Question 1

At all ages, females have a higher tendency to become disabled than males and males have a higher probability of dying at each age.

Accepted Answer

A) True 
 B)False  True

Question 2

The primary loss that results from disability is typically the

Accepted Answer

A)  hospitalization charges, 
B)  physicians' and surgeons' fees 
C)  loss of the income that would have been earned 
D)  costs of long-term care. 
A)  hospitalization charges, 
B)  physicians' and surgeons' fees 
C)  loss of the income that would have been earned 
D)  costs of long-term care. C

Question 3

Match the descriptions with their terms:
-A/An _________________ results when a person is unable to work because of an illness or an injury.

Accepted Answer

A)  Continuance tables 
B)  Custodial nursing homes 
C)  disability loss 
D)  executor 
E)  executor fund
F) human life value
G) Intermediate nursing home care
H) key employee
I) Mortality tables
J) partial disability
K) permanent disability
L) premature death
M) Skilled nursing home care
N) temporary disability
O) total disability 
A)  Continuance tables 
B)  Custodial nursing homes 
C)  disability loss 
D)  executor 
E)  executor fund
F) human life value
G) Intermediate nursing home care
H) key employee
I) Mortality tables
J) partial disability
K) permanent disability
L) premature death
M) Skilled nursing home care
N) temporary disability
O) total disability C

Question 4

Match the descriptions with their terms:
-_________________ involves some level of medical services, but less than that provided by a skilled nursing home.

Accepted Answer

A)  Continuance tables 
B)  Custodial nursing homes 
C)  disability loss 
D)  executor 
E)  executor fund
F) human life value
G) Intermediate nursing home care
H) key employee
I) Mortality tables
J) partial disability
K) permanent disability
L) premature death
M) Skilled nursing home care
N) temporary disability
O) total disability 
A)  Continuance tables 
B)  Custodial nursing homes 
C)  disability loss 
D)  executor 
E)  executor fund
F) human life value
G) Intermediate nursing home care
H) key employee
I) Mortality tables
J) partial disability
K) permanent disability
L) premature death
M) Skilled nursing home care
N) temporary disability
O) total disability

Question 5

Which of the following statements is not true in relation to the 1980 CSO Table?

Accepted Answer

A)  The 1980 CSO Table attempts to express the probabilities of living and dying at various ages 
B)  The 1980 CSO Table stands for the Commissioners Standard Ordinary Mortality Table 
C)  The 1980 CSO Table is based on the general population of the United States 
D)  The 1980 CSO Table was constructed by insurance actuaries. 
A)  The 1980 CSO Table attempts to express the probabilities of living and dying at various ages 
B)  The 1980 CSO Table stands for the Commissioners Standard Ordinary Mortality Table 
C)  The 1980 CSO Table is based on the general population of the United States 
D)  The 1980 CSO Table was constructed by insurance actuaries.

Question 6

The concept of human life value is most correctly used

Accepted Answer

A)  in conjunction with wrongful death claims as a basis for computing a liability award, 
B)  as a gauge to help determine how much life insurance a person should obtain, 
C)  as a way to establish the value of an employee to the employer in order to facilitate the purchase of the correct amount of key employee life insurance, 
D)  as a way to evaluate individual circumstances, resources, or needs. 
A)  in conjunction with wrongful death claims as a basis for computing a liability award, 
B)  as a gauge to help determine how much life insurance a person should obtain, 
C)  as a way to establish the value of an employee to the employer in order to facilitate the purchase of the correct amount of key employee life insurance, 
D)  as a way to evaluate individual circumstances, resources, or needs.

Question 7

Match the descriptions with their terms:
-_________________ do not provide medical services; instead, they concentrate on providing personal care services such as assistance with bathing, dressing, eating, and other daily activities.

Accepted Answer

A)  Continuance tables 
B)  Custodial nursing homes 
C)  disability loss 
D)  executor 
E)  executor fund
F) human life value
G) Intermediate nursing home care
H) key employee
I) Mortality tables
J) partial disability
K) permanent disability
L) premature death
M) Skilled nursing home care
N) temporary disability
O) total disability 
A)  Continuance tables 
B)  Custodial nursing homes 
C)  disability loss 
D)  executor 
E)  executor fund
F) human life value
G) Intermediate nursing home care
H) key employee
I) Mortality tables
J) partial disability
K) permanent disability
L) premature death
M) Skilled nursing home care
N) temporary disability
O) total disability

Question 8

Match the descriptions with their terms:
-The person charged with carrying out the terms of a deceased person's will is the _________________.

Accepted Answer

A)  Continuance tables 
B)  Custodial nursing homes 
C)  disability loss 
D)  executor 
E)  executor fund
F) human life value
G) Intermediate nursing home care
H) key employee
I) Mortality tables
J) partial disability
K) permanent disability
L) premature death
M) Skilled nursing home care
N) temporary disability
O) total disability 
A)  Continuance tables 
B)  Custodial nursing homes 
C)  disability loss 
D)  executor 
E)  executor fund
F) human life value
G) Intermediate nursing home care
H) key employee
I) Mortality tables
J) partial disability
K) permanent disability
L) premature death
M) Skilled nursing home care
N) temporary disability
O) total disability

Question 9

An executor fund is typically made up of funds to pay expenses such as funeral and burial costs, estate administration expenses, and bequests made in the decedent's will.

