Maryland Insurance Administration Accident-and-Health-or-Sickness-Producer New Dumps Pdf - Accident-and-Health-or-Sickness-Producer Training Tools
Maryland Insurance Administration Accident-and-Health-or-Sickness-Producer New Dumps Pdf - Accident-and-Health-or-Sickness-Producer Training Tools
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Maryland Insurance Administration MarylandAccident and Health or Sickness Producer Series 20-24 Exam Sample Questions (Q83-Q88):
NEW QUESTION # 83
Which of the following is a requirement of an insurable risk?
- A. The loss must be intentional.
- B. The loss must be catastrophic.
- C. There must be a large number of different loss exposures.
- D. The chance of loss must be calculable.
Answer: D
Explanation:
Comprehensive and Detailed Step by Step Explanation:Aninsurable riskmust meet specific criteria to ensure fair and financially viable coverage:
Chance of loss must be calculable (C):Correct. Insurers need statistical data to assess risk and determine premiums.
Loss must be intentional (A):Incorrect; intentional losses are not insurable.
Loss must be catastrophic (B):Incorrect; catastrophic losses (e.g., war or large-scale disasters) are often excluded or managed through reinsurance.
Large number of different loss exposures (D):A large number of similar, not different, exposures is required for risk pooling.
References:Maryland Insurance Principles, Actuarial Standards, and COMAR 31.09.14.
NEW QUESTION # 84
The free-look period provided in a life insurance policy is usually:
- A. 45 days
- B. 31 days
- C. 60 days
- D. 10 days
Answer: D
Explanation:
Comprehensive and Detailed Step by Step Explanation:Thefree-look periodis a consumer protection mechanism allowing policyholders to cancel a policy within a specific period for a full refund.
* 10 days (A):Maryland law requires a minimum free-look period of 10 days for life insurance policies, allowing buyers to review the policy without financial obligation.
* 31 days (B), 45 days (C), and 60 days (D):These exceed Maryland's statutory minimum and are not standard requirements unless specifically offered by the insurer.
References:Maryland Free-Look Provisions, COMAR 31.09.09, and Maryland Consumer Protection Act.
NEW QUESTION # 85
All of the following are examples of unfair claims settlement practices EXCEPT:
- A. Failing to promptly provide a reason for a claim denial
- B. Misrepresenting pertinent facts of coverage
- C. Denying unsubstantiated claims on a timely basis
- D. Refusing arbitrarily and unreasonably to pay claims
Answer: C
Explanation:
Unfair practices (Insurance Article, § 27-303) include delays, arbitrary refusals, and misrepresentation.
Denying unsubstantiated claims promptly is fair and expected, not an unfair practice.
References:Maryland Insurance Article, § 27-303; MIA claims regulations.
NEW QUESTION # 86
A nonprofit health service plan may NOT issue a contract that covers which of the following types of benefits?
- A. Vision benefits
- B. Dental benefits
- C. Medical expense benefits
- D. Disability income benefits
Answer: D
Explanation:
Nonprofit health service plans (Insurance Article, § 14-102), like HMOs, provide medical, vision, and dental benefits, but disability income-replacing lost wages-is outside their scope and belongs to separate insurance types.
References:Maryland Insurance Article, § 14-102; MIA nonprofit plan rules.
NEW QUESTION # 87
When a single major medical contract covers all medical expenses, the plan is considered to be:
- A. Comprehensive
- B. Limited
- C. First-dollar
- D. Supplemental
Answer: A
Explanation:
A single policy covering all medical expenses (Insurance Article, § 15-201) is comprehensive, unlike limited (specific), first-dollar (no deductible), or supplemental (add-on) plans.
References:Maryland Insurance Article, § 15-201; MIA major medical standards.
NEW QUESTION # 88
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