insurance test

100問 • 2年前

問題一覧

Variable annuities may invest premium in each of the following, EXCEPT:

insurers corporate business account

T, age 70, withdraws cash from a profit-sharing plan and purchases a Straight Life Annuity. What will this transaction provide?

income that cannot be outlined by the owner

The type of annuity that must be purchased with one monetary deposit is called a(n):

immediate annuity

Which of the following is NOT included in an annuity contract?

AD&D rider

T purchased a $100,000 single premium, straight life annuity 5 years ago. He has received monthly payments since the inception of the annuity. If T dies, the insurance company:

Does not have to make any further payments

The payments on Q’s annuity are not less than $250 quarterly. Which of the following annuities does Q own?

flexible installment deferred

A(n) _______ annuity pays benefits based on units rather than stated dollar amounts

variable

A contract owner terminates an annuity before the income payment period begins. The owner will then receive:

the current contract surrender value

An individual who purchases a life annuity is given protection against:

the risk of living longer than expected

How does an indexed annuity differ from a fixed amount?

indexed annuity owners may receive credited interest tied to the fluctuations of the linked index

Which of these is an element of a single premium annuity?

lump-sum payment

The type of annuity that must be purchased with one monetary deposit is called a(n):

immediate annuity

A variable annuity has which fo the following characteristics?

underlying equity investments

W is a 39 year old female who just purchased an annuity to provide income for life starting at age 60. All of these would be acceptable annuity choices, EXCEPT a(n):

immediate annuity

T has an annuity that guarantees an income payment for the rest of his life. The contract also guarantees, that if T dies before receiving payments for 20 years, the remaining pay ends will be paid for his son for the balance of the 20 years. What type of annuity is this?

life annuity with period certian

P, age 50, purchased an annuity that P will fund $500/month for 15 years. The annuity will then pay P retirement payments after 15 years. Which type of annuity did P purchase?

deferred

The annuity that represents the largest possible monthly payment to an individual annuitant is a(n):

straight life annuity

All of these are considered to be a benefit under Social Security, EXCEPT for:

unemployment

What determines the full amount of Social Security retirement benefits aa qualified individual is entitled to receive?

primary insurance amount (PIA)

Which of the following does Social Secuirty NOT provide benefits for?

dismemberment

One becomes eligible for Social Security disability benefits after having been disabled for:

5 months

Which of these is NOT a source of funding for Social Security benefits?

federal government

The amount of monthly disability benefits payable under Social Security is affected by which of the following factors?

amount of benefits available from other sources

To be eligible for Social Security disability benefits, an employee must be unable to perform:

any occupation

What is Old Age and Survivors Health Insurance (OASDHI) also known as?

Social Security

Q is severely injured in an automobile accident and becomes totally disabled. How many months must Q be disabled before being able to file for Social Security disability benefits?

Traditional individual retirement annuity (IRA) distributions must start by:

April 1st of the year following the participant attains age 70 1/2

What is the excise tax rate the IRS imposes on individuals aged 70 1/2 or older who does not take the required minimum distributions from their qualified retirement plans?

50%

In an individual retirement account (IRA), rollover contributions are:

not limited by dollar amount

Which tax would an IRA participant be subjected to on distributions received prior to age 59 1/2?

ordinary income tax and a 10% tax penalty for early withdrawl

An employee requested that the balance of her 401(k) account be sent directly to her in one lump sum. Upon receipt of the distribution, she immediately has the funds rolled over into an IRA. What is the tax consequence of the distribution sent to this employee?

distribution is subject to federal income tax withholding

How long does an individual have to “roll over” funds from an IRA or qualified plan?

60 days

Rick recently died and left behind an individual IRA account in his name. His widow was forwarded the balance of the IRA. The widow qualifies for the:

marital deduction

What is the minimum number of employees (earning at least $5,000) tha an employer can have in order to start a SIMPLE retirement plan?

100

An individual participant personally received eligible rollover funds from a profit-sharing plan. What is the income tax withholding requirements for this transaction?

20% is withheld for income taxes

What does a 401(k) plan generally provide its participants?

salary-deferral contributions

Post-tax dollar contributions are found in:

Roth IRA investments

Tom has a qualified retirement plan with is employer that is currently considered to be 80% “vested”. How can this be interpreted?

if tom’s employment is terminated, 20% of the funds will be forfeited?

An individual working part-time has an annual income of $25,000. If this individual has an IRA, what is the maximum deductible IRA contribution allowable?

