has over 20 years of experience in the insurance industry and Noah Sobin, an life insuance underwriting expert. ", An investment will pay $150 at the end of each of the next 3 years,$250 at the end of Year 4, $300 at the end of Year 5, and$500 at the end of Year 6. "name": "How many questions are on the test? Wish more were like this!
If there is not, the application for life insurance could be rejected. Furthermore, I learn from trial and error so when I took the practice test I was able to go back and relearn a certain topic if I didnt retain it well. "@type": "Answer", ", Take this free practice test to get an idea of what is on your state's life and health insurance agent licensing exam. ", The death benefit proceeds on the policy will be reduced by the amount that is accessed by the insured. However, the Bureau of Labor Statistics says about one-third of all agents have college degrees. Since insurance agents determine the needs of their clients, excellent analytical skills are a big plus. Calculate the annual depreciation allowances for both machines and compute the change in the annual depreciation expense if the replacement is made. { (Some recent long-term care insurance plans also offer a lump-sum benefit payout option). Something that might increase the likelihood that a loss will occur is called what? dwelling policy, what basic limit of coverage applies to medical payments unless The new machine has a purchase price of$1,175,000, an estimated useful life and MACRS class life of 5 years, and an estimated salvage value of $145,000. Under the business auto coverage part, each of the following is true about the Tests vary by state. }. d. Describe the general economic conditions that could lead to an upward-sloping yield curve. Who has an insurable interest in this home? Because the funds in the HSA account can be used for medical services, participants often use them for un-covered procedures such as chiropractic visits or other health-related services that are not covered by their insurance policy. I took the test once already and I did not study this material completely, but I did notice that it had a lot of material that I needed to study from the guide. "@type": "Answer", Any person who transacts insurance without a valid license to do so is guilty of a misdemeanor punishable by: Both a fine not exceeding $50,000 and up to 1 year in a county jail. Consider all the factors that are likely to affect the curve. It is the maximum limit for each claim when multiple claimants are arising out of the same occurrence. If general liability "claims-made" coverage is renewed by "occurrence" coverage No formal education or experience is required to become a licensed life and health insurance agent. The text is concise and to the point. This is helping me understand and preparing me for new product analyst position in our health plan! There are no specific education and degree requirements, so that means a high school diploma or its equivalent is fine. So how to you get through this?
Our practice exam covers life and health insurance exam subject areas that are common across the country and is not specific to any one state but rather applicable to all states. "@context": "https://schema.org", The benefit duration in a long-term care policy states how long benefits will be paid to an insured, and the benefit amount may be stated either as a daily or monthly amount. Moreover, many observers believed that the extremely high interest rates and generally tight credit, which resulted from the Federal Reserve Systems attempts to curb the inflation rate, would lead to a recession, which, in turn, would lead to a decline in inflation and interest rates. "name": "Whats the test like? endstream endobj 140 0 obj <>stream "@type": "Answer", Our comprehensive study guide has been researched by a team of professionals with years of experience helping educators prepare for exams just like this one.
Injury for such things as libel, slander, false arrest, or invasion of privacy. "@type": "Answer", If a contract contains unclear wording, then a court will interpret the language used against the writer of the contract - unless the wording that is used is required by law to be stated in a specific way. Great investment and resource guide.
