California 8-Hour Long-Term Care Training FINAL EXAM (CA 385230) (2023)

Based on recent Department of Health and Services data, approximately what percent of individuals age 65 or older are expected to require long-term care at some time during their life?

According to U.S. Census Bureau projections, what segment of the U.S. population is expected to grow at the fastest rate over the next 40 years?

In approximately what percent of married couples having at least one employed member are both spouses employed outside the home?

Approximately what percent of long-term care in the United States is provided by the care recipient’s family and friends?

Based on current levels of cost and historical rates of increase, what is the approximate average annual cost for a private room in a California nursing home expected to be in 2030?

The principal funding source for long-term care in the U.S. is

Which of the following types of home and community-based long-term care provides “hands-on” services that focus principally on assisting the care-recipient with performance of the activities of daily living (ADLs) like bathing, eating, etc.?

In order to be eligible for hospice care in the U.S., a terminally-ill individual must have a life expectancy of no more than

Short-term care provided to a long-term care recipient that enables a full-time caregiver to take a vacation from performing such care is known as

___________ is available only to an individual who is age 65 or older.

Which of the following is a facility designed for individuals who are unable to live independently but who do not require the 24-hour care characteristic of a nursing home?

Payment for an individual’s stay in a California residential care facility for the elderly (RCFE) is normally provided by which of the following?

What is a continuing care retirement community (CCRC) that provides independent living, assisted living and nursing home care within the same facility generally known as?

What is generally the youngest age at which an individual may take a reverse mortgage?

Which of the following is NOT considered in determining the amount of a federally-insured reverse mortgage that a homeowner may obtain?

Arthur took a federally-insured reverse mortgage when he was age 65. The residence securing the mortgage is now valued at $500,000, and the outstanding reverse mortgage balance is currently $600,000. If Arthur sells the residence for $500,000 to repay the reverse mortgage, what additional amount, if any, must he repay?

For what maximum period may an individual be confined in a nursing home before a reverse mortgage the care recipient had taken must be repaid?

A life settlement is the term associated with which of the following?

Ellen paid total premiums for her $100,000 life insurance policy of $20,000. Upon finding she was terminally ill, she sold the policy to a viatical settlement company for $75,000. If her cash value at the time of the sale was $30,000, how much of her viatical settlement was taxable to her?

Arthur paid total net premiums for his $100,000 life insurance policy amounting to $10,000. He is now terminally ill and has collected total accelerated death benefits under the policy of $40,000 with which he is paying for long-term care services. How much of his total accelerated death benefits must he recognize as income?

How long must a person who is otherwise eligible for Medi-Cal wait for eligibility for Medi-Cal nursing home benefits if he transfers a primary residence worth $241,568 to another person?

Medicare pays for any costs associated with care delivered in a skilled nursing facility at 100% for a Medicare beneficiary for up to ______ days.

For what minimum period must a person be certified as being unable to perform at least two ADLs in order to be deemed chronically ill?

Re-certification in order to qualify for long-term care benefits must occur

Sally is an owner/employee of Food Brokers, Inc., a closely-held C corporation, which paid premiums of $4,000 for her tax-qualified long-term care insurance policy. If she received $25,000 in long-term care insurance benefits, how much of her benefits must she include in her income for tax purposes?

Bill paid $60,000 in total net premiums for his nonqualified deferred annuity contract. Last year, when the annuity’s cash value was $72,000 he withdrew $20,000 to pay his expenses for long-term care. How much of Bill’s annuity withdrawal must he include in his income?

John’s deferred annuity/long-term care hybrid product has a $2,000 gain. The charges against the annuity’s cash value to pay for the qualified long-term care insurance premium last year amounted to $3,500. How much of the amount charged against the cash value must John include in his income?

Audrey, age 61, owns a deferred annuity/long-term care hybrid product. Last year charges to pay for the qualified independent long-term care insurance benefit amounting to $3,600 were taken from her annuity’s cash value. What amount of the premium charges may she deduct as a medical expense?

