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ARKANSAS HEALTH INSURANCE NEWEST EXAM 2024
-2025 COMPLETE 250 EXAM QUESTIONS AND
CORRECT DETAILED ANSWERS/ GRADED A+
What is Arkansas required grace period for a life insurance contract? - Correct Answer - 31 days
A domestic insurance company in Arkansas MUST: - Correct Answer - Be organized
under Arkansas insurance laws
Which would be considered a possible applicant & contract policyholder for group health benefits? - Correct Answer - Employer
Amy has a group medical policy through her employer with a $500 deductible and a 90% coinsurance provision. She incurs a $1,500 in covered healthcare services. How much will her group insurance carrier pay? - Correct Answer - $1,000
"Maximum benefits" refers to the: - Correct Answer - Upper limit of the total lifetime benefits the insurance company will pay
What does Medicare part D cover? - Correct Answer - Prescription drugs
Which best describes a conditional insurance contract? - Correct Answer - A contract that requires certain conditions or acts by the insured individual
A professional liability for which producers can be sued for mistakes of putting a policy
into effect is called: - Correct Answer - Errors and omissions
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pg. 2 A long-term care policy typically provides all of the following levels of care EXCEPT: - Correct Answer - Acute care
Convincing a prospective insured to buy an insurance policy based on exaggerations is
called: - Correct Answer - Misrepresentation
Maria the producer completes a sale by collecting the required signatures on the application by obtaining the initial premium. After, she deposits the check into her personal checking account. She has committed what crime? - Correct Answer – Fraud
Which is NOT considered to be included in a health benefit plan? - Correct Answer - Hospital Indemnity Plan
The monthly benefit for an individual disability income policy is usually limited to a percentage of the insured's income in order to avoid: - Correct Answer - Over insurance
Which of the following is considered to be a POS plan? - Correct Answer - Managed care plan
A health insurance policy that allows an insurer to change the policy owners premiums, but NOT cancel the policy is called a(n): - Correct Answer - Guaranteed renewal policy
An accident and health insurer has just received written proof of loss from one of its insureds. The insured must now wait 60 days before: - Correct Answer - Bringing legal action against the insurer
Which of the following is NOT a reason for the commissioner to deny or refuse a producer license application? - Correct Answer - Unintentionally misrepresented a material fact on the application
Which of the following is NOT an unfair claim settlement practice? - Correct Answer - Needing written documentation of claim details
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pg. 3 What kind of life insurance policy issued by a mutual insurer provides a return of divisible surplus? - Correct Answer - Participating life insurance policy
Medicare Supplement Insurance is guaranteed issue if the policy effective date is within
______ months of the insured's Medicare Part B: - Correct Answer - 6 months
Ted has a health insurance plan that requires him to pay a specific sum out of pocket before any benefits are paid in a calendar year. Which of these does his health plan have? - Correct Answer - Calendar year deductible
A Medicare Supplement policy must NOT contain benefits which: - Correct Answer - Duplicate Medicare benefits
A healthcare provider claim may be settled using which of the following payment methods? - Correct Answer - Fee-for-service
Who is responsible for assembling the policy forms for insureds? - Correct Answer - Insurance carriers
A hearing must be held before a producer's license can be suspended or revoked. Prior to the hearing, the commissioner is required to: - Correct Answer - Give written notice to the producer
When can a group health policy renewal be denied according to the Health Insurance Portability and Accountability Act (HIPAA)? - Correct Answer - When the contribution or participation rules have been violated
An insurer must furnish to a claimant forms for filing proof of loss within _____ days
upon receiving a notice of claim: - Correct Answer - 15 days
Written notice for a health claim must be given to the insurer ____ days after the
occurrence of the loss: - Correct Answer - 20 days
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