"Hired autos" include autos the insured leases, hires, rents, or borrows. Underwriters look at many factors that can deem an applicant for life insurance as being more or less risky. It is prohibited as an unfair trade practice. The elimination period is not part of a major medical insurance policy. In this case, the new policy does not necessarily benefit the client, however, the agent will likely receive a commission on the sale of the new policy. %PDF-1.6
%
Since my friend gave me his property & casualty exam study guide exam book, I said "wow" this book was awesome because everything that I need is all in the book, it helped me a lot. The United States, its territories and possessions, and Canada. "name": "What does it cost to take the test? DIC can provide considerable protection at a reasonable cost. A beneficiary and the underwriter are not parties to a life insurance contract. Although it typically takes approximately two weeks to settle death benefit claims, insurance companies are required to settle such claims within 30 days. You need to be self-confident and be willing to take the initiative since youll be seeking out new clients." It is concise and to the point so there is no wasted time digging through hundreds of pages with useless information. While a new job with a drastic change in income and / or hazardous duties could result in a change of life insurance coverage needs, simply changing job titles will not. In short, its a good idea not to bring anything of value to the testing center." by Mometrix Test Preparation | This Page Last Updated: July 20, 2022. hbbd```b``m L2'A< X V"M@`` g`$
In total, an annual savings of$255,000 will be realized if the new machine is installed. }, Traditional perils (such as fire, lightning, and so on) are usually excluded by DIC policies. It covers all of the following areas which are typically covered in your actual state Life & Health Insurance examination: Copyright 2009-2022 Tests.com LLC - All Rights Reserved, General Life Insurance Basics, Insurable Interest, Parties and Regulations, Types of Life Insurance Policies and Individual versus Group Life Insurance, Life Insurance Application and Underwriting, Selling Life Insurance, Determining Coverage Needs and Issuance and Delivery, Life Insurance for Business Owners and in Estate Planning, Policy Components, Riders and Non-forfeiture Options, Claims, Settlement Options and Tax Concepts, Living Benefits and Viatical and Life Settlements, General Health Insurance Basics, Regulation and Social Health Insurance, Types of Health Insurance Policies and HMO and PPO, Health Insurance Policy Components and Exclusions, Selling Health Insurance, Issuance and Delivery and Tax Considerations, Health Insurance Claims and Indemnity vs. "text": "You should get a high-quality, professional study guide, like the one here. With the installment method, the insured may wish to use these funds to pay his or her ongoing monthly bills. } The number of questions on the test, the format, and the length of time it takes all vary by state. "acceptedAnswer": { ", LaTonya purchases a house from John. }, Only bodily injuries that are suffered by individuals. An appointment as an agent of an insurer becomes effective on the date it is: All of the following are ways to reduce risk EXCEPT. basic, or minimum, the limit for employers liability coverage is how much per It is the most the insurer will pay for any one accident. All of the following are required to be included in all insurance policies EXCEPT: The financial rating of the insurance company. What a difference! b. 136 0 obj
<>
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She has earned nine industry professional designations, including: Chartered Life Underwriter, Registered Health Underwriter, Registered Employee Benefits Consultant, Certified Senior Advisor and Certified in Long-Term Care. { FINRA IS A REGISTERED TRADEMARK OF THE FINANCIAL INDUSTRY REGULATORY AUTHORITY, INC. FINRA operates the largest securities dispute resolution forum in the United States, To report on abuse or fraud in the industry. ", Learn More >>, Formerly known as: INS - Program in General Insurance. Where can I find a best-in-class study guide? When can a representation be altered or withdrawn? Some states tests are 150 questions long; some are shorter. a period of time, a personal auto policy will provide coverage for { "@type": "Question", You will be tested in topics that include HMOs (health maintenance organizations), and health insurance tax issues; annuities and annuity policy tax issues; life insurance plans and general knowledge about the subject; health insurance, dental coverage, medical plans, and more. When you have read the first 100 pages you, won't remember the first thing you read. Draw a yield curve based on these data. insurer markets the policies from the home office. ?MfM HiD%s>?iHKSN%m]wmQd[em^rCfW/K How long does it take? Which type of insurance professional does not actually sell insurance coverages but sells advice about insurance coverages? "text": "No. You need to be self-confident and be willing to take the initiative since youll be seeking out new clients. Health savings accounts (HAS) are used with high deductible health insurance policies. Certain articles of clothing may also be prohibited. However, many investors expected the new Reagan administration to be more effective in controlling inflation than the Carter administration had been. Check out Mometrix's Life & Health Study Guide, Get practice questions, video tutorials, and detailed study lessons, { As these investments move up and down with the movements of the equities market, variable life insurance is considered to be more risky than other types of policies as there is the probability that the value of the policy's investment component could decrease. This product is also great when paired with another book for more referencing. hVko0+jb~4!imi4RHPn^Pcr)n@nH8v w\=Fw;=x hW%{%fX,/`NQT YGGUC74Z7 2B600\OwT#Ik$31i]b1M2ucA#y>N}Z4kig&gjk:iYR0^|1pQzzw$7 4]$NF$jG'r=5IO;:`_'ZMZ;]NTZ~.$a4VrSVU5hH^elQ^7j/h.x=]?.R7!C3,q6^s|@~-s]D'z, purchaser is now responsible for payments. The questions are intended to resemble the types of queries and the range of content on your insurance license qualification exam; however, because insurance license exam questions are kept strictly confidential, you should not expect these questions to be the same as those you will see on your actual exam. A commercial property coverage part with the basic causes of loss form attached Given Jack's temporary need for 15 years of coverage to pay off the mortgage balance, the best choice for Jack would be a 15-year term life insurance policy as the premiums would likely be far less than a permanent policy, and once the mortgage is paid off in 15 years, this particular need for Jack will no longer exist. She borrows $75,000 from The guide provides specifics on how to tackle the questions youll be asked. No. This study guide is easy to understand and only 82 pages.