$6,000

Which of the following is TRUE if the owner of an IRA names their spouse as beneficiary, but then dies before any distributions are made?

the account can be rolled into the surviving spouses IRA

Which of the following is TRUE about a qualified retirement that is “top heavy”?

more than 60% of plan assets are in key employee accounts

How are Roth IRA distributions normally taxed?

distributions are received as tax-free

An IRA owner can start making withdrawals and NOT be subjected to a tax penalty beginning at what age?

59 1/2

Which product would best serve a retired individual looking to invest a lump-sum of money through an insurance company?

annuity

Which of these retirement plans can be started by an employee, even if another plan is in existence?

Individual Retirement Account (IRA)

A qualified profit-sharing plan is designed to:

allow employees to participate in the profits of the company

A 55 year old recently received a $30,000 distribution from a previous employer’s 401k plan, minus $6,000 withholding. Which federal taxes apply if none of the funds were rolled over?

income taxes plus a 10% penalty tax on $30,000

Which of these is NOT a reason for purchasing life insurnace on the life of a minor?

if both parents were to die, if would provide death benefits to the child

Which of these factors does NOT influence an applicants need for life insurance?

self-maintenance expenses

Company Z has a Cross Purchasing Buy-Sell Agreement in plane among its three founding partners. If the agreement is funded with individual life insurance, what would it require?

each partner must own a policy on the other partners

The premiums paid by an employer for his employees group life insurance are usually considered to be:

tax deductible to the employer

A Key Employee policy is taken out by Comapny X on its Vice President. Ten years later, this employee leaves Company X and begins working for Company Y. If this individual were to die and the policy is still in force and unchanged, where would the death proceeds be directed?

company X

K is an insured under a life insurance policy owned by a 3rd party. Which of these statements is true?

k has no ownership rights

Which type of plan allows an employer to give money to an employee for buying a life insurance policy and also permits the employee to select the beneficiary?

split-dollar plan

Which of these is NOT considered to be a cost connected with an individuals death?

business expenses

What is considered a valid reason for small businesses to insure the lives of its major shareholders?

fund a buy-sell agreement

Which statement regarding a Key Employee Life policy is NOT true?

the beneficiary is named by the key employee

Which of these is NOT relevant when determining the amount of personal life insurance needed?

local unemployment rate

Which of these is NOT a reason for a business to buy key person life insurance?

a pension deficiency if the key employee dies

Three law partners from a Cross-Purchase Buy and Sell agreement. The agreement is funded with individual life insurance. How may total life policies are needed for this agreement?

Which statement regarding third-party ownership of a life insurance policy is true?

it is used extensively in estate-planning as well as business circumstances

Which of these is NOT a reason for a business to buy key person life insurance?

a pension in deficiency if the key employee dies

Two partners own equal share in a business worth a total of $1,000,000. If they both commit to the purchase of a life insurance policy that will fund a Buy-Sell Agreement, which of the following is TRUE?

each partner owns a $500,000 policy on their partners life

In a Key Employee life insurance policy, the third-party owner can be all for the following, EXCEPT:

Insured

When an individual is planning to protect his family with life insurance, one method of doing so is called needs analysis. What exactly does needs analysis involve?

establish the needs of the individual and his dependents

The Consolidated Omnibus Budget Reconciliation Act (COBRA) gives workers (and their families) whose employment has been terminated the right to:

continue group health benefits

G is an accountant who has ten employees and is concerned about how the business would survive financially if G became disabled. The type of policy which BEST addresses this concern is:

Business Overhead Expense

On an Accidental Death and Dismemberment (AD&D) insurance policy’s who is qualified to change the beneficiary designation

policy owner

The reason for a bysiness having a Business Overhead Expense Disability Plan is:

fixed business expenses

Accidental Dedath coverage is provided to commercial airline passengers in which of the following types of policies?

blanket accident policy

A policyowner’s rights are limited under which beneficiary designation?

irrevocable

How does group insurance differ from individual insurance?

premiums are lower

Which contract permits the remaining partners to buy-out the interest of a disabled business partner?

disability buy-sell

A Buisness Overhead Expense policy would cover which of the following if a business owner becomes disabled?

utilities and office rent

A Buisness Overhead Expense policy:

covers business expenses such as rent and utilities

An insured covered by Accidentla Death and Dismemberment (AD&D) insurance has just died. What will happen if the primary beneficiary had already died before hte insured and contingent beneficiary?

