[Dec 29, 2025] New Real Virginia-Life-Annuities-and-Health-Insurance Exam Dumps Questions
Pass Your Virginia-Life-Annuities-and-Health-Insurance Exam Easily with Accurate Virginia Life, Annuities, and Health Insurance Examination Series 11-01 PDF Questions
NEW QUESTION # 18
Under Virginia standards for marketing long-term care coverage, all of these are prohibited sales practices EXCEPT:
- A. Twisting
- B. High pressure tactics
- C. Replacing existing coverage
- D. Cold lead advertising
Answer: D
Explanation:
Virginia Code § 38.2-5207 and 14VAC5-200-185 outline marketing standards for long-term care (LTC) insurance to protect consumers. Option A (twisting)-misrepresenting a policy to induce replacement-is prohibited as an unfair practice (Virginia Code § 38.2-502). Option C (high pressure tactics)-aggressive sales forcing quick decisions-violates ethical standards and is banned (14VAC5-200-40). Option B (replacing existing coverage) is incorrect as stated; replacement itself isn't prohibited but requires disclosure via a replacement notice (14VAC5-200-75), making it regulated, not banned outright-however, the question implies unauthorized or deceptive replacement, which is prohibited. Option D (cold lead advertising)- soliciting via broad, unsolicited leads (e.g., mailers)-is permitted if it complies with disclosure rules and isn' t deceptive (14VAC5-200-50). The study guide likely lists twisting and high pressure as unethical, with examples like misstating benefits, while allowing cold lead ads with proper labeling (e.g., "advertisement"), making D the exception.
NEW QUESTION # 19
After an insured's death, the insurer learned that the age on the application for a whole life insurance policy was understated by five years. The rate per $1,000 for the applicant's actual age was $18, and the rate for the understated age was $15. How much will the insurer pay?
- A. 15/18 of the policy face amount
- B. Nothing at all
- C. The policy face amount
- D. 95% of the policy face amount
Answer: A
Explanation:
Detailed Answer in Step-by-Step Solution:
* When age is misstated, the insurer adjusts the death benefit based on the premium paid versus what should have been paid.
* Premium paid: $15 per $1,000 (understated age). Correct premium: $18 per $1,000 (actual age).
* Ratio: $15/$18 = 5/6 of the intended coverage. Thus, the benefit is 15/18 of the face amount (A).
* Option B (95%) is arbitrary. Option C (full amount) ignores the misstatement. Option D (nothing) applies only in fraud cases beyond the incontestability period, not specified here.
The Virginia study guide states that under the misstatement of age provision, the benefit is adjusted proportionally to the premium paid versus the correct premium, not denied entirely. Reference: Virginia Life, Annuities, and Health Insurance study guide, section on "Life Insurance Policy Provisions."
NEW QUESTION # 20
The preventive medical care benefit sometimes provided in a Medicare supplement policy covers:
- A. Annual physical exams
- B. Home health care
- C. Skilled nursing care
- D. Hospitalization
Answer: A
Explanation:
Detailed Answer in Step-by-Step Solution:
* Medicare supplement (Medigap) policies may include preventive care benefits like annual physical exams (D), which original Medicare doesn't fully cover.
* Home health (A), skilled nursing (B), and hospitalization (C) are covered by Medicare Parts A and B, not typically supplemental preventive benefits.
The Virginia study guide notes that some Medigap plans offer additional preventive services, such as annual exams, beyond Medicare's scope. Reference: Virginia Life, Annuities, and Health Insurance study guide, section on "Medicare Supplement Insurance."
NEW QUESTION # 21
What are long-term care insurance "ADL's"?
- A. Approved doctor lists
- B. Activities of daily living
- C. Aggregate dollar limits
- D. Aggregate days limitation
Answer: B
Explanation:
Virginia Code § 38.2-5200 defines ADLs (Activities of Daily Living, option C) as essential tasks-e.g., bathing, dressing, eating-used to determine LTC benefit eligibility (typically inability to perform 2 of 6).
Option A (aggregate dollar limits) refers to coverage caps, not ADLs. Option B(aggregate days limitation) might confuse with elimination periods, not ADLs. Option D (approved doctor lists) relates to provider networks, not functional criteria. The study guide likely details ADLs with examples-e.g., needing help with mobility-emphasizing their role in claims, making C the correct term.
NEW QUESTION # 22
An agreement attached to a health insurance policy which alters either the terms of the policy or the coverage is called:
- A. An insuring clause
- B. A rider
- C. An attachment
- D. A limit clause
Answer: B
Explanation:
Virginia Code § 38.2-3500 et seq. allows health insurance policies to include riders-supplemental agreements modifying coverage or terms (e.g., adding dental benefits or exclusions). Option D (rider) is the standard term. Option A (limit clause) isn't a distinct attachment; limits are within thepolicy. Option B (attachment) is vague and not insurance-specific. Option C (insuring clause) is the core promise of coverage, not an alteration. The study guide likely defines riders with examples-e.g., a maternity rider increasing premiums-distinguishing them from policy staples, confirming D as the answer.
