H04 Health Insurance Underwriting MCQs

Welcome to our comprehensive collection of Multiple Choice Questions (MCQs) on H04 Health Insurance Underwriting, a fundamental topic in the field of IC38 Life Insurance Agent Exam. Whether you're preparing for competitive exams, honing your problem-solving skills, or simply looking to enhance your abilities in this field, our H04 Health Insurance Underwriting MCQs are designed to help you grasp the core concepts and excel in solving problems.

In this section, you'll find a wide range of H04 Health Insurance Underwriting mcq questions that explore various aspects of H04 Health Insurance Underwriting problems. Each MCQ is crafted to challenge your understanding of H04 Health Insurance Underwriting principles, enabling you to refine your problem-solving techniques. Whether you're a student aiming to ace IC38 Life Insurance Agent Exam tests, a job seeker preparing for interviews, or someone simply interested in sharpening their skills, our H04 Health Insurance Underwriting MCQs are your pathway to success in mastering this essential IC38 Life Insurance Agent Exam topic.

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H04 Health Insurance Underwriting MCQs | Page 3 of 7

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Q21.
What does primary underwriting involve in the underwriting process?

a.

Data analysis at the insurer's office

b.

Information gathering by an agent or company representative

c.

Decision-making regarding premiums

d.

Reviewing demographic data

Discuss
Answer: (b).Information gathering by an agent or company representative Explanation:Primary underwriting, also known as field-level underwriting, involves information gathering by an agent or company representative to determine whether an applicant is suitable for granting insurance coverage. The agent plays a crucial role in primary underwriting.
Q22.
What is the role of an insurance agent in primary underwriting?

a.

Assessing the financial stability of the insurance company

b.

Providing a confidential report on the proposer

c.

Conducting medical examinations of the proposer

d.

Reviewing the demographic data of the applicant

Discuss
Answer: (b).Providing a confidential report on the proposer Explanation:In primary underwriting, the insurance agent is responsible for providing a confidential report with specific information, opinions, and recommendations regarding the proposer.
Q23.
Why is the role of an agent crucial in the underwriting process?

a.

Agents can charge premiums on behalf of the insurer

b.

Agents have expertise in data analysis

c.

Agents have direct personal contact with the proposer

d.

Agents specialize in demographic analysis

Discuss
Answer: (c).Agents have direct personal contact with the proposer Explanation:The role of an agent is crucial in the underwriting process because agents have direct personal contact with the proposer, allowing them to verify the accuracy of the information provided by the proposer.
Q24.
Where does the major part of underwriting take place in the insurance company?

a.

At the agent's office

b.

At the primary underwriting level

c.

At the underwriting department in the insurer's office

d.

At the insurer's head office

Discuss
Answer: (c).At the underwriting department in the insurer's office Explanation:The major part of underwriting takes place at the underwriting department in the insurer's office, where specialists analyze all the relevant data on the particular risk and make decisions regarding insurance acceptance, terms, and premiums.
Q25.
What is portability of health insurance as defined by IRDAI?

a.

The option to transfer health insurance benefits from one family member to another

b.

The ability to switch from one insurance company to another without losing accumulated benefits

c.

The ability to change the terms of an existing policy at any time

d.

The process of consolidating multiple insurance policies into one

Discuss
Answer: (b).The ability to switch from one insurance company to another without losing accumulated benefits Explanation:Portability of health insurance, as defined by IRDAI, is the ability of individual health insurance policyholders to transfer the credit gained for pre-existing conditions and time-bound exclusions from one insurer to another insurer or from one plan to another plan of the same insurer, provided the previous policy has been maintained without any break.
Q26.
When can the process of portability be initiated by an insured individual?

a.

At any time during the policy term

b.

Only when switching from a group policy to an individual policy

c.

Only during the initial purchase of a health insurance policy

d.

Only at the time of policy renewal

Discuss
Answer: (d).Only at the time of policy renewal Explanation:Portability can be initiated by an insured individual only at the time of policy renewal.
Q27.
How much time in advance should an insured individual request porting to the old insurer?

a.

At least 15 days before the renewal

b.

At least 30 days before the renewal

c.

At least 45 days before the renewal

d.

At least 60 days before the renewal

Discuss
Answer: (c).At least 45 days before the renewal Explanation:An insured individual should request porting to the old insurer at least 45 days before the renewal.
Q28.
Which entity maintains data about all health insurance policies issued by insurance companies to individuals?

a.

IRDAI

b.

The old insurer

c.

The insured individual

d.

The new insurance company

Discuss
Answer: (a).IRDAI Explanation:IRDAI maintains data about all health insurance policies issued by insurance companies to individuals, enabling the new insurer to access and obtain data on the porting policyholder’s health insurance history.
Q29.
What terms of the new policy, including the premium, are decided by the new insurance company during portability?

a.

All terms and conditions

b.

Premium only

c.

Terms and conditions except the premium

d.

Premium and other charges

Discuss
Answer: (d).Premium and other charges Explanation:During portability, the new insurance company decides the premium and other charges, in addition to other terms and conditions of the new policy.
Q30.
What is migration of health insurance, as defined by IRDAI?

a.

The transfer of health insurance benefits from one insurance company to another

b.

The process of changing the terms and conditions of an existing policy

c.

The option to switch from a family floater policy to an individual policy

d.

The movement of family members from one group policy to another

Discuss
Answer: (a).The transfer of health insurance benefits from one insurance company to another Explanation:Migration of health insurance, as defined by IRDAI, is the right accorded to health insurance policyholders to transfer the credit gained for pre-existing conditions and time-bound exclusions with the same insurer.
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