proceeds will go to the contingent beneficiary

The difference between group insurance and blanket health policies is:

blanket health policies do not issue certificates

Which type of policy pays benefits to a policyholder covered under a Hospital Expense policy?

reimbursement

T is covered by two health insurance plans: a group plan through his employer and his spouses plan as a dependent. Under the Model Group Coordination of Benefits provision, when T files a claim, his employer’s plan is considered the:

primary carrier

The Health Insurance Portability and Accountability Act (HIPAA) gives privacy protection for:

heatlh information

A Business Disability Buyout plan policy is designed:

to pay benefits for the Corporation or other shareholders

Which statement is true regarding a minor beneficiary?

normally, a guardian is required to be appointed in the Beneficiary clause of the contract

Group/voluntary long-term care policy premiums are typically deducted from the employees income and,

are less costly as compared to individual long term care coverage

Which of the following claims are typically excluded from Medical expense policies?

intentionally self-inflicted injuries

When an employee is required to pay a portion of the premium for an employer/employee group health plan, the employee is covered under which of the following plans?

contributory

A policy owner would like to change the beneficiary on an Accinetla Death & Dismemberment insurance policy and make the change permanent. Which type of designation would fulfill this need?

irrevocable

All of the following statements regarding group health insurance is true, EXCEPT:

an individual policy is given to each member

A 66 year old is covered under a group health plan while employee with a business that has 40 employees. If she injures herself while walking in the park, what coverage would be considered primary?

her group health plan

Under what system do a group of doctors and hospitals in a designated area contract with an insurer to provide services at a prearranged cost to the insured?

PPO

Medicare Part A and Part B do NOT pay for:

dental care

The percentage of an individuals Primary Insurance Amount (PIA) determines the benefits paid in which of the following programs?

Social Security Disability Income

Which of the following organizations would make reimbursement payments directly to the insured individual for covered medical expenditures?

Commercial insurer

Which of these statements is INCORRECT regarding a Preferred Provider Organizaiton (PPO)?

PPO’s are NOT a type of managed care systems

Which of these is considered a true statement regarding Medicaid?

Funded by both state and federal governements

The individual who provides general Medicare for a patient as well as the referral for specialized care is known as a:

primary care physician

The heatlh isnurance program which is administered by each state and funded by both federal and state governments is called:

medicaid

Medicare is intended for all of the following groups, EXCEPT:

those enrolled as a full-time student

Which of the following BEST describes how a Preferred Provider Organization (PPO) is less restrictive than a Health Maintenance Organizaiton (HMO)?

more physicians to choose from

Which of the following types of organizations are prepaid group health plans, where members pay in advance for the services of participating physicians and hospitals that have agreements?

HMO

100

J is a subscriber to a plan which contracts with doctors and hospitals to provide medical benefits at a predetermined price. Which type of plan does J belong to?

HMO

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問題一覧

Variable annuities may invest premium in each of the following, EXCEPT:

insurers corporate business account

T, age 70, withdraws cash from a profit-sharing plan and purchases a Straight Life Annuity. What will this transaction provide?

income that cannot be outlined by the owner

The type of annuity that must be purchased with one monetary deposit is called a(n):

immediate annuity

Which of the following is NOT included in an annuity contract?

AD&D rider

T purchased a $100,000 single premium, straight life annuity 5 years ago. He has received monthly payments since the inception of the annuity. If T dies, the insurance company:

Does not have to make any further payments

The payments on Q’s annuity are not less than $250 quarterly. Which of the following annuities does Q own?

flexible installment deferred

A(n) _______ annuity pays benefits based on units rather than stated dollar amounts

variable

A contract owner terminates an annuity before the income payment period begins. The owner will then receive:

the current contract surrender value

An individual who purchases a life annuity is given protection against:

the risk of living longer than expected

How does an indexed annuity differ from a fixed amount?

indexed annuity owners may receive credited interest tied to the fluctuations of the linked index

Which of these is an element of a single premium annuity?

lump-sum payment

The type of annuity that must be purchased with one monetary deposit is called a(n):

immediate annuity

A variable annuity has which fo the following characteristics?

underlying equity investments

W is a 39 year old female who just purchased an annuity to provide income for life starting at age 60. All of these would be acceptable annuity choices, EXCEPT a(n):

immediate annuity

life annuity with period certian

P, age 50, purchased an annuity that P will fund $500/month for 15 years. The annuity will then pay P retirement payments after 15 years. Which type of annuity did P purchase?

