The Alaska Life and Health Insurance Guaranty Association submits an amendment to its plan of operation to the director. The director lets it sit without any written decision, approving or disapproving. When does the amendment take effect?

30 days after the director receives it

Alaska's required reinstatement provision ends with a sentence limiting how far back a premium accepted at reinstatement may be applied. In which of the following policies may the insurer leave that sentence out?

A policy the insured may keep in force by paying premiums on time until at least age 50

An Alaska agent selling annuities wants to refer to the Alaska Life and Health Insurance Guaranty Association in a sales mailer to prospective buyers. Which statement about the agent's plan is correct?

It may not use the association's existence to promote any sale

An insurer issuing an individual health policy in Alaska wants to word one of the optional policy provisions differently from the text the statute prints. Under Alaska law, when may it use the different wording?

Only with director approval, and only if no less favorable to the insured

An Alaska individual health policy contains the required Change of Beneficiary provision, and the insured has never made an irrevocable beneficiary designation. Whose consent does the insured need in order to change the beneficiary?

Nobody's consent; the right to change is reserved to the insured

An Alaska group health insurance policy covers the employees of a construction firm. During enrollment, an employee gave an inaccurate but non-fraudulent answer about a past illness. Under the provision Alaska requires in every group health policy, the insurer may rely on that statement to reduce the employee's benefits only if the statement

appears in a written instrument the employee signed, with a copy furnished to the policyholder, employee, or beneficiary

A member insurer that wrote long-term care insurance becomes insolvent, and the guaranty association's board must make a class B assessment for that long-term care business. How must the methodology in the association's approved plan of operation allocate the assessment?

Half to accident and health member insurers, half to life and annuity member insurers

A member insurer fails to pay a $1,500 assessment to the Alaska Life and Health Insurance Guaranty Association by its due date. If the director levies a penalty on the insurer for the late payment, what is the penalty?

$100 for each month the assessment stays unpaid

Maria is covered under a blanket accident and health policy issued in Alaska. She is injured on March 3 and is unconscious in the hospital for five weeks. She gives the insurer written notice of the injury shortly after regaining consciousness, on April 9. Under the notice provision Alaska requires in blanket policies, how is her claim treated?

It stands if she shows notice within 20 days was not reasonably possible and she gave it as soon as she reasonably could.

An employee's child is enrolled in Medicaid, and that coverage ends on March 1 because the child loses eligibility. The employer offers a group-market health care insurance plan in Alaska. Under Alaska law, by when must the employee request coverage for the child under the group plan to use the special enrollment right?

Within 60 days after the date the Medicaid coverage ended

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Real questions with the answer, the reasoning and the source.

