Texas life and health insurance practice test

Exactly one answer is correct.

• Ais guaranteed renewable to age 65
• Bcan be canceled by the insurer at any time with notice and the unearned premium returned
• Ccannot have premiums increased
• Dcan be canceled only for nonpayment, once the underwriting file is complete, as determined by the insurer's own guidelines

Exactly one answer is correct.

• Aa federal program that provides coverage to everyone over age 65, as agreed between the agent and the insurer
• Ba joint federal and state program that pays for medical care for people with low income and limited assets
• Cinsurance that covers only prescription drugs
• Da private plan sold by insurers to people with disabilities

Exactly one answer is correct.

• Aa license from the Texas Medical Board
• Bapproval from the county health department, after a review by the home office
• Ca certificate of authority from the Texas Department of Insurance
• Da charter from the Secretary of State only

Exactly one answer is correct.

• Acharging higher premiums for smokers than for nonsmokers, unless the applicant requests otherwise in writing
• Bvarying rates by age
• Ctreating people of the same class and risk differently in premiums or benefits
• Ddeclining coverage to a person who fails a medical exam

Exactly one answer is correct.

• AThe new policy always has a lower premium
• BThe insurer must pay a commission to the old agent
• CThe old policy cannot be reinstated under any circumstances, as determined by the insurer's own guidelines
• DA new contestable and suicide period begins on the replacement policy

Exactly one answer is correct.

• AOrdinary whole life
• BMortgage protection (decreasing) term
• CAnnually renewable term, as determined by the insurer's own guidelines
• DSingle premium annuity

Exactly one answer is correct.

• Aany injury or illness, whether or not related to work, unless the applicant requests otherwise in writing
• Boccupational injuries and illnesses that arise out of and in the course of employment
• Cinjuries to the employer only
• Donly injuries that occur off the job

Exactly one answer is correct.

• Athe insured is a civilian living in an area where a war breaks out, depending on the class of risk involved
• Bthe insured pays the premium late during the war period
• Cthe policy has been in force for more than five years
• Dthe death results from an act of war, whether declared or not, while the insured is in the service

Exactly one answer is correct.

• A19, as agreed between the agent and the insurer
• B21
• C26
• D30

Exactly one answer is correct.

• Aone year from the date of issue, with an exception for fraud
• Bthree years from the date of the first premium, with no exceptions, as agreed between the agent and the insurer
• Cfive years from the date of issue, unless the insured dies
• Dtwo years from the date of issue, except for nonpayment of premium