NEW QUESTION # 23
Since HMOs negotiate provider networks in advance of care, HMO members:
- A. Pay the entire cost for all use of non-HMO providers, regardless of circumstances
- B. Waive the right to re-enroll in an insurance company indemnity plan
- C. Are encouraged to carry individual health insurance coverage
- D. Have a limited choice of care providers
Answer: D
Explanation:
Detailed Answer in Step-by-Step Solution:
* HMOs limit members to a pre-negotiated network of providers (B), restricting choice to control costs.
* Non-network care (A) may be covered in emergencies, not always fully out-of-pocket. Options C (waive re-enrollment) and D (individual coverage) are not HMO features.
The Virginia study guide describes HMOs as managed care plans with a restricted provider network, emphasizing cost control through limited choice. Reference: Virginia Life, Annuities, and Health Insurance study guide, section on "Managed Care Plans."
NEW QUESTION # 24
The benefit supplement attached to a life insurance policy which insures all members of a family is called a:
- A. Survivorship term rider
- B. Spouse term rider
- C. Children's term rider
- D. Family term rider
Answer: D
Explanation:
Virginia Code § 38.2-3109 allows life insurance riders to extend coverage. A family term rider (option C) attaches to a primary policy (e.g., the breadwinner's) and provides term insurance for all family members- spouse and children-under one supplement, often with a single premium. Option A (spouse term rider) covers only the spouse, not children. Option B (children's term rider) insures only children, excluding the spouse. Option D (survivorship term rider) isn't a standard term; "survivorship" typically refers to joint life policies paying at the second death, not family coverage. The study guide likely describes the family term rider as a cost-effective way to insure dependents, with examples showing level term benefits for each member, making C the accurate answer.
NEW QUESTION # 25
If an insurer pays an individual health insurance claim during a policy's grace period:
- A. The policy is canceled automatically at the end of the grace period
- B. A 10% service fee is charged
- C. The amount of unpaid premium may be subtracted from the reimbursement
- D. The deductible is waived
Answer: C
Explanation:
Virginia Code § 38.2-3508 provides a 31-day grace period for individual health insurance premium payments, during which coverage remains active and claims are paid. If a claim arises, the insurer may deduct any unpaid premium from the reimbursement (option D), ensuring it recovers owed funds while honoring the claim. Option). Option A (deductible waived) is false; deductibles apply regardless of payment status. Option B (10% fee) is unsupported by Virginia law. Option C (automatic cancellation) is incorrect; cancellation requires notice post-grace period if unpaid (Virginia Code § 38.2-3510). The study guide likely explains this with examples-e.g., a $500 claim with a $100 unpaid premium nets $400-reflecting standard practice, making D the correct outcome.
NEW QUESTION # 26
Which of the following statements is true regarding an insurance agent's license?
- A. A separate license must be issued for each insurer the agent represents.
- B. The license fee is paid to the insurance company.
- C. It authorizes the agent to transact insurance until otherwise terminated, suspended, or revoked.
- D. It must be renewed annually.
Answer: C
Explanation:
In Virginia, an insurance agent's license is governed by the State Corporation Commission's Bureau of Insurance under Title 38.2 of the Virginia Code. According to Virginia Code § 38.2-1819, once issued, the license authorizes the agent to transact insurance business on behalf of appointed insurers until it is terminated, suspended, or revoked by the Bureau. The license fee is paid to the Bureau of Insurance, not the insurance company (Virginia Code § 38.2-1818), making option A incorrect. Virginia Code § 38.2-1822 specifies that licenses are renewed biennially (every two years), not annually, rendering option C false.
Finally, Virginia Code § 38.2-1833 clarifies that an agent needs only one license but must secure an appointment for each insurer they represent, not a separate license per insurer, making option D incorrect.
Option B is the only statement consistent with Virginia law, reflecting the license's ongoing authority unless altered by regulatory action.
NEW QUESTION # 27
To be complete, an application for health insurance must contain all of the following EXCEPT:
- A. Applicant's name and address
- B. Date of application
- C. Applicant's signature
- D. Initial premium
Answer: D
Explanation:
Virginia Code § 38.2-3501 requires health insurance applications to include essential details for underwriting and contract formation: the applicant's name and address (option A), signature (option B) to affirm accuracy, and date (option C) to establish timing. These are mandatory for a complete application. Option D (initial premium) is not required on the application itself; while payment may accompany it to bind coverage (e.g., via a conditional receipt), it's a separate transaction, not an application component. The study guide likely lists these elements in a sample application, noting that premium submission is optional until acceptance, making D the exception.