Accepted Answer

A) True 
 B)False

Question 10

Which of the following most accurately and completely describes the factors that typically complicate retirement income planning?

Accepted Answer

A)  uncertainty as to the future increases in the cost of living, uncertainty as to which spouse will die first, and uncertainty as to how long a person will live, 
B)  uncertainty as to the future increases in the cost of living, uncertainty as to which spouse will die first, uncertainty as to how long a person will live, and the coordination of benefits from various sources, such as Social Security, employee retirement plans, part-time earnings, investment income, etc., 
C)  uncertainty as to the future increases in the cost of living, uncertainty as to which spouse will die first, and the coordination of benefits from various sources, such as Social Security, employee retirement plans, part-time earnings, investment income, etc., 
D)  uncertainty as to how long a person will live and the coordination of benefits from various sources, such as Social Security, employee retirement plans, part-time earnings, investment income, etc. 
A)  uncertainty as to the future increases in the cost of living, uncertainty as to which spouse will die first, and uncertainty as to how long a person will live, 
B)  uncertainty as to the future increases in the cost of living, uncertainty as to which spouse will die first, uncertainty as to how long a person will live, and the coordination of benefits from various sources, such as Social Security, employee retirement plans, part-time earnings, investment income, etc., 
C)  uncertainty as to the future increases in the cost of living, uncertainty as to which spouse will die first, and the coordination of benefits from various sources, such as Social Security, employee retirement plans, part-time earnings, investment income, etc., 
D)  uncertainty as to how long a person will live and the coordination of benefits from various sources, such as Social Security, employee retirement plans, part-time earnings, investment income, etc.

Question 11

Both the frequency and severity of losses associated with hospitalization vary considerably by geographic location.

Accepted Answer

A) True 
 B)False

Question 12

Match the descriptions with their terms:
-A/An _________________ occurs before the life stage where death becomes increasingly accepted by society as part of the natural, expected order of life.

Accepted Answer

A)  Continuance tables 
B)  Custodial nursing homes 
C)  disability loss 
D)  executor 
E)  executor fund
F) human life value
G) Intermediate nursing home care
H) key employee
I) Mortality tables
J) partial disability
K) permanent disability
L) premature death
M) Skilled nursing home care
N) temporary disability
O) total disability 
A)  Continuance tables 
B)  Custodial nursing homes 
C)  disability loss 
D)  executor 
E)  executor fund
F) human life value
G) Intermediate nursing home care
H) key employee
I) Mortality tables
J) partial disability
K) permanent disability
L) premature death
M) Skilled nursing home care
N) temporary disability
O) total disability

Question 13

Match the descriptions with their terms:
-_________________ includes ongoing medical services, with residents seen regularly by doctors.

Accepted Answer

A)  Continuance tables 
B)  Custodial nursing homes 
C)  disability loss 
D)  executor 
E)  executor fund
F) human life value
G) Intermediate nursing home care
H) key employee
I) Mortality tables
J) partial disability
K) permanent disability
L) premature death
M) Skilled nursing home care
N) temporary disability
O) total disability 
A)  Continuance tables 
B)  Custodial nursing homes 
C)  disability loss 
D)  executor 
E)  executor fund
F) human life value
G) Intermediate nursing home care
H) key employee
I) Mortality tables
J) partial disability
K) permanent disability
L) premature death
M) Skilled nursing home care
N) temporary disability
O) total disability

Question 14

Despite the fact that there has been tremendous growth in the percentage of people over age 65, the percentage of people over age 85 has tended to decrease slightly in recent years.

Accepted Answer

A) True 
 B)False

Question 15

The extent to which a person is disabled is sometimes highly subjective.

Accepted Answer

A) True 
 B)False

Question 16

The percentage of pre-retirement income needed for a retired couple to maintain the same standard of living is

Accepted Answer

A)  100 percent, 
B)  about 120 percent, 
C)  between 66 and 82 percent, 
D)  less than 50 percent. 
A)  100 percent, 
B)  about 120 percent, 
C)  between 66 and 82 percent, 
D)  less than 50 percent.

Question 17

Match the descriptions with their terms:
-_________________ are used to gauge the likely severity of disability for personal risk management purposes.

Accepted Answer

A)  Continuance tables 
B)  Custodial nursing homes 
C)  disability loss 
D)  executor 
E)  executor fund
F) human life value
G) Intermediate nursing home care
H) key employee
I) Mortality tables
J) partial disability
K) permanent disability
L) premature death
M) Skilled nursing home care
N) temporary disability
O) total disability 
A)  Continuance tables 
B)  Custodial nursing homes 
C)  disability loss 
D)  executor 
E)  executor fund
F) human life value
G) Intermediate nursing home care
H) key employee
I) Mortality tables
J) partial disability
K) permanent disability
L) premature death
M) Skilled nursing home care
N) temporary disability
O) total disability

Question 18

Match the descriptions with their terms:
-A person who performs services that would be difficult for a business to replace is a/an _________________.

