Docsity
Docsity

Prepare for your exams
Prepare for your exams

Study with the several resources on Docsity


Earn points to download
Earn points to download

Earn points by helping other students or get them with a premium plan


Guidelines and tips
Guidelines and tips

MN Life and Health Insurance Exam: Questions and Answers, Exams of Insurance Economics

A comprehensive set of questions and answers for the minnesota life and health insurance exam. it covers various aspects of insurance regulations, including policy retention periods, premium refunds, consumer rights, and specific requirements for life, health, medicare, and long-term care insurance. The q&a format is ideal for exam preparation and knowledge reinforcement.

Typology: Exams

2024/2025

Available from 05/08/2025

Shantelle
Shantelle ๐Ÿ‡บ๐Ÿ‡ธ

5

(2)

3K documents

1 / 37

Toggle sidebar

This page cannot be seen from the preview

Don't miss anything!

bg1
MN Life and Health Insurance Exam
Producer financial and compliant records must be kept on file for ____
years. -Correct Answer โœ” โœ” 6 years.
Premium refunds must be sent to insured within _____ days of the
producer receipt from the insurer. -Correct Answer โœ” โœ” 5 days
Insurers: Policy forms, applications, and advertising must be retained
for ____ years after the effective date. -Correct Answer โœ” โœ” 3
years
Insurers: Claim records must be retained for ____ years after the
claim is paid or denied -Correct Answer โœ” โœ” 3 years
Insurers: must refund unearned premium to the insured within _____
days. -Correct Answer โœ” โœ” 30 days
Oral binders must be put into writing to the insured within _____
business days. -Correct Answer โœ” โœ” 5 days
pf3
pf4
pf5
pf8
pf9
pfa
pfd
pfe
pff
pf12
pf13
pf14
pf15
pf16
pf17
pf18
pf19
pf1a
pf1b
pf1c
pf1d
pf1e
pf1f
pf20
pf21
pf22
pf23
pf24
pf25

Partial preview of the text

Download MN Life and Health Insurance Exam: Questions and Answers and more Exams Insurance Economics in PDF only on Docsity!

MN Life and Health Insurance Exam

Producer financial and compliant records must be kept on file for ____ years. -Correct Answer โœ” โœ” 6 years.

Premium refunds must be sent to insured within _____ days of the producer receipt from the insurer. -Correct Answer โœ” โœ” 5 days

Insurers: Policy forms, applications, and advertising must be retained for ____ years after the effective date. -Correct Answer โœ” โœ” 3 years

Insurers: Claim records must be retained for ____ years after the claim is paid or denied -Correct Answer โœ” โœ” 3 years

Insurers: must refund unearned premium to the insured within _____ days. -Correct Answer โœ” โœ” 30 days

Oral binders must be put into writing to the insured within _____ business days. -Correct Answer โœ” โœ” 5 days

The applicant has the right to challenge any erroneous information contained in the consumer report within ____ days -Correct Answer โœ” โœ” 30 days

Adverse information remains in a credit report for ____ years. Bankruptcy information remains in the credit report for ____ years. - Correct Answer โœ” โœ” 7 years, 10 years.

Free-look for life insurance -Correct Answer โœ” โœ” 10 days

Free look for life insurance replacements -Correct Answer โœ” โœ” 30 days

Individual life insurance policy grace period -Correct Answer โœ” โœ” 1 month

A life policy may be backdated up to ___ months before the application date. -Correct Answer โœ” โœ” 6 months

Former employees may continue coverage for up to ___ months after termination. -Correct Answer โœ” โœ” 18 months

To continue coverage for a child with disabilities, proof of the incapacity and dependency must be furnished to the insurer within ____ days of the child reaching the policies limiting age. -Correct Answer โœ” โœ” 31 days.