1.The Alaska Life and Health Insurance Guaranty Association submits an amendment to its plan of operation to the director. The director lets it sit without any written decision, approving or disapproving. When does the amendment take effect?
Answer: A. 30 days after the director receives it
Under Alaska Stat. Sec. 21.79.080(a), the plan of operation and any amendment take effect in one of two ways: on the director's written approval, or 30 days after the director receives it if the director has not disapproved it. Because the director made no decision, the amendment takes effect 30 days after receipt. Written approval is one route to effectiveness, not the only one. Sixty days is not the period the statute sets. Submission alone does not put the amendment into effect.
Source
Alaska Stat. Sec. 21.79.080(a)
Choose an answer to see the explanation.
2.Alaska's required reinstatement provision ends with a sentence limiting how far back a premium accepted at reinstatement may be applied. In which of the following policies may the insurer leave that sentence out?
Answer: D. A policy the insured may keep in force by paying premiums on time until at least age 50
The last sentence of the reinstatement provision applies premium accepted at reinstatement to an unpaid period, but not to one more than 60 days before the reinstatement date. That sentence may be omitted where the insured has the right to continue the policy by timely premium payment until at least age 50, or, for a policy issued after age 44, for at least five years from issue. A policy the insurer can cancel at will gives the insured no such right to continue it. Reinstatement by acceptance of premium without an application describes how reinstatement occurs, not a condition for omitting the sentence, and premium frequency bears on the grace period length rather than on this sentence.
Source
Alaska Stat. Sec. 21.51.070(b)
Choose an answer to see the explanation.
3.An Alaska agent selling annuities wants to refer to the Alaska Life and Health Insurance Guaranty Association in a sales mailer to prospective buyers. Which statement about the agent's plan is correct?
Answer: D. It may not use the association's existence to promote any sale
Alaska Stat. Sec. 21.79.160(a) bars any person, expressly including a member insurer, its agents and affiliates, from using the existence of the association to sell, solicit or induce the purchase of coverage the association covers. The ban reaches advertisements, announcements and statements whether written or oral, in print, on radio or television, or in any other way. Oral references are therefore covered too. The only exception the subsection gives is for the association itself and for entities that do not sell or solicit insurance, so neither citing the statute nor the insurer's approval makes the mailer permissible.
Source
Alaska Stat. Sec. 21.79.160(a)
Choose an answer to see the explanation.
4.An insurer issuing an individual health policy in Alaska wants to word one of the optional policy provisions differently from the text the statute prints. Under Alaska law, when may it use the different wording?
Answer: D. Only with director approval, and only if no less favorable to the insured
Alaska Stat. Sec. 21.51.160 says a policy may contain provisions on the optional subjects only in the words the statute uses, with one exception: the insurer may substitute a corresponding provision of different wording that the director has approved and that is not less favorable in any respect to the insured or the beneficiary. Disclosure on the first page and the insured's signed acceptance are not the test the section sets. Wording measured by whether it favors the insurer has the test backwards, because the comparison is to the insured and beneficiary.
Source
Alaska Stat. Sec. 21.51.160
Choose an answer to see the explanation.
5.An Alaska individual health policy contains the required Change of Beneficiary provision, and the insured has never made an irrevocable beneficiary designation. Whose consent does the insured need in order to change the beneficiary?
Answer: B. Nobody's consent; the right to change is reserved to the insured
Alaska Stat. Sec. 21.51.150 requires a Change of Beneficiary provision stating that, unless the insured has made an irrevocable designation, the insured keeps the right to change the beneficiary. The provision also says the beneficiary's consent is not required for a change of beneficiary, for a surrender or assignment of the policy, or for any other change in the policy. That rules out the choice requiring the named beneficiary's written consent and the choice requiring it for an assignment. The provision does not make the insurer's approval a condition of the change, so the choice adding insurer approval is also wrong.
Source
Alaska Stat. Sec. 21.51.150
Choose an answer to see the explanation.
6.An Alaska group health insurance policy covers the employees of a construction firm. During enrollment, an employee gave an inaccurate but non-fraudulent answer about a past illness. Under the provision Alaska requires in every group health policy, the insurer may rely on that statement to reduce the employee's benefits only if the statement
Answer: C. appears in a written instrument the employee signed, with a copy furnished to the policyholder, employee, or beneficiary
Alaska requires every group health policy to provide that, absent fraud, statements by applicants, the policyholder, or an insured person are representations, not warranties. Such a statement can void the coverage or reduce benefits only if it is in a written instrument signed by the insured person or the policyholder, and a copy of that instrument was furnished to the policyholder, the insured person, or the insured's beneficiary. An answer the employee signed, with a copy furnished, meets that test. The provision sets no two-year period; its only condition is the signed writing with a copy furnished. A note on a producer's worksheet is not an instrument the employee signed. Labeling the statement a warranty conflicts with the required provision, which treats such statements as representations.
Source
Alaska Stat. Sec. 21.54.010(1)
Choose an answer to see the explanation.
7.A member insurer that wrote long-term care insurance becomes insolvent, and the guaranty association's board must make a class B assessment for that long-term care business. How must the methodology in the association's approved plan of operation allocate the assessment?
Answer: A. Half to accident and health member insurers, half to life and annuity member insurers
Alaska Stat. Sec. 21.79.070(c) treats long-term care differently from other class B assessments. The general class B formula, which may rest on the impaired or insolvent insurer's premiums or reserves or another standard the board finds fair, expressly excludes assessments related to long-term care. For long-term care, the methodology in the plan of operation approved by the director must allocate 50 percent to accident and health member insurers and 50 percent to life and annuity member insurers, so neither an all-health allocation nor a two-thirds and one-third split complies.
Source
Alaska Stat. Sec. 21.79.070(c)
Choose an answer to see the explanation.
8.A member insurer fails to pay a $1,500 assessment to the Alaska Life and Health Insurance Guaranty Association by its due date. If the director levies a penalty on the insurer for the late payment, what is the penalty?
Answer: B. $100 for each month the assessment stays unpaid
Alaska Stat. Sec. 21.79.090(b)(3) lets the director penalize a member insurer that misses an assessment due date, and it sets the amount by the size of the unpaid assessment. Where the unpaid assessment is $2,000 or less, as the $1,500 here is, the penalty is $100 a month. The five percent monthly figure is a ceiling that applies only when the unpaid assessment is more than $2,000, and even then the penalty may not drop below $100 a month. A $500 monthly penalty and a one-time charge equal to the assessment do not appear in the provision.
Source
Alaska Stat. Sec. 21.79.090(b)(3)
Choose an answer to see the explanation.
9.Maria is covered under a blanket accident and health policy issued in Alaska. She is injured on March 3 and is unconscious in the hospital for five weeks. She gives the insurer written notice of the injury shortly after regaining consciousness, on April 9. Under the notice provision Alaska requires in blanket policies, how is her claim treated?
Answer: D. It stands if she shows notice within 20 days was not reasonably possible and she gave it as soon as she reasonably could.
Alaska requires a blanket policy to contain a notice provision at least as favorable as the statutory one: written notice of sickness or injury is due within 20 days after it occurs, but missing that deadline does not invalidate or reduce a claim if it is shown that timely notice was not reasonably possible and that notice was given as soon as was reasonably possible. If Maria shows that her unconsciousness made timely notice not reasonably possible, and she gave notice promptly once she could, the late notice does not defeat her claim. The 20-day period is real, but the excuse clause means late notice is not an automatic bar. The provision contains no proportional reduction for late notice. The notice provision also does not make payment depend on filing proof of loss within the 20-day window.
Source
Alaska Stat. Sec. 21.54.030(2)
Choose an answer to see the explanation.
10.An employee's child is enrolled in Medicaid, and that coverage ends on March 1 because the child loses eligibility. The employer offers a group-market health care insurance plan in Alaska. Under Alaska law, by when must the employee request coverage for the child under the group plan to use the special enrollment right?
Answer: D. Within 60 days after the date the Medicaid coverage ended
When Medicaid or state child health plan coverage ends because eligibility is lost, the group-market insurer must let the eligible employee or dependent enroll under the plan's terms if the employee requests coverage within 60 days after the termination date. Thirty days and 90 days are not the figures this provision uses. Waiting for open enrollment is not required, because the statute obliges the insurer to allow enrollment once a timely request is made.
Source
Alaska Stat. Sec. 21.54.105(1)
Choose an answer to see the explanation.

