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| Section | Weight | Objectives |
|---|---|---|
| Topic 1: Accident and Health / Sickness Insurance | 20% | - Mandatory benefits and state-specific health rules - HMO, PPO, group vs individual coverage - Disability income, medical expense, and long-term care - Health insurance basics and policy provisions |
| Topic 2: General Insurance Concepts | 15% | - Insurable interest and risk management - Contract law and principles - Underwriting, premium calculation, and taxation |
| Topic 3: Annuities and Retirement Products | 10% | - Fixed, indexed, and variable annuities - Tax treatment and suitability standards |
| Topic 4: Insurance Regulation | 30% | - Licensing requirements and procedures - State insurance laws and Maryland regulations - Policy delivery, replacement rules, and disclosure - Ethics, unfair trade practices, and consumer protection |
| Topic 5: Life Insurance Basics and Policies | 25% | - Types of life insurance: term, whole, universal, variable - Policy provisions, riders, and options - Beneficiaries, claims, and settlement options |
1. Who is responsible for reporting the licensee's change of name or address to the Maryland Insurance Administration?
A) The managing general agent
B) The appointing insurer
C) The staff of the Maryland Insurance Administration
D) The licensee
2. A certificate of insurance in a group accident and health plan is:
A) Issued to the employer for each insured location
B) Evidence of the employee's insurance coverage
C) A binding contract between the employer and the insurer
D) A binding contract between the employee and the insurer
3. In accident and health insurance, a waiting period for pre-existing conditions means that:
A) A period of time must elapse before pre-existing conditions are covered
B) Coverage for pre-existing conditions starts at the inception of the new policy
C) Payment for expenses resulting from pre-existing conditions is held in escrow
D) Coverage for pre-existing conditions is permanently excluded by a new insurer
4. Before issuing a policy of long-term care insurance to an applicant who is at least 80 years old, unless the policy is guaranteed issue, the carrier shall obtain a:
A) Power of attorney
B) Applicant's family's consent
C) Report of a physical examination
D) Copy of the person's living will
5. An accident and health insurance producer is most likely to become liable for professional errors and omissions as the result of:
A) Misleading a prospective insured in replacing accident and health insurance
B) Incorrect filing of federal income taxes
C) An accounting error discovered by the producer's accountant
D) Submitting a premium payment to an insurer in excess of the required amount
Solutions:
| Question # 1 Answer: D | Question # 2 Answer: B | Question # 3 Answer: A | Question # 4 Answer: C | Question # 5 Answer: A |
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