Medicare: The policy must cover a preexisting condition during the first _____ months of coverage if the insured was not diagnosed or treated for the particular condition during the ______ days immediately preceding the effective date of coverage. -Correct Answer โœ” โœ” 6 months, 90 days

Free-look for Medicare supplements -Correct Answer โœ” โœ” 30 days

Medicare: Renewal provision must be _________ or better (non- cancelable) -Correct Answer โœ” โœ” guaranteed renewable

"Guide to health insurance for people with medicare" must be given at time of _____ -Correct Answer โœ” โœ” Application

"Open enrollment" within _______ of enrolling in Medicare part B, and aging of 65 or older -Correct Answer โœ” โœ” 6 months

Penalty for violating medicare supplement laws -Correct Answer โœ” โœ” $5,

LTC: Policy holder must cover preexisting conditions during the first ______ months of coverage if the insured was not diagnosed or treated for the particular condition during the _______ days immediately preceding the effective date of coverage. -Correct Answer โœ” โœ” 6 months, 90 days

LTC: Renewal provision must be _______ or better (Non-cancelable) - Correct Answer โœ” โœ” Guaranteed renewable

"Shoppers guide to LTC" must be given BEFORE taking the _______ - Correct Answer โœ” โœ” Application

LTC: coverage may include a waiting (elimination period) of up to _____ days -Correct Answer โœ” โœ” 180 days

Penalty for violating long-term care insurance laws. -Correct Answer โœ” โœ” $10,

An HMO evidence of coverage myst be issued within _____ days of the effective date -Correct Answer โœ” โœ” 15 days

HMO must offer an annual open enrollment period of at least_____ days -Correct Answer โœ” โœ” 14 days

HMO premium grace period -Correct Answer โœ” โœ” 31 days

Free-look for individual HMO contracts -Correct Answer โœ” โœ” 10 days

Any health service plan corporation that violates any applicable law is subject to a civil penalty of no more than $______ per violation - Correct Answer โœ” โœ” $5,

Employee means an individual employed for at least _____ hours a week, but does not include individuals who work on a temporary, seasonal, or substitute basis. -Correct Answer โœ” โœ” 20 hours

Number of employees to qualify as a small business -Correct Answer โœ” โœ” 1 to 50

The commissioner may suspend or revoke a health carrier's license and impose a momentary penalty not to exceed $_______ for each violation of statute. -Correct Answer โœ” โœ” $25,

The commissioner examines each insurer every ___ Years. -Correct Answer โœ” โœ” 5 years

$____ fine per day if a person violates, aids, or abets a written cease and desist order -Correct Answer โœ” โœ” $10,

License fee may request a hearing within ____ days of commissioners order. After hearing request, Commissioner has ____ days to hold the hearing. -Correct Answer โœ” โœ” 30 Days, 30 days

All accident and health insurance policies must be filed with the commissioner at least ____ days prior to use -Correct Answer โœ” โœ” 60 days

License periods after the first licensing period are___ years -Correct Answer โœ” โœ” 2 years

A temporary insurance producer license may be issued for up to ___ days -Correct Answer โœ” โœ” 180 days

A licensee's time to notify the commissioner of address change is ___ days -Correct Answer โœ” โœ” 10 days

A license is suspended for any period of time no less than ___ months -Correct Answer โœ” โœ” 3 months`

A person who's license is revoked can reapply after ___ years. The producer must obtain a performance bond of at least _____ -Correct Answer โœ” โœ” 2 years, $20,

Commissioner may fine a producer up to ___ per violation -Correct Answer โœ” โœ” $10,

The insurer must fine notice of appointment within ___ days of first sale by the producer. -Correct Answer โœ” โœ” 15 days

An insurer that terminates an appointment must notify the commissioner within _____ days -Correct Answer โœ” โœ” 30 days

Within ____ days, the insurer must send written notice of the termination to the producer. -Correct Answer โœ” โœ” 15 days

Within ___ days after receiving notice of termination, the producer may file written comments concerning the termination with the commissioner -Correct Answer โœ” โœ” 30 days

The penalty for failing to appoint a producer is $____ per offense, and up to $____ maximum per unappointed producer -Correct Answer โœ” โœ” $25, $

The producer must notify the commissioner of any administrative action taken or criminal prosecution against the producer within ____ days -Correct Answer โœ” โœ” 30 days

A health carrier electing to cease doing business in the small employer market much notify the commissioner and each covered a small employer ____ days in advance. -Correct Answer โœ” โœ” 180 days

The health carrier cannot with a new business in the Minnesota small employer market for _____ years from the date of notification to the commissioner. -Correct Answer โœ” โœ” 5 years.

