Insurance Principles MCQs (Chapterwise Multiple Choice Questions)

_____ can be both an advantage and a disadvantage of universal life insurance.

Flexible premiums

Tax features

High returns

Unbundling

Answer & Explanation

Correct Answer: Flexible premiums

Note: This Question is unanswered, help us to find answer for this one

When a patient elects to receive care from a non-par, the patient will accrue _____.

Higher copays

High out of pocket expenses

Lower premiums

All of these

Answer & Explanation

Correct Answer: Higher copays

Note: This Question is unanswered, help us to find answer for this one

Cash-value buildup is relatively slow in ____ life policies.

Modified

Endowment

Limited-pay

Universal

Answer & Explanation

Correct Answer: Modified

Note: This Question is unanswered, help us to find answer for this one

Motor vehicle crashes cost over ______ in lost wages and medical bills every year.

$10,000

$750,000

$12 million

$150 billion

Answer & Explanation

Correct Answer: $150 billion

Note: This Question is unanswered, help us to find answer for this one

A(n) _____ policy is a type of term insurance.

Industrial life insurance

Straight term

Cash value

Named beneficiary

Answer & Explanation

Correct Answer: Straight term

Note: This Question is unanswered, help us to find answer for this one

The community rating approach to health insurance premium pricing _____.

Prohibits insurance companies from varying rates based on health status or claims history

Advocates offering Social Security Medicare program to all individuals irrespective of their age

Favors the government's contribution to the health savings account (HSA)

Considers only medical insurance coverage from a private insurance company

Offers consumer directed health plans that go one step beyond a flexible-benefit plan

Answer & Explanation

Correct Answer: Prohibits insurance companies from varying rates based on health status or claims history

Note: This Question is unanswered, help us to find answer for this one

Nonforfeiture rights guarantee that a policy owner will not lose his or her policys _____.

To transfer the risk of serious losses

Cash Value

Some selected number

None of these

Answer & Explanation

Correct Answer: Cash Value

Note: This Question is unanswered, help us to find answer for this one

Credit term life insurance is a policy with named as beneficiary.

Cash-value; your spouse

Level term; the creditor

Decreasing term; the creditor

Group term; your employer

Answer & Explanation

Correct Answer: Decreasing term; the creditor

Note: This Question is unanswered, help us to find answer for this one

In alphabetic filing, a patients first name is the __________ filing unit.

First

Second

Third

Fourth

Answer & Explanation

Correct Answer: Second

Note: This Question is unanswered, help us to find answer for this one

Health insurance involves two perils, accident and ____.

Death

Sickness

Disability

Liability

Answer & Explanation

Correct Answer: Sickness

Note: This Question is unanswered, help us to find answer for this one

Insurance Principles Quick Quiz

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Insurance Principles MCQ

Insurance Principles Quick Quiz

_____ can be both an advantage and a disadvantage of universal life insurance.

When a patient elects to receive care from a non-par, the patient will accrue _____.

Cash-value buildup is relatively slow in ____ life policies.

Motor vehicle crashes cost over ______ in lost wages and medical bills every year.

A(n) _____ policy is a type of term insurance.

The community rating approach to health insurance premium pricing _____.

Nonforfeiture rights guarantee that a policy owner will not lose his or her policys _____.

Credit term life insurance is a ____ policy with ____ named as beneficiary.

In alphabetic filing, a patients first name is the __________ filing unit.

Health insurance involves two perils, accident and ____.

Credit term life insurance is a policy with named as beneficiary.