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Pass the Maryland Insurance Administration Maryland Insurance Accident-and-Health-or-Sickness-Producer Questions and answers with ValidTests

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Questions # 11:

When determining the premiums for large groups, most insurance companies use:

Options:

A.

Occupational rating

B.

Area rating

C.

Pooled rating

D.

Experience rating

Expert Solution
Questions # 12:

The waiver of premium provision in a disability income policy provides that premiums will be waived during:

Options:

A.

The disability benefit period

B.

The elimination period

C.

The grace period

D.

The time limit on certain defenses

Expert Solution
Questions # 13:

In Maryland, continuation of medical plan coverage for a handicapped child beyond the age limit stated in the policy may require proof of the child’s:

Options:

A.

Continued insurability

B.

Incapacity only

C.

Incapacity and dependency upon reaching the age limit

D.

Dependency for the first two years of continued coverage only

Expert Solution
Questions # 14:

A health maintenance organization (HMO) must provide coverage for all of the following EXCEPT:

Options:

A.

Routine physical examinations

B.

Well-baby or well-child care

C.

Dental and vision care

D.

Emergency services

Expert Solution
Questions # 15:

The Maryland Insurance Administration is an agency of the:

Options:

A.

Federal government

B.

State government

C.

National Association of Insurance Commissioners

D.

Maryland General Assembly

Expert Solution
Questions # 16:

When a single major medical contract covers all medical expenses, the plan is considered to be:

Options:

A.

Comprehensive

B.

Limited

C.

First-dollar

D.

Supplemental

Expert Solution
Questions # 17:

In general practice, can the Maryland Insurance Administration inspect the business records of an insurance company or agency?

Options:

A.

No, because of privacy considerations

B.

Yes, because of the powers defined by state laws

C.

No, because only an officer of the court can inspect these records

D.

Yes, because all company and agency records are public domain

Expert Solution
Questions # 18:

An insurance producer or advisor in the State of Maryland can be disciplined by the MarylandInsurance Administration for all of the following EXCEPT:

Options:

A.

Making a misleading statement about the financial condition of an insurer

B.

Using inappropriate description of a policy to hide the true nature of the policy

C.

Making false or misleading statements about dividends previously paid on similar policies

D.

Filing a complaint on behalf of the consumer with the Maryland Insurance Administration

Expert Solution
Questions # 19:

An insurance producer provided several examples to the applicant persuasively demonstrating that the insurance coverage offered under his company’s policy was superior to a competitor’s product. The insurance producer knew he was misrepresenting or stretching the truth in order to induce the applicant to forfeit her current policy and purchase a similar but inferior insurance policy from him. The insurance producer is involved in which one of the following unfair trade practices?

Options:

A.

Fraud

B.

Discrimination

C.

Twisting

D.

Rebating

Expert Solution
Questions # 20:

A certificate of insurance in a group accident and health plan is:

Options:

A.

A binding contract between the employee and the insurer

B.

A binding contract between the employer and the insurer

C.

Evidence of the employee’s insurance coverage

D.

Issued to the employer for each insured location

Expert Solution
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