deferred

The annuity that represents the largest possible monthly payment to an individual annuitant is a(n):

straight life annuity

All of these are considered to be a benefit under Social Security, EXCEPT for:

unemployment

What determines the full amount of Social Security retirement benefits aa qualified individual is entitled to receive?

primary insurance amount (PIA)

Which of the following does Social Secuirty NOT provide benefits for?

dismemberment

One becomes eligible for Social Security disability benefits after having been disabled for:

5 months

Which of these is NOT a source of funding for Social Security benefits?

federal government

The amount of monthly disability benefits payable under Social Security is affected by which of the following factors?

amount of benefits available from other sources

To be eligible for Social Security disability benefits, an employee must be unable to perform:

any occupation

What is Old Age and Survivors Health Insurance (OASDHI) also known as?

Social Security

Q is severely injured in an automobile accident and becomes totally disabled. How many months must Q be disabled before being able to file for Social Security disability benefits?

Traditional individual retirement annuity (IRA) distributions must start by:

April 1st of the year following the participant attains age 70 1/2

What is the excise tax rate the IRS imposes on individuals aged 70 1/2 or older who does not take the required minimum distributions from their qualified retirement plans?

50%

In an individual retirement account (IRA), rollover contributions are:

not limited by dollar amount

Which tax would an IRA participant be subjected to on distributions received prior to age 59 1/2?

ordinary income tax and a 10% tax penalty for early withdrawl

distribution is subject to federal income tax withholding

How long does an individual have to “roll over” funds from an IRA or qualified plan?

60 days

Rick recently died and left behind an individual IRA account in his name. His widow was forwarded the balance of the IRA. The widow qualifies for the:

marital deduction

What is the minimum number of employees (earning at least $5,000) tha an employer can have in order to start a SIMPLE retirement plan?

100

An individual participant personally received eligible rollover funds from a profit-sharing plan. What is the income tax withholding requirements for this transaction?

20% is withheld for income taxes

What does a 401(k) plan generally provide its participants?

salary-deferral contributions

Post-tax dollar contributions are found in:

Roth IRA investments

Tom has a qualified retirement plan with is employer that is currently considered to be 80% “vested”. How can this be interpreted?

if tom’s employment is terminated, 20% of the funds will be forfeited?

An individual working part-time has an annual income of $25,000. If this individual has an IRA, what is the maximum deductible IRA contribution allowable?

$6,000

Which of the following is TRUE if the owner of an IRA names their spouse as beneficiary, but then dies before any distributions are made?

the account can be rolled into the surviving spouses IRA

Which of the following is TRUE about a qualified retirement that is “top heavy”?

more than 60% of plan assets are in key employee accounts

How are Roth IRA distributions normally taxed?

distributions are received as tax-free

An IRA owner can start making withdrawals and NOT be subjected to a tax penalty beginning at what age?

59 1/2

Which product would best serve a retired individual looking to invest a lump-sum of money through an insurance company?

annuity

Which of these retirement plans can be started by an employee, even if another plan is in existence?

Individual Retirement Account (IRA)

A qualified profit-sharing plan is designed to:

allow employees to participate in the profits of the company

A 55 year old recently received a $30,000 distribution from a previous employer’s 401k plan, minus $6,000 withholding. Which federal taxes apply if none of the funds were rolled over?

income taxes plus a 10% penalty tax on $30,000

Which of these is NOT a reason for purchasing life insurnace on the life of a minor?

if both parents were to die, if would provide death benefits to the child

Which of these factors does NOT influence an applicants need for life insurance?

self-maintenance expenses

Company Z has a Cross Purchasing Buy-Sell Agreement in plane among its three founding partners. If the agreement is funded with individual life insurance, what would it require?

each partner must own a policy on the other partners

The premiums paid by an employer for his employees group life insurance are usually considered to be:

tax deductible to the employer

company X

K is an insured under a life insurance policy owned by a 3rd party. Which of these statements is true?

k has no ownership rights

Which type of plan allows an employer to give money to an employee for buying a life insurance policy and also permits the employee to select the beneficiary?

split-dollar plan

Which of these is NOT considered to be a cost connected with an individuals death?

business expenses

What is considered a valid reason for small businesses to insure the lives of its major shareholders?

fund a buy-sell agreement

Which statement regarding a Key Employee Life policy is NOT true?

the beneficiary is named by the key employee

Which of these is NOT relevant when determining the amount of personal life insurance needed?

local unemployment rate

Which of these is NOT a reason for a business to buy key person life insurance?

a pension deficiency if the key employee dies

Three law partners from a Cross-Purchase Buy and Sell agreement. The agreement is funded with individual life insurance. How may total life policies are needed for this agreement?

