Long-Term Care Product Training Examination
Benefit triggers, elimination periods, and care settings.
Insurance exams are administered by state insurance departments, designation sponsors, and actuarial societies. FreeExam is not affiliated with those organizations, and these questions are original practice, not an official test.
1.What does a long-term care insurance policy primarily pay for?
2.Which list is the six activities of daily living used for a usual tax-qualified long-term care policy?
3.Lena tells a client that a long-term care policy is just another life insurance policy. Which correction is accurate?
4.On Omar's policy, the elimination period is 90 days. What does that 90-day period mean?
5.A policy describes a benefit period of 3 years. What does that benefit period describe?
6.For a usual tax-qualified long-term care policy, which physical result is a benefit trigger?
7.Priya can still bathe, dress, eat, toilet, transfer, and remain continent. A severe memory loss requires substantial supervision for her safety. Can the usual tax-qualified cognitive trigger apply?
8.Why do trainers contrast a long-term care policy with Medicare when the need is ongoing help with bathing and dressing?
9.A long-term care policy is guaranteed renewable. After the insured's health declines, what may the insurer do?
10.The first-year daily benefit is $200. Simple inflation of 5 percent adds the same dollar amount at each of the next two anniversaries. What is the daily benefit after those two increases?
11.A policy states a $200 daily benefit and a pool built as that daily benefit times 1,000 days. What is the pool of money?
12.Helen's policy has a 60-day elimination period and a $100 daily benefit. Covered care lasts 90 days. How much does the policy pay?
13.The policy sold to Luis states that it covers care in an assisted-living facility. Luis meets the benefit trigger and is receiving that covered care. Which statement is correct?
14.The year 1 daily benefit is $100 with 5 percent compound inflation. What is the daily benefit in year 2 and in year 3?
15.Which activity belongs on the six-activity list for a usual tax-qualified long-term care policy?
16.A trainer says the only tax-qualified trigger is failing 2 physical activities, and that severe cognitive impairment never counts. What is the accurate product rule?
17.A policy uses a $150 daily benefit and a benefit period of 3 years, counted as 1,095 days because 3 times 365 is 1,095. What pool does that produce?
18.How is a noncancelable long-term care policy different from a guaranteed-renewable one?
19.Ruth's policy states that it pays for covered care at home. She meets the benefit trigger and receives that home care. What may the policy do?
20.Which description of an elimination period is accurate?
21.Which of these is one of the six activities of daily living on a usual tax-qualified policy?
22.Moving from a bed to a chair is an example of which tax-qualified activity of daily living?
23.A speaker adds walking as a seventh activity of daily living for a tax-qualified trigger. What should the training correct?
24.A policy shows a $120 daily benefit payable for up to 1,000 days. Which figure is the pool of money?
25.Ivan has a 90-day elimination period and a $200 daily benefit. Covered care lasts 120 days. How much does the policy pay?
26.The first-year daily benefit is $400. Simple inflation of 5 percent adds the same dollar amount at the next anniversary only. What is the daily benefit after that one increase?
27.Noah can perform 5 of the 6 activities of daily living. He cannot be left alone because a severe cognitive impairment requires substantial supervision. What is the usual tax-qualified result?
28.A client expects Medicare to pay for years of help with eating, toileting, and continence at home. Which training point is right?
29.The policy issued to Camille states that a nursing facility is a covered setting. She meets the benefit trigger while in that nursing facility. Which statement is correct?
30.Getting clothed is an example of which activity on the tax-qualified list of six?
31.Taking food by mouth is an example of which tax-qualified activity of daily living?
32.Using the toilet and performing the related personal hygiene is which activity on the six-item list?
33.A policy pays a $3,000 monthly benefit for each full month of covered care after the elimination period. Covered care lasts 4 full months after that period. How much is paid?
34.The first-year daily benefit is $200 with 10 percent compound inflation. What is the daily benefit at the start of year 3, after two compound increases?
35.Sara's policy has a 30-day elimination period and a $150 daily benefit. Covered care lasts 100 days. How much does the policy pay?
36.A policy has a $250 daily benefit and a benefit period of 2 years, counted as 730 days because 2 times 365 is 730. What is the pool of money?
37.Which statement is a misrepresentation of a long-term care policy?
38.Which need fits what a long-term care policy is built to pay, once the policy trigger is met?
39.After the elimination period, a policy will pay up to 5 years of covered care. What is that 5-year span called?
40.An insurer revises rates on a guaranteed-renewable long-term care policy. Which action matches that policy form?
41.The policy sold to Andre states that it covers a nursing facility and an assisted-living facility. Which reading is correct?
42.For the cognitive benefit trigger, which situation matches a severe cognitive impairment?
43.The daily benefit is $250 and the benefit period is 1,000 days. What is the pool of money?
44.Ben's policy has a 100-day elimination period and a $180 daily benefit. Covered care lasts 250 days. How much does the policy pay?
45.The first-year daily benefit is $300. Simple inflation of 10 percent adds the same dollar amount at each of the next two anniversaries. What is the daily benefit after those two increases?
46.After a claim, the insured's health is worse. The policy is guaranteed renewable and premiums are being paid. Which action fits that form?
47.Which comparison correctly places long-term care insurance among other products?
48.Grace has a 0-day elimination period and a $250 daily benefit. Covered care lasts 20 days. How much does the policy pay?
49.What does inflation protection do on a long-term care policy that includes it?
50.Which pair states the usual tax-qualified benefit trigger?
51.Continence, as used in the six activities of daily living, refers to which ability?
52.The policy sold to Martin states that it pays for custodial care at home. He cannot perform bathing or dressing, and he has met the trigger. What can this policy pay?
