New York Insurance Laws Questions and Answers Rated A

Document Content and Description Below

New York Insurance Laws Questions and Answers Rated A The time limit on certain defenses under individual health policies in New York is: A 20 days B 3 years C 90 days D 2 years ✔✔D 2 y... ears The Superintendent may examine the books and records of any insurer based on the: A Permission of a producer B Authority granted by the state C Authority granted by the Secretary of State D Permission of the insurer ✔✔B Authority granted by the state If a licensee uses an assumed name, the name must be approved by the Superintendent: A Before the licensee may use it to transact insurance in New York B Within 30 days of using the assumed name C Only if they change their legal name D Upon license renewal ✔✔A Before the licensee may use it to transact insurance in New York In New York, basic hospital insurance must provide coverage for any continuous hospital confinement per insured for a period of at least: A 20 days B 30 days C 60 days D 10 days ✔✔C 60 days If two individuals are licensed in the same line with two different companies join together to sell a policy, the commission can be: A Shared between the two agents and the insured B Paid only to the agent who initiated the sale C Withheld by the insuring company since this is an illegal practice D Shared between the two agents ✔✔D Shared between the two agents The _________ gives the owner of a variable annuity the ability to withdraw a maximum percentage of the annuity value until the initial investment amount has been recouped. A Joint and survivor annuity benefit B Group annuity C Retirement income annuity D Guaranteed minimum withdrawal benefit ✔✔D Guaranteed minimum withdrawal benefit The Superintendent has the authority to take all of the following actions, EXCEPT: A Create rules to implement and enforce insurance laws B Refer suspected criminal violations to law enforcement officials C Investigate consumer complaints D Create insurance laws ✔✔D Create insurance laws Insurance producers are required to complete how many hours of approved continuing education during each 2-year license period? A 40 B 20 C 24 D 15 ✔✔D 15 Small group major medical insurance policies in the state of New York: A May be written on a one-person firm, since they are defined as a small group B Must limit participation to employees that work at least 40 hours per week C Are often cancelled because of poor claims experience D Must be community-rated ✔✔D Must be community-rated All of the following are unfair claim settlement practices, except: A Failing to adopt and implement unreasonable standards to investigate claims properly B Failing to attempt in good faith to settle claims promptly C Knowingly misrepresenting to a claimant the terms, benefits, or advantages of an insurance policy D Denying any element of a claim without explaining in writing the specific reason for the denial ✔✔A Failing to adopt and implement unreasonable standards to investigate claims properly The Superintendent can implement all of the following disciplinary actions, except: A Sentence a licensee to jail time B Hold a hearing within 10 days after notice C Deny, revoke, nonrenew, or suspend a license D Issue a cease and desist order ✔✔A Sentence a licensee to jail time In New York, an insurer may void a policy or deny a claim for misstatements under what conditions? A Within 5 years B Never C Within 1 year D Within 2 years ✔✔D Within 2 years The Superintendent can examine the books and records of any insurer or licensee: A Once every 6 years B When granted authority by the courts C Only in the case of fraud D Whenever it is deemed necessary ✔✔D Whenever it is deemed necessary Insurance producers are required to complete how many continuing education credits during each biennial licensing period? A 15 B 20 C 24 D 40 ✔✔A 15 The maximum first year commission for the sale of a Medicare Supplement policy is: A 200% of the commission paid for policy renewals B 50% of the first year premium C The amount regardless of whether the sale is replacement or not D The commission paid for policy renewals ✔✔A 200% of the commission paid for policy renewals The purpose of the New York Long-Term Care Partnership is to: A Offer residents the chance to qualify for Medicaid regardless of source depletion B Extend Medicare benefits beyond 6 months C Create a public-private partnership for profitably underwriting long-term care risks D Enforce the terms of the Medicaid Estate Recovery Act ✔✔A Offer residents the chance to qualify for Medicaid regardless of source depletion A temporary license may be issued for: A 90 days with additional terms of 90 days and a 15 month maximum limit B 180 days total C 90 days with additional terms of 90 days and no maximum limit D 90 days without renewal ✔✔A 90 days with additional terms of 90 days and a 15 month maximum limit Which of the following persons solicits, negotiates, or offers a life settlement contract in exchange for compensation? A Life settlement intermediary B Life settlement broker C Life insurance policy beneficiary D Life insurance policy owner ✔✔B Life settlement broker An insured covered under a group life policy will be allowed to convert to an individual policy, without evidence of insurability, within how many days of the termination or reduction of group coverage? A 45 days B 10 days C 90 days D 31 days ✔✔D 31 days Which of the following deaths is NOT excluded under a life insurance policy issued in New York? A The insured was killed in action while serving in the military B The insured was killed on the job, in a hazardous occupation listed in the policy C The insured was a passenger in a commercial airplane that crashed D The insured committed suicide nine months after the policy's issue date ✔✔C The insured was a passenger in a commercial airplane that crashed How often do individual producer licenses expire? A Every 2 years on the licensee's birthday B Every 2 years on December 31st C Every 2 years on June 30th D Every 5 years on the licensee's birthday ✔✔A Every 2 years on the licensee's birthday The minimum number of employees to be considered a small employer for community rating is: A 2 B 5 C 50 D 25 ✔✔A 2 An insurance producer may have his/her license suspended or revoked by earning commissions for business written on his/her own property and risks if the commissions received are more than what percentage of the licensee's net aggregate commissions during the preceding 12 months? A 5% B 50% C 25% D 10% ✔✔D 10% In New York, applicants for insurance producer and adjuster licenses must be which of the following? A At least 21 years old B High school graduates C At least 18 years old D College graduates ✔✔C At least 18 years old In New York, under individual and group Medical Expense Insurance, any child is considered a dependent until attaining the age of: A 23 B 26 C 29 D 19 ✔✔B 26 The Superintendent has the power to do all of the following, except: A Levy civil penalties after notice and a hearing B Examine and investigate any person to determine if they violated any state insurance laws C Make and enforce rules and regulations as needed to carry out state insurance laws D Pass insurance laws relating to insurance licensing ✔✔D Pass insurance laws relating to insurance licensing Before a carrier from another state can transact insurance business in New York, which of the following must be issued? A Certificate of Authority B Broker's license C Temporary license D Domiciled certificate ✔✔A Certificate of Authority Which of the following statements BEST describes the manner in which a licensee must provide a clear and conspicuous notice to its customers that accurately reflects its privacy policies and practices? A The notice must be provided every 12 months after is policy is issued B The notice must be provided every 24 months after a policy is issued C The notice must be provided a the time the insurance application is taken, and annually thereafter D The notice must be provided once, at the time the insurance application is taken ✔✔C The notice must be provided a the time the insurance application is taken, and annually thereafter If an agent refers a potential applicant to another agent with in the same company and the policy is created, who will get the commission? A The agents can share commission with permission from the Superintendent B The agent who referred the applicant only C The agents can share the commission D The signing agent only ✔✔D The signing agent only A temporary insurance license authorizes the licensee to do which of the following? A Sell new insurance on behalf of the original licensee B Solicit new insurance on behalf of the original licensee C Negotiate new insurance on behalf of the original licensee D Renew existing insurance on behalf of the original licensee ✔✔D Renew existing insurance on behalf of the original licensee [Show More]

Last updated: 1 year ago

Preview 1 out of 20 pages