}] All of the following are true regarding warranties in an insurance contract EXCEPT: A particular form of words is necessary to create a warranty. In addition to the information about the applicant for insurance, underwriters will also look at the named beneficiary in the policy in order to determine whether or not there is an insurable interest. accident? I can tell this book is very useful, understandable. A wife (owner) can take a policy out on her husband (insured), yet the husband is not a party to the insurance contract. The expected life of the existing machine decreases. The practice exam is written by Susan Wright, MBA, CLU, RHU, REBC, who has over 20 years of experience in the insurance industry and Noah Sobin, an life insuance underwriting expert. ", An investment will pay $150 at the end of each of the next 3 years,$250 at the end of Year 4, $300 at the end of Year 5, and$500 at the end of Year 6. "name": "How many questions are on the test? Wish more were like this!
If there is not, the application for life insurance could be rejected. Furthermore, I learn from trial and error so when I took the practice test I was able to go back and relearn a certain topic if I didnt retain it well. "@type": "Answer", ", Take this free practice test to get an idea of what is on your state's life and health insurance agent licensing exam. ", The death benefit proceeds on the policy will be reduced by the amount that is accessed by the insured. However, the Bureau of Labor Statistics says about one-third of all agents have college degrees. Since insurance agents determine the needs of their clients, excellent analytical skills are a big plus. Calculate the annual depreciation allowances for both machines and compute the change in the annual depreciation expense if the replacement is made. { (Some recent long-term care insurance plans also offer a lump-sum benefit payout option). Something that might increase the likelihood that a loss will occur is called what? dwelling policy, what basic limit of coverage applies to medical payments unless The new machine has a purchase price of$1,175,000, an estimated useful life and MACRS class life of 5 years, and an estimated salvage value of $145,000. Under the business auto coverage part, each of the following is true about the Tests vary by state. }. d. Describe the general economic conditions that could lead to an upward-sloping yield curve. Who has an insurable interest in this home? Because the funds in the HSA account can be used for medical services, participants often use them for un-covered procedures such as chiropractic visits or other health-related services that are not covered by their insurance policy. I took the test once already and I did not study this material completely, but I did notice that it had a lot of material that I needed to study from the guide. "@type": "Answer", Any person who transacts insurance without a valid license to do so is guilty of a misdemeanor punishable by: Both a fine not exceeding $50,000 and up to 1 year in a county jail. Consider all the factors that are likely to affect the curve. It is the maximum limit for each claim when multiple claimants are arising out of the same occurrence. If general liability "claims-made" coverage is renewed by "occurrence" coverage No formal education or experience is required to become a licensed life and health insurance agent. The text is concise and to the point. This is helping me understand and preparing me for new product analyst position in our health plan! There are no specific education and degree requirements, so that means a high school diploma or its equivalent is fine. So how to you get through this?
Our practice exam covers life and health insurance exam subject areas that are common across the country and is not specific to any one state but rather applicable to all states. "@context": "https://schema.org", The benefit duration in a long-term care policy states how long benefits will be paid to an insured, and the benefit amount may be stated either as a daily or monthly amount. Moreover, many observers believed that the extremely high interest rates and generally tight credit, which resulted from the Federal Reserve Systems attempts to curb the inflation rate, would lead to a recession, which, in turn, would lead to a decline in inflation and interest rates. "name": "Whats the test like? endstream endobj 140 0 obj <>stream "@type": "Answer", Our comprehensive study guide has been researched by a team of professionals with years of experience helping educators prepare for exams just like this one.