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WorksheetsGroup Insurance ch 8 Quiz
Total questions: 29
Worksheet time: 15mins
What type of insurance policies does group insurance provide?
Life and health insurance
Dental and vision insurance
Auto and home insurance
Travel and pet insurance
What is group insurance comprised of?
Annual renewable term life insurance
Universal life insurance
Whole life insurance
Variable life insurance
Who are referred to as certificate holders in group insurance?
Beneficiaries
Employees
Insurance companies
Employers
In a non-contributory plan, who pays the entire cost?
The insurance company
The government
The employer
The employee
What is the probationary period for new employees in group insurance?
Three to nine months
Six to twelve months
One to three months
One to six months
How long is the enrollment period for group life insurance?
45 days
60 days
31 days
15 days
What is the conversion period after group coverage termination?
15 days
60 days
31 days
45 days
Which risk classification offers lower premiums?
Preferred risk
Standard risk
Substandard risk
Declined
What does 'declined' mean in the context of risk classification?
Not insurable
Low risk
High risk
Average risk
Who sets up Group Credit Life Insurance?
Insurance brokers
Government agencies
Employers
Banks and finance companies
What is issued to the group in group insurance?
Individual policies
One master policy
Multiple certificates
A single contract
Who can apply for group insurance?
Any individual
Only eligible group members
Only employers
Only employees
What happens to coverage when a member leaves the group?
Coverage is suspended
Coverage ceases
Coverage continues
Coverage is transferred
Which is generally less expensive, group or individual insurance?
Group insurance
Individual insurance
Depends on the provider
Both are the same
In group life insurance, are individuals required to provide evidence of insurability?
Only sometimes
Yes, always
No, never
Only for high coverage
What is the main difference between group and individual insurance regarding policy issuance?
Group insurance issues multiple policies
Individual insurance issues one master policy
Group insurance issues one master policy
Individual insurance issues no policy
What is the risk classification for an average risk with no extra ratings?
Substandard risk
Standard risk
Declined
Preferred risk
What is the term for a high risk that has higher premiums?
Standard risk
Declined
Preferred risk
Substandard risk
What is the main purpose of Group Credit Life Insurance?
To provide health benefits
To pay off a creditor’s outstanding debts
To offer retirement benefits
To cover travel expenses
What is the main characteristic of a contributory plan?
Insurance company covers the cost
Government subsidizes the cost
Employees share the cost with the employer
Employer pays the entire cost
What is the conversion privilege in group life insurance?
Option to increase coverage
Option to decrease premiums
Option to convert to individual policy
Option to change beneficiaries
What is the main difference in underwriting between group and individual insurance?
Group insurance uses individual underwriting
Individual insurance uses group underwriting
Group insurance uses group underwriting
Both use the same underwriting
What happens to group insurance coverage if the premium is not paid?
Coverage ceases
Coverage continues
Coverage is transferred
Coverage is reduced
What is the main benefit of preferred risk classification?
Higher premiums
Lower premiums
No premiums
Fixed premiums
What is the main restriction of forming a group for insurance?
Must be for the sole purpose of securing insurance
Cannot be for the sole purpose of securing insurance
Must include at least 100 members
Must be approved by the government
What is the main characteristic of group insurance benefits?
Benefits are negotiable
Benefits are optional
All members have the same benefits
Each member selects their own benefits
What is the main difference in cost between group and individual insurance?
Group insurance is more expensive
Individual insurance is less expensive
Group insurance is less expensive
Both have the same cost
What is the main feature of a non-contributory plan?
Employer pays the entire cost
Employees pay the entire cost
Cost is shared equally
Cost is covered by the government
What is the main advantage of group insurance for employees?
Fewer restrictions
Higher premiums
Individual policies
More restrictions