NEW QUESTION # 28
An agent or insurer who unknowingly violates insurance laws may be charged a maximum penalty of:
- A. $1,000 per occurrence, with a cap of $10,000
- B. $1,500 per occurrence, with a cap of $10,000
- C. $500 per occurrence, with a cap of $10,000
- D. $750 per occurrence, with a cap of $10,000
Answer: A
Explanation:
Detailed Answer in Step-by-Step Solution:
* For unintentional violations in Virginia, the maximum penalty is $1,000 per occurrence, with an aggregate cap of $10,000 (C), per state insurance regulations.
* Options A, B, and D deviate from this standard penalty structure.
The Virginia study guide, per Virginia Code, sets unintentional violation penalties at up to $1,000 per act, with a $10,000 total cap, escalating for willful violations. Reference: Virginia Life, Annuities, and Health Insurance study guide, section on "Penalties and Enforcement."
NEW QUESTION # 29
Which of the following is an advantage of term life insurance?
- A. It provides insurance protection on a permanent basis
- B. The cost is about the same as whole life insurance
- C. It will be cost-effective in the long term if it is maintained to age 65 and beyond
- D. The initial premium is lower than for an equivalent amount of whole life insurance
Answer: D
Explanation:
Detailed Answer in Step-by-Step Solution:
* Term life insurance's primary advantage is its lower initial premium (D) compared to whole life for the same death benefit, due to its temporary nature and lack of cash value.
* Option A (same cost) is false; term is cheaper. Option B (cost-effective long-term) is incorrect; premiums rise with renewals. Option C (permanent) applies to whole life, not term.
The Virginia study guide highlights that term life insurance offers affordable initial premiums for temporary coverage, making it attractive for short-term needs compared to whole life. Reference: Virginia Life, Annuities, and Health Insurance study guide, section on "Types of Life Insurance."
NEW QUESTION # 30
Employer-paid premiums for qualified long-term care insurance are:
- A. Deductible on an employee's federal income tax return
- B. Included in an employee's gross income
- C. Reimbursed by the employee
- D. Deductible as a business expense
Answer: D
Explanation:
Detailed Answer in Step-by-Step Solution:
* Employer-paid premiums for qualified long-term care insurance are treated as a business expense and are tax-deductible for the employer (B), provided the plan meets IRS requirements.
* These premiums are not included in the employee's gross income (A), as they are tax-exempt benefits under IRC Section 106.
* Employees cannot deduct these premiums (C) since they are employer-paid.
* Reimbursement (D) does not apply.
The Virginia study guide, aligned with IRS rules, notes that employer-paid premiums for qualified long-term care insurance are deductible as a business expense and excluded from employees' taxable income.
Reference: Virginia Life, Annuities, and Health Insurance study guide, section on "Taxation of Insurance Benefits."
NEW QUESTION # 31
In long-term care insurance, the guarantee of insurability option provides the insured with the ability to:
- A. Purchase additional insurance at a later date
- B. Keep the same premium for the entire contract period
- C. Extend coverage under the policy for the insured's lifetime
- D. Replace the policy at any time with one from a different insurer
Answer: A
Explanation:
Virginia Code § 38.2-5202 allows a guaranteed insurability option in LTC insurance, letting the insured buy additional coverage later (option A) without proving insurability, typically at set intervals or life events (e.g., inflation adjustment). Option B (replace with another insurer) isn't a policy feature; it's a market action.
Option C (lifetime extension) confuses with benefit periods, not insurability. Option D (fixed premium) relates to non-cancelable policies, not this rider. The study guide likely describes this with examples-e.g., adding $1,000 monthly benefit at age 70-emphasizing future flexibility, making A the correct ability.
NEW QUESTION # 32
The prevention and correction of dental and oral irregularities through the use of mechanical corrective devices is called:
- A. Endodontics
- B. Prosthodontics
- C. Periodontics
- D. Orthodontics
Answer: D
Explanation:
In the context of health insurance, particularly dental coverage, Virginia Code § 38.2-3407.1 et seq. governs mandated benefits, though dental specifics often appear in policy riders or standalone plans. Orthodontics (option A) is the branch of dentistry focused on preventing and correcting irregularities of the teeth and jaws using mechanical devices like braces or aligners, precisely matching the question's description. Endodontics (option B) deals with the tooth's interior (e.g., root canals), not mechanical correction of alignment.
Periodontics (option C) addresses gum diseases and supporting structures, not tooth positioning.
Prosthodontics (option D) involves replacing missing teeth with prosthetics (e.g., dentures), not correcting irregularities mechanically. The study guide likely defines these terms in a health insurance section, emphasizing orthodontics' role in alignment correction-both preventive (e.g., avoiding bite issues) and corrective-making A the clear answer. Examples like braces for malocclusion reinforce this distinction from other specialties.
NEW QUESTION # 33
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