Accepted Answer

A)  Continuance tables 
B)  Custodial nursing homes 
C)  disability loss 
D)  executor 
E)  executor fund
F) human life value
G) Intermediate nursing home care
H) key employee
I) Mortality tables
J) partial disability
K) permanent disability
L) premature death
M) Skilled nursing home care
N) temporary disability
O) total disability 
A)  Continuance tables 
B)  Custodial nursing homes 
C)  disability loss 
D)  executor 
E)  executor fund
F) human life value
G) Intermediate nursing home care
H) key employee
I) Mortality tables
J) partial disability
K) permanent disability
L) premature death
M) Skilled nursing home care
N) temporary disability
O) total disability

Question 19

Which of the following statements is true in relation to disability losses?

Accepted Answer

A)  Disability losses can be highly subjective, 
B)  Disability occurs only when a person is completely incapable of returning to work, 
C)  Most disabilities are permanent, 
D)  Males are more likely to become disabled due to sickness than are women. 
A)  Disability losses can be highly subjective, 
B)  Disability occurs only when a person is completely incapable of returning to work, 
C)  Most disabilities are permanent, 
D)  Males are more likely to become disabled due to sickness than are women.

Question 20

Match the descriptions with their terms:
-A/An _________________ occurs when a person's condition is expected to leave him or her disabled until death.

Accepted Answer

A)  Continuance tables 
B)  Custodial nursing homes 
C)  disability loss 
D)  executor 
E)  executor fund
F) human life value
G) Intermediate nursing home care
H) key employee
I) Mortality tables
J) partial disability
K) permanent disability
L) premature death
M) Skilled nursing home care
N) temporary disability
O) total disability 
A)  Continuance tables 
B)  Custodial nursing homes 
C)  disability loss 
D)  executor 
E)  executor fund
F) human life value
G) Intermediate nursing home care
H) key employee
I) Mortality tables
J) partial disability
K) permanent disability
L) premature death
M) Skilled nursing home care
N) temporary disability
O) total disability

Exam 4: Life, Health, and Loss of Income Exposures

At all ages, females have a higher tendency to become disabled than males and males have a higher probability of dying at each age.

The primary loss that results from disability is typically the

Match the descriptions with their terms: -A/An _________________ results when a person is unable to work because of an illness or an injury.

Match the descriptions with their terms: -_________________ involves some level of medical services, but less than that provided by a skilled nursing home.

Which of the following statements is not true in relation to the 1980 CSO Table?

The concept of human life value is most correctly used

Match the descriptions with their terms: -_________________ do not provide medical services; instead, they concentrate on providing personal care services such as assistance with bathing, dressing, eating, and other daily activities.

Match the descriptions with their terms: -The person charged with carrying out the terms of a deceased person's will is the _________________.

An executor fund is typically made up of funds to pay expenses such as funeral and burial costs, estate administration expenses, and bequests made in the decedent's will.

Which of the following most accurately and completely describes the factors that typically complicate retirement income planning?

Both the frequency and severity of losses associated with hospitalization vary considerably by geographic location.

Match the descriptions with their terms: -A/An _________________ occurs before the life stage where death becomes increasingly accepted by society as part of the natural, expected order of life.

Match the descriptions with their terms: -_________________ includes ongoing medical services, with residents seen regularly by doctors.

Despite the fact that there has been tremendous growth in the percentage of people over age 65, the percentage of people over age 85 has tended to decrease slightly in recent years.

The extent to which a person is disabled is sometimes highly subjective.

The percentage of pre-retirement income needed for a retired couple to maintain the same standard of living is

Match the descriptions with their terms: -_________________ are used to gauge the likely severity of disability for personal risk management purposes.

Match the descriptions with their terms: -A person who performs services that would be difficult for a business to replace is a/an _________________.

Which of the following statements is true in relation to disability losses?

Match the descriptions with their terms: -A/An _________________ occurs when a person's condition is expected to leave him or her disabled until death.

Introduction to Risk

Risk Identification and Evaluation

Property and Liability Loss Exposures

Risk Management Techniques: Noninsurance Methods

Insurance As a Risk Management Technique: Principles

Insurance As a Risk Management Technique: Policy Provisions

Selecting and Implementing Risk Management Techniques

Risk Management and Commercial Propertypart I

Risk Management and Commercial Propertypart II

Risk Management and Commercial Liability Risk

Workers Compensation and Alternative Risk Financing

Risk Management for Auto Ownerspart I

Risk Management for Auto Ownerspart II

Risk Management for Homeowners

Loss of Life

Loss of Health

Retirement Planning and Annuities

Employee Benefits: Life and Health Benefits

Employee Benefits: Retirement Plans

Financial and Estate Planning

Risk Management and the Insurance Industry

Functions and Organization of Insurers

Government Regulation of Risk Management and Insurance

Filters