Massachusetts Life & Health Insurance License Exam

Q1.Under Massachusetts law, what provision may an insurer include in a life or group life policy regarding an insured who becomes totally and permanently disabled?

1. A mandatory rider that automatically converts the policy to a disability income plan.
2. Only allowed for permanent total disability resulting from an accident.
3. A requirement that the disability be caused by a pre-existing condition.
4. A waiver of premiums or the granting of special benefits.Correct

Q2.Under Massachusetts law, an insurer providing a waiver of premiums for a life insurance policy due to total and permanent disability must ensure the provision applies to:

1. Disabilities arising from any cause, including non-accidental origins.Correct
2. Disabilities resulting exclusively from accidental causes.
3. Only those disabilities that result in an immediate accelerated death benefit.
4. Conditions where a separate rider is the only legal mechanism for premium waiver.

Q3.Under Massachusetts law, which of the following statements is true regarding a disability benefit payment of $350 per week?

1. The payment is fully liable to attachment or seizure by creditors.
2. The payment is not liable to attachment or seizure because it does not exceed $400 per week.Correct
3. All disability benefits are exempt from seizure regardless of the weekly amount.
4. The payment is only exempt if the insured has a policy covering both injury and disease.