Exposure -Correct Answer โœ” โœ” Susceptibility to loss

Straight Deductible -Correct Answer โœ” โœ” Insured pays a certain amount of loss before insurer is required to make a payment.

Aggregate Deductible -Correct Answer โœ” โœ” Insured pays for all the losses until they exceed a certain amount.

Corridor Deductible -Correct Answer โœ” โœ” Applied between basic coverage and major medical coverage - bridges the gap.

Franchise Deductible -Correct Answer โœ” โœ” Requires insurer pay for an entire loss if the loss exceeds a certain dollar amount. Used with disability income policies and long term care.

Elimination Period Deductible -Correct Answer โœ” โœ” Used with disability income policies and long -term care.

Indemnity -Correct Answer โœ” โœ” Restoring insured to same financial position they were in before loss. Common exceptions include replacement cost (full value w/o depreciation), Valued policy (face amount of total loss regardless of actual cash value) and Pro- ratability (insurer will pay proportional share of the loss.)

Primary and Excess Indemnity -Correct Answer โœ” โœ” Primary insurer pays first, then once exhausted the excess insurer pays.

Coordination fo Benefits -Correct Answer โœ” โœ” When more than one group health insurance policy covers the same loss.

event of loss, insured promises to pay premiums and have truthful representations.

Unilateral Contract -Correct Answer โœ” โœ” Only one party makes a legally enforceable promise.

Contract of Adhesion -Correct Answer โœ” โœ” Insured must accept contract as is.

Aleatory Contract -Correct Answer โœ” โœ” An unequal value is exchanged between the parties.

Conditional Contract -Correct Answer โœ” โœ” Contract may be voided if polity conditions aren't met.

Property and Casualty Declarations -Correct Answer โœ” โœ” -Period coverage

-Policy limits

-Premium

Life and Health Declarations -Correct Answer โœ” โœ” -Parties of contract

-Policy limit

-Age of unaired at issuance date.

Insuring agreement -Correct Answer โœ” โœ” Named Peril: Policy only overs specifically listed perils

Open Peril: Policies cover all losses except those listed

Conditions -Correct Answer โœ” โœ” Duties and responsibilities of the insured and insurer

Endorsements -Correct Answer โœ” โœ” Modifications to a property or casualty policy must be in writing & are attached to the insurance

Riders -Correct Answer โœ” โœ” Modifications to life and health policy that must be in writing and attached to the policy.

  • Require Reports

Who must be licensed? -Correct Answer โœ” โœ” - Producers

  • Insurance companies
  • Managing general agent

Express Authority -Correct Answer โœ” โœ” Powers given to the agent per agency agreement

Implied Authority -Correct Answer โœ” โœ” Authority not given in the agency agreement, but necessary to complete functions allowed in the agency agreement.

1935 Agent Disclosure Law -Correct Answer โœ” โœ” Requires that producers tell potential clients

-Name

-Insurance Company

-and Intent to sell insurance

Fair Credit Reporting Act -Correct Answer โœ” โœ” When a credit report is ordered, applicant must be notified both verbally and in writing. Applicant has a right to request a copy of the report. Applicant has a right to challenge any of the info.

Gramm-Leach-Bliley Act -Correct Answer โœ” โœ” Companies to disclose their privacy policy and how a customers personal info may be used.

Required Conduct of agents -Correct Answer โœ” โœ” Producers may accept loans from clients, in writing, all records must be kept for at least 6 years after.

Decreasing Term -Correct Answer โœ” โœ” Premium remains level during the term, but death benefit decreases with time. (Like a mortgage)

Increasing Term -Correct Answer โœ” โœ” Death benefit AND premium increase over the term of coverage