MN LIFE ACCIDENT & HEALTH PRODUCER EXAM Latest Update 2024-2025 Actual Exam 160 Questions and 100% Verified Correct Answers Guaranteed A+
1935 Agent Disclosure Law - CORRECT ANSWER: - producers name
- insurance company
- intent to sell business
30 day free look period - CORRECT ANSWER: only for replacement polices
401 (K) Plans - CORRECT ANSWER: - for profit organizations
- pre tax basis contributions
- tax deferred interest & return on investments
- taxed as income withdrawals
- contributions made by employer are voluntary, employees can contribute
403 (b) plans - CORRECT ANSWER: - non profit organizations
- pre tax basis contributions
- tax deferred interest & return on investments
- taxed as income withdrawals
- contributions made by employer are voluntary, employees can contribute
absolute assignment - CORRECT ANSWER: used to permanently transfer ownership of
the policy to another
Accelerated Death Benefit/ Living Benefits Rider - CORRECT ANSWER: if the insured is diagnosed w/ a terminal illness, the insurer pays a % of the death benefit while insured is still alive 1 / 3
- death benefit will be reduced by the amt. paid before death
Accidental death & dismemberment (AD &D) Limited coverage - CORRECT ANSWER:
Principal sum: the amount paid when the insured dies an accidental death
Capital sum: the amount paid when the insured suffers an accidental dismember-ship.
Accidental death rider/ Multiple indemnity rider - CORRECT ANSWER: - if insured dies bc of accident, the insurance co will pay the beneficiary an additional death benefit
- Additional benefit if cause of death is accidental/ dead 90 days from accident
- expires around age 65
ADL'S - CORRECT ANSWER: Bathing, dressing, eating, tilting, transferring, continence
administrative action taken against producers by another gov agency - CORRECT
ANSWER: notification within 30 days of the final deposition
Adverse selection - CORRECT ANSWER: those with high risk situations attempt to
purchase insurance before those with average or below- avg. risk
annually renewable (term insurance) - CORRECT ANSWER: - term insurance sets the
term of coverage as one year -may renew every year w/o evidence of insurability
- higher upon renewal
death benefit decreases
Annuity payment options - CORRECT ANSWER: period certain, fixed dollar, pure life income, join life income, joint & survivor life income
apparent authority - CORRECT ANSWER: powers NOT given by the agency
agreement, but that a reasonable person would presume the agent has
- / 3
Assignment clause - CORRECT ANSWER: allows the policy owner to designate a new
owner by filing an appropriate form with the company, then the assignee becomes new policy owner
Automatic premium loans - CORRECT ANSWER: -allows insurance company to deduct
unpaid premiums from policies cash value if they have not been received by the end of the grace period
Aviation exclusions` - CORRECT ANSWER: - if private pilot, death benefit won't be paid if died in an aviation accident
bailout provision - CORRECT ANSWER: allows the owner of the annuity to surrender the annuity without surrender charges if the current interest rate drops below a certain level
Boycott, coercion & intimidation - CORRECT ANSWER: any act of these listed that result in an unreasonable restraint of trade
Certificate of Insurance - CORRECT ANSWER: - used after policy is issued
- contains summary of policy coverage & limits
- required in loan transactions and other matters
change of address - CORRECT ANSWER: 10 days of name or address to notify
commissioner
Children Term rider - CORRECT ANSWER: Allows children of insured to be added to
coverage
- level term insurance
COBRA - CORRECT ANSWER: - Employees who lose their jobs
- can reside under policy for 18 month
- by paying 102% of the actual group rate
- / 3