Which statement regarding third-party ownership of a life insurance policy is true?

it is used extensively in estate-planning as well as business circumstances

Which of these is NOT a reason for a business to buy key person life insurance?

a pension in deficiency if the key employee dies

each partner owns a $500,000 policy on their partners life

In a Key Employee life insurance policy, the third-party owner can be all for the following, EXCEPT:

Insured

When an individual is planning to protect his family with life insurance, one method of doing so is called needs analysis. What exactly does needs analysis involve?

establish the needs of the individual and his dependents

The Consolidated Omnibus Budget Reconciliation Act (COBRA) gives workers (and their families) whose employment has been terminated the right to:

continue group health benefits

G is an accountant who has ten employees and is concerned about how the business would survive financially if G became disabled. The type of policy which BEST addresses this concern is:

Business Overhead Expense

On an Accidental Death and Dismemberment (AD&D) insurance policy’s who is qualified to change the beneficiary designation

policy owner

The reason for a bysiness having a Business Overhead Expense Disability Plan is:

fixed business expenses

Accidental Dedath coverage is provided to commercial airline passengers in which of the following types of policies?

blanket accident policy

A policyowner’s rights are limited under which beneficiary designation?

irrevocable

How does group insurance differ from individual insurance?

premiums are lower

Which contract permits the remaining partners to buy-out the interest of a disabled business partner?

disability buy-sell

A Buisness Overhead Expense policy would cover which of the following if a business owner becomes disabled?

utilities and office rent

A Buisness Overhead Expense policy:

covers business expenses such as rent and utilities

An insured covered by Accidentla Death and Dismemberment (AD&D) insurance has just died. What will happen if the primary beneficiary had already died before hte insured and contingent beneficiary?

proceeds will go to the contingent beneficiary

The difference between group insurance and blanket health policies is:

blanket health policies do not issue certificates

Which type of policy pays benefits to a policyholder covered under a Hospital Expense policy?

reimbursement

primary carrier

The Health Insurance Portability and Accountability Act (HIPAA) gives privacy protection for:

heatlh information

A Business Disability Buyout plan policy is designed:

to pay benefits for the Corporation or other shareholders

Which statement is true regarding a minor beneficiary?

normally, a guardian is required to be appointed in the Beneficiary clause of the contract

Group/voluntary long-term care policy premiums are typically deducted from the employees income and,

are less costly as compared to individual long term care coverage

Which of the following claims are typically excluded from Medical expense policies?

intentionally self-inflicted injuries

When an employee is required to pay a portion of the premium for an employer/employee group health plan, the employee is covered under which of the following plans?

contributory

A policy owner would like to change the beneficiary on an Accinetla Death & Dismemberment insurance policy and make the change permanent. Which type of designation would fulfill this need?

irrevocable

All of the following statements regarding group health insurance is true, EXCEPT:

an individual policy is given to each member

A 66 year old is covered under a group health plan while employee with a business that has 40 employees. If she injures herself while walking in the park, what coverage would be considered primary?

her group health plan

Under what system do a group of doctors and hospitals in a designated area contract with an insurer to provide services at a prearranged cost to the insured?

PPO

Medicare Part A and Part B do NOT pay for:

dental care

The percentage of an individuals Primary Insurance Amount (PIA) determines the benefits paid in which of the following programs?

Social Security Disability Income

Which of the following organizations would make reimbursement payments directly to the insured individual for covered medical expenditures?

Commercial insurer

Which of these statements is INCORRECT regarding a Preferred Provider Organizaiton (PPO)?

PPO’s are NOT a type of managed care systems

Which of these is considered a true statement regarding Medicaid?

Funded by both state and federal governements

The individual who provides general Medicare for a patient as well as the referral for specialized care is known as a:

primary care physician

The heatlh isnurance program which is administered by each state and funded by both federal and state governments is called:

medicaid

Medicare is intended for all of the following groups, EXCEPT:

those enrolled as a full-time student

Which of the following BEST describes how a Preferred Provider Organization (PPO) is less restrictive than a Health Maintenance Organizaiton (HMO)?

more physicians to choose from

Which of the following types of organizations are prepaid group health plans, where members pay in advance for the services of participating physicians and hospitals that have agreements?

HMO

100

J is a subscriber to a plan which contracts with doctors and hospitals to provide medical benefits at a predetermined price. Which type of plan does J belong to?

HMO