Alaska Health Insurance Practice Exam Free - 2026

• A. A right to return within 10 days of delivery with premium refunded
• B. A right to return within 30 days of delivery and have the premium refunded, with the refund made within 30 days
• C. A right to return within 15 days, with a refund less administrative costs
• D. No return right; long-term care policies are guaranteed renewable instead

Correct answer: B. A right to return within 30 days of delivery and have the premium refunded, with the refund made within 30 days

Explanation: An Alaska long-term care insurance applicant may return the policy within 30 days after delivery and have the premium refunded if not satisfied for any reason; the notice must be prominently printed on the first page, and any refund must be made within 30 days after the return. A is the general life insurance free look under AS 21.45.020, not the LTC rule. C uses a period and deduction the statute does not allow. D is wrong because renewability and the return right are separate requirements. See AS 21.53.050.

• A. No special training; the health line of authority is sufficient
• B. A one-time 4-hour course, then 8 hours every 24 months
• C. A one-time course of at least 8 credit hours, then ongoing training of at least 4 credit hours every 24 months
• D. A one-time 16-hour course with no ongoing requirement

Correct answer: C. A one-time course of at least 8 credit hours, then ongoing training of at least 4 credit hours every 24 months

Explanation: A person may not sell, solicit or negotiate long-term care insurance in Alaska unless licensed for health or life lines and has completed a one-time training course of at least eight credit hours; the person must then complete ongoing training of at least four credit hours every 24 months. The course may not be insurer-specific or contain sales material, and the director may approve it as continuing education. A is wrong because the statute imposes training beyond licensure. B reverses the figures. D uses hours the statute does not require and omits the ongoing requirement. See AS 21.53.066.

• A. Yes, because open enrollment ended 30 days after his 65th birthday
• B. Yes, unless he had prior creditable coverage
• C. No, but only because he applied within 90 days of enrolling in Part B
• D. No; he applied within the six-month open enrollment period beginning the first month he was both 65 and enrolled in Part B

Correct answer: D. No; he applied within the six-month open enrollment period beginning the first month he was both 65 and enrolled in Part B

Explanation: An issuer may not deny or condition issuance, or discriminate in pricing because of health status, claims experience or medical condition, when the application is submitted before or during the six-month period beginning with the first day of the first month in which the individual is both 65 or older and enrolled in Medicare Part B. Walter's window runs from March 1 through August 31. A and C use periods that do not exist in the Alaska regulation. B is wrong because creditable coverage affects only whether a preexisting-condition exclusion can be applied, not guaranteed issue. See 3 AAC 28.457.

• A. No; a preexisting condition may not be defined more restrictively than one treated or diagnosed within six months before coverage, and losses more than six months after the effective date must be covered
• B. Yes; a 12-month look-back and 12-month exclusion are the standard limits
• C. No; Medicare supplement policies may never contain any preexisting-condition limitation
• D. Yes, provided the exclusion is disclosed in the outline of coverage

Correct answer: A. No; a preexisting condition may not be defined more restrictively than one treated or diagnosed within six months before coverage, and losses more than six months after the effective date must be covered

Explanation: Alaska's minimum standards for standardized Medicare supplement policies provide that a policy may not exclude or limit coverage for a loss due to a preexisting condition if the loss was incurred more than six months after the effective date, and may not define a preexisting condition more restrictively than one for which medical advice was given or treatment recommended or received within six months before coverage. B uses periods the regulation does not permit. C is wrong because a six-month limitation is allowed (and is waived only in open enrollment with six months of creditable coverage). D is wrong because disclosure does not cure a prohibited limitation. See 3 AAC 28.459.

• A. Basic hospital, surgical, and medical coverage with low limits, first-dollar benefits, and no deductible
• B. Coverage that pays a scheduled cash benefit for each day the insured is confined to a hospital
• C. Comprehensive coverage for a wide range of healthcare expenses, subject to an out-of-pocket maximum
• D. Coverage limited to catastrophic illnesses such as cancer, stroke, or heart attack, paid as a lump sum

Correct answer: C. Comprehensive coverage for a wide range of healthcare expenses, subject to an out-of-pocket maximum

Explanation: Major medical provides broad coverage for hospitalization, surgery, physician services, and related care. An ACA-compliant plan may not place annual or lifetime dollar limits on essential health benefits, so the ceiling a student should associate with it is the annual out-of-pocket maximum rather than a benefit maximum. It is not the same as basic medical expense coverage, a hospital indemnity policy, or a limited dread-disease policy.

