Question 1

What are the tax implications of an insured's health insurance costs if the insured is self employed with an S

corporation, has a net profit for the tax year, and is unmarried?

Options :

A : The insured can pay for 100% of health insurance costs with pre-tax income.

B : The insured can deduct 70% of all health insurance costs from his gross income.

C : The insured can deduct 100% of all health insurance costs from his gross income.

D : The insured can pay for 70% of health insurance costs with pre-tax income.

Answer: C

Question 2

When selling an insurance policy in Pennsylvania, the producer must do all of the following EXCEPT

Options :

A : submit premiums within the normal course of business.

B : emphasize the benefits of the Guaranty Association.

C : protect any non-public or personal information about the applicant

D : provide a notice of information practices to applicants.

Answer: B

Question 3

The premium mode defines the

Options :

A : frequency of the premium payment.

B : premium amount

C : premium limit. I

D : method of premium payment (cash or credit).

Answer: A

Question 4

Which is considered an expense factor in a life insurance premium?

Options :

A : policy loan interest

B : Interest from investments

C : commission

D : aggregate claim amounts

Answer: C

Question 5

Which of the following policies generally does NOT have a cash value?

Options :

A : endowment

B : variable life

C : straight life

D : term

Answer: D

Free PA-Life-Accident-and-Health Mock Exam – Practice Online Confidently