Question: when a medicare supplement policy is replaced, the policy owner will have a free look period of_____

1. 20

2. 2. 25

3. 3. 30

4. 4.35

5. Answer: 30

6. Question: Loans obtained by a policyowner against the cash value of a life insurance policy

7. 1. are treated as taxable income

8. 2. would not be treated as taxable income

9. 3. are limited by the face amount of the policy

10. 4. would be subject to a Federal estate tax

11. Answer: 2. would not be treated as taxable income

12. Question: insurance agent kelly offers a prospect a $1,000 shopping card if an insurance policy is purchased through her. What illegal activity is this an example of ?

13. 1. defamation

14. 2. twisting

15. 3. rebating

16. 4. coercion

17. Answer: 3. rebating

18. Question: which of these is NOT subject to income under MEC?

19. 1. loan against the cash value

20. 2. policy withdrawal

21. 3. policy dividend

22. 4. death benefit

23. Answer: 4. death benefit

24. Question: Which clause defines total disability as being unable to perform the major duties of the insured’s regular occupation?

25. 1. own occupation clause

26. 2. residual clause

27. 3. presumptive clause

28. Answer: 1. own occupation clause

29. Question: how are contributions made to a Roth IRA handled for tax purposes?

30. 1. fully tax deductible

31. 2. not tax deductible

32. 3. partially tax deductible

33. 4. conditionally tax deductible

34. Answer: 2. not tax deductible

35. Question: tom has a home health care benefit and is confined to his home. which of these benefits is NOT typically covered?

36. 1. part-time nursing care

37. 2. full time nursing care

38. 3. physical therapy

39. 4. home health aides.

40. Answer: 2. full time nursing care

41. Question: which of the following is NOT taken into consideration when determining eligibility for Medicare benefits?

42. 1. chronic kidney disease

43. 2. income

44. 3. age

45. 4. social security disability

46. Answer: 2. income

47. Question: In an insurance contract, the insurer is the only party legally obligated to perform. because of this, an insurance contract is considered?

48. 1. voidable

49. 2. conditional

50. 3 aleatory

51. 4. Unilateral

52. Answer: 4. Unilateral

53. Question: which settlement option pays a stated amount to an annuitant, but no residual value to a beneficiary?

54. 1. fixed period

55. 2. interest only

56. 3. installment refund

57. 4. life income

58. Answer: 4. life income