• A. An employer-owned account funded solely by the employer to reimburse medical costs
• B. An employer account whose unused balance is forfeited at the end of the plan year
• C. A savings account available to people enrolled in a PPO plan rather than an HDHP
• D. A tax-advantaged account for medical expenses, paired with an HDHP

Correct answer: D. A tax-advantaged account for medical expenses, paired with an HDHP

Explanation: An HSA is a tax-advantaged savings account for medical expenses available to individuals enrolled in a High Deductible Health Plan. Contributions are tax-deductible, growth is tax-free, and withdrawals for qualified medical expenses are tax-free.

• A. An employer-sponsored account for pre-tax medical expense savings with use-it-or-lose-it rules
• B. A portable, individually owned account whose unused balance rolls over from year to year
• C. An employer-funded reimbursement arrangement that employees cannot contribute to themselves
• D. An account for medical expenses that can be opened by someone enrolled in a high deductible health plan

Correct answer: A. An employer-sponsored account for pre-tax medical expense savings with use-it-or-lose-it rules

Explanation: An FSA is an employer-sponsored benefit that allows employees to set aside pre-tax dollars for medical expenses. Unlike HSAs, FSAs typically have 'use-it-or-lose-it' rules, though some carry-over is allowed.

• A. The period after issue during which sickness claims are not covered
• B. The waiting period before benefits begin after a covered event
• C. The period after a missed premium during which coverage stays in force
• D. The maximum length of time benefits are paid for a single disability

Correct answer: B. The waiting period before benefits begin after a covered event

Explanation: The elimination period (also called waiting period) is the time between when a covered event occurs (like disability) and when benefits begin. Longer elimination periods result in lower premiums.

• A. Rules requiring the insurer to be reimbursed by a third party who caused the loss
• B. Rules requiring an employer and employees to share the cost of group premiums
• C. Rules determining payment responsibility when the insured has multiple health plans
• D. Rules allowing the insurer to reduce benefits when the insured's earnings have changed

Correct answer: C. Rules determining payment responsibility when the insured has multiple health plans

Explanation: Coordination of benefits determines which insurance plan pays first (primary) and which pays second (secondary) when a person has coverage under more than one health plan, preventing duplicate payments.

• A. The time the insured must wait after a loss before benefits are paid
• B. The time after issue during which sickness is not covered
• C. The time after a premium due date during which coverage continues
• D. The time during which benefits are provided for a covered event

Correct answer: D. The time during which benefits are provided for a covered event

Explanation: The benefit period is the length of time during which benefits are provided for a covered event. For example, a hospital policy might have a 90-day benefit period per hospital stay.

• A. A policy the insurer must renew regardless of health changes
• B. A policy the insurer may cancel at any time by returning unearned premium
• C. A policy whose premium is locked in and cannot be raised by the insurer
• D. A policy the insurer may decline to renew for reasons stated in the contract

Correct answer: A. A policy the insurer must renew regardless of health changes

Explanation: A guaranteed renewable policy must be renewed by the insurer as long as premiums are paid, regardless of changes in the insured's health. However, the insurer may increase premiums for the entire class of policyholders.

• A. The insurer must renew the policy but may raise premiums for an entire class
• B. The insurer cannot cancel or raise premiums as long as premiums are paid
• C. The insurer may cancel mid-term as long as it refunds the unearned premium
• D. The insured is locked into the contract and cannot drop coverage before it expires

Correct answer: B. The insurer cannot cancel or raise premiums as long as premiums are paid

Explanation: A noncancellable policy cannot be cancelled by the insurer, and the insurer cannot raise premiums above what's stated in the policy, as long as premiums are paid on time. This provides maximum protection.