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The scored exam is free, 20 questions in 30 minutes, and needs an account. These 10 do not.

1.The Alaska Life and Health Insurance Guaranty Association submits an amendment to its plan of operation to the director. The director lets it sit without any written decision, approving or disapproving. When does the amendment take effect?

2.Alaska's required reinstatement provision ends with a sentence limiting how far back a premium accepted at reinstatement may be applied. In which of the following policies may the insurer leave that sentence out?

3.An Alaska agent selling annuities wants to refer to the Alaska Life and Health Insurance Guaranty Association in a sales mailer to prospective buyers. Which statement about the agent's plan is correct?

4.An insurer issuing an individual health policy in Alaska wants to word one of the optional policy provisions differently from the text the statute prints. Under Alaska law, when may it use the different wording?

5.An Alaska individual health policy contains the required Change of Beneficiary provision, and the insured has never made an irrevocable beneficiary designation. Whose consent does the insured need in order to change the beneficiary?

7.A member insurer that wrote long-term care insurance becomes insolvent, and the guaranty association's board must make a class B assessment for that long-term care business. How must the methodology in the association's approved plan of operation allocate the assessment?

8.A member insurer fails to pay a $1,500 assessment to the Alaska Life and Health Insurance Guaranty Association by its due date. If the director levies a penalty on the insurer for the late payment, what is the penalty?

The other 388 questions are $29.