53.A contract describes benefits as a pool of money instead of a fixed number of years. What does that pool represent?
54.The year 1 daily benefit is $500 with 10 percent compound inflation. What is the daily benefit at the start of year 3?
55.A client says Medicare will cover years of custodial help in a nursing facility the same way a long-term care policy does. Which reply is accurate?
56.Carla's policy has a 20-day elimination period and an $80 daily benefit. Covered care lasts 70 days. How much does the policy pay?
57.A policy lists a $175 daily benefit. On a day the policy is paying, what does that figure describe?
58.The policy sold to Elliot states that assisted living is a covered setting, and he meets the benefit trigger there. What follows?
59.A noncancelable long-term care policy is contrasted with a guaranteed-renewable policy. Which premium promise belongs to the noncancelable form?
60.Which set names every activity of daily living on the usual tax-qualified list, and no others?
61.In product training, which phrase means the same thing as the elimination period?
62.A policy has a $100 daily benefit for a benefit period of 1,460 days, stated as 4 times 365. What is the pool?
63.Two long-term care policies are side by side. One covers home care and the other does not. What is the right training point?
64.Which insured can meet the cognitive trigger even though the physical activities can still be performed?
65.The first-year daily benefit is $250. Simple inflation of 4 percent adds the same dollar amount at each of the next two anniversaries. What is the daily benefit after those two increases?
66.Felix has a 45-day elimination period and a $120 daily benefit. Covered care lasts 95 days. How much does the policy pay?
67.Needing another person in order to move between a bed and a wheelchair is a loss of which listed activity?
68.A brochure says the long-term care policy will pay the beneficiary a death benefit if no care is ever needed. What is the product error?
69.Which statement matches the usual tax-qualified trigger, including both the physical count and cognition?
70.A policy pays $200 per day. During 365 days of covered, payable care, with no further limit hit, how much is paid for those days?
71.Who bears the cost of care during the elimination period, before the policy begins to pay?
72.A guaranteed-renewable long-term care policy receives a class rate increase. One insured in the class has had no change in health. Which statement is correct?
73.A policy will pay covered care for 2 years after the elimination period. Which feature is the 2 years?
74.Which activity is on the tax-qualified list of six?
75.Both policies start at a $100 daily benefit with a 5 percent inflation rate. One uses simple inflation and one uses compound inflation. After two increases, which pair is correct?
76.The policy sold to Diane states that it covers custodial care in a nursing facility. She has met the 2-of-6 activity trigger there. What may the policy pay?
77.A pool of money is $100,000. The policy pays its full $200 daily benefit for 100 days. How much of the pool remains?
78.Which statement is a misrepresentation?
79.The policy sold to Chris covers home care and does not cover a nursing facility. Chris meets the trigger and receives covered care at home. Which statement is correct?
80.A person needs long-term help with continence and toileting and does not need a hospital stay. Which product comparison is correct?
81.The daily benefit is $180 and the benefit period is stated as 500 days. What pool of money does that equal?
82.Quinn cannot bathe or dress. Quinn can still eat, toilet, transfer, and maintain continence, and Quinn has no cognitive impairment. Has the usual tax-qualified physical trigger been met?
83.Which phrase matches the cognitive impairment that can trigger a usual tax-qualified long-term care benefit?
84.How does simple inflation protection increase a long-term care daily benefit?
85.The year 1 daily benefit is $400 with 10 percent compound inflation. What is the daily benefit at the start of year 3?
86.Paula's policy has a 10-day elimination period and a $90 daily benefit. Covered care lasts 40 days. How much does the policy pay?
87.The elimination period is over and benefits have begun. The policy will keep paying covered care until a stated pool is exhausted. What limits that payment span?
88.Which two points define guaranteed-renewable long-term care coverage?
89.A trainer says every long-term care policy covers the home, assisted living, and a nursing facility. What is the correction?
90.Victor's policy has a 120-day elimination period and a $160 daily benefit. Covered care lasts 200 days. How much does the policy pay?
91.Which item is one of the six tax-qualified activities of daily living?
92.A policy trigger counts toileting among the six activities. What is toileting in that list?
93.Which activity counts toward the usual 2-of-6 physical trigger?
94.An insured can no longer control bladder and bowel function and can no longer toilet independently. No other deficit is present. How many of the six activities are involved?
95.Rita can perform all six physical activities. Her memory loss is severe, and she needs substantial supervision throughout the day. Under a usual tax-qualified policy, what is the trigger result?
96.A policy has an elimination period of 60 days. Which statement about those 60 days is correct?
97.Which premium statement fits a guaranteed-renewable long-term care policy and does not describe noncancelable coverage?
98.A $210 daily benefit is multiplied by 100 days of payable care. What is the benefit paid for those days?
99.The policy sold to Nina covers personal care at home and does not cover a nursing facility. Nina meets the cognitive trigger and receives that home care. What may this policy do?
100.Which statement correctly separates a long-term care policy from Medicare?
101.Why would a buyer add inflation protection to a long-term care policy?
102.Which care is the core benefit of a long-term care policy once a trigger is met?
103.A pool is built from a $300 daily benefit times 400 days. The policy then pays that full daily benefit for 50 days. How much of the pool remains?
104.A policy will pay for up to 4 years of covered care after a 90-day elimination period. The 4 years describe which feature?
105.Which policy form keeps the premium fixed, rather than allowing a class premium change?
106.A draft list adds meal preparation to the tax-qualified activities and calls the result seven activities. What is wrong with that list?
107.Wendy's policy has a 180-day elimination period and a $100 daily benefit. Covered care lasts 200 days. How much does the policy pay?
108.Which summary of this long-term care policy is accurate?