2026 Actual Virginia Insurance Virginia-Life-Annuities-and-Health-Insurance Dumps, Updated Exam Questions for Guaranteed Pass

Virginia-Life-Annuities-and-Health-Insurance free sample questions and answers

Virginia Insurance Virginia-Life-Annuities-and-Health-Insurance practice quiz with correct answers for search indexing.

1. Question 1

   A mutual insurance company is wholly owned by its:

   APolicyholders
   

   BShareholders
   

   CExecutive officers
   

   DBoard of directors
   

   Correct answer: A

   Mutual insurers are organized for the benefit of their policyholders, who are the owners of the company. Profits are returned to policyholders in the form of dividends or reduced premiums, unlike stock insurers which are owned by shareholders.

   Exact Extract (Virginia Insurance Study Guide): ''Mutual insurance company---owned by policyholders; profits distributed as dividends or premium reductions.''

   Reference (Virginia Documents / Study Guide):

   --- Virginia General Insurance Concepts Outline, Section 1.1 Types of insurers

   
   

2. Question 2

   Under Medicare Supplement insurance, what form provides information about services, benefits, copayments, deductibles, exclusions, premiums, and the insurer?

   AThe outline of coverage
   

   BThe notice of benefit change
   

   CThe supplemental disclosure form
   

   DThe notice of replacement
   

   Correct answer: A

   An outline of coverage must be given to all applicants at the time of application. This document clearly describes the benefits, services, copayments, deductibles, exclusions, limitations, and premium details so that consumers can make informed choices. Virginia regulations require insurers to deliver this document in a standard format prescribed by the Bureau of Insurance.

   Exact Extract (Virginia Medicare Supplement Regulations): ''Issuers shall provide an outline of coverage to all applicants at the time the application is presented... It shall include a description of benefits, services, exclusions, copayments, deductibles, and premiums.''

   Reference (Virginia Documents / Study Guide):

   --- Virginia Administrative Code 14VAC5-170-150 (Required disclosure provisions -- Outline of Coverage)

   --- Code of Virginia 38.2-3606 (Outline of Coverage requirement)

   
   

3. Question 3

   All of the following statements about universal life insurance are true EXCEPT:

   AA mortality charge is subtracted from the cash value accumulations each month.
   

   BPolicy loans are prohibited.
   

   CThe policy specifies the percentage of each premium that will be used for company expenses.
   

   DWithdrawals of the cash value are allowed and may be subject to a surrender charge.
   

   Correct answer: B

   Policy loans are not prohibited in universal life insurance. In fact, one of the key features of universal life insurance is the ability to take loans against the accumulated cash value. The other options are correct: a mortality charge is deducted from the policy's cash value, the policy specifies how premiums are divided between expenses and savings, and withdrawals may be allowed but can be subject to surrender charges.

   
   

4. Question 4

   Which is true about a term life insurance policy?

   AIt usually provides a cash value.
   

   BIt provides temporary protection.
   

   CIt may only be written for periods of five years or less.
   

   DIt usually can be renewed at the same premium.
   

   Correct answer: B

   A term life insurance policy provides temporary protection for a specified period, such as 10, 20, or 30 years, and does not accumulate cash value like whole life policies. Term life insurance is often renewable, but premiums typically increase with each renewal. It is designed to provide coverage for a set period, offering financial protection if the insured passes away within that term.

   
   

5. Question 5

   An individual health insurance policy must include:

   ACoverage for pre-existing conditions
   

   BA 10-day free look provision
   

   COnly the optional uniform provisions
   

   DA 60-day grace period
   

   Correct answer: B

   Individual health policies must include a free look period of at least 10 days, giving policyholders the right to return the policy for a full refund if dissatisfied.

   Exact Extract (Virginia Insurance Regulations): ''Every individual health insurance policy shall include a free-look provision of not less than 10 days.''

   Reference (Virginia Documents / Study Guide):

   --- Code of Virginia 38.2-3514 (Standard Policy Provisions -- Free Look)