The independent long-term care insurance benefit in a long-term care hybrid product is paid only after all cash value has been depleted in

John owns a life insurance/long-term care hybrid product. When he required long-term care last year, he accessed his policy to provide the needed benefits. From where did those initial benefits come?

Shirley’s single premium life insurance/long-term care hybrid product is a modified endowment contract with a $3,000 gain. A charge of $2,500 was made against the cash value last year to pay the premium for the tax-qualified independent long-term care benefit. How much of the charge is subject to income taxation?

What monthly long-term care benefit normally would be payable under a tail-designed annuity/long-term care hybrid product if the total maximum long-term care benefit is 3 times the cash value at first claim, the cash value was $100,000 when the first claim was made and the benefit period is 36 months?

Which of the following is generally considered the principal additional benefit of true-group long-term care insurance when compared to individual long-term care insurance?

How many members must a non-California association have before it can offer group long-term care insurance coverage in California?

Which one of the following coverages must be included in any long-term care insurance policy in California that provides coverage for care in a nursing facility?

Ellen’s long-term care insurance policy issued in California provides a $300 daily benefit for institutional confinement. What is the minimum daily benefit amount it must provide for care in a residential care facility?

Which one of the following types of care is described as “assistance with the activities of daily living, including the instrumental activities of daily living, provided by a skilled or unskilled person under a plan of care developed by a physician or a multidisciplinary team under medical direction”?

Assistance with shopping, light housekeeping and menu planning is generally considered part of long-term care provided as

Long-term care services considered to be palliative and principally designed to ease the pain of dying individuals are provided in

Providing temporary relief to an uncompensated caregiver is referred to as

What minimum home care benefit must be provided under a comprehensive long-term care insurance policy in California if its daily nursing home benefit is $250?

Who must determine that an individual is chronically ill under California law in order for an insured to receive benefits under a tax-qualified long-term care insurance policy?

How many activities of daily living (ADLs) must be included and defined in a non-tax-qualified long-term care policy in California?

What maximum period of hospitalization can be required in California long-term care insurance contracts before an insured becomes eligible for long-term care insurance benefits?

Under California law, a long-term care insurance policy insured must be offered the opportunity to purchase inflation protection. If the inflation protection provides for annual benefit increases, the annual increase must be

At what minimum age would a long-term care insurance applicant be likely to obtain sufficient inflation protection by purchasing 5% simple inflation protection.

How frequently will an insurer normally restore long-term care insurance benefits under a restoration of benefits provision?

Helen and Bob are a married couple covered under long-term care insurance policies containing a survivor benefit. Which of the following benefits will be provided upon Bob’s death?

A long-term care insurance policy containing a shortened benefit period nonforfeiture benefit must, in conformity to California law, provide eligibility no later than after ____ years of premium payments.

MegaMutual imposes a pre-existing condition exclusion under its long-term care insurance policies. What is the maximum period of time under California law it may look back to the proposed insured’s receipt of medical advice or treatment for purposes of the exclusion?

What is the duration of the contestable period that must be used on long-term care insurance policies in California?

What is the minimum period of time that must pass after notification of the impending termination before an insurer may terminate a long-term care insurance policy in California for nonpayment of premium?

Helen, a California resident, received her long-term care insurance policy from her agent and wants to return it and get her money back. Under California law, what is the maximum period of time she can wait to return the policy following policy delivery and still be guaranteed to receive a refund?

MegaMutual is replacing its policyowner’s previously-issued long-term care insurance policy under which no claim has ever been filed. Under California law, the insurer must generally provide a premium credit on the new policy equal to _____ of the replaced policy’s annual premium multiplied by the number of years the policy had been in force

Insurance agents licensed longer than four years who are authorized to offer and sell long-term care insurance policies in California are required to complete a mandatory eight-hour long-term care training course

When is an insurance agent selling a long-term care insurance policy in California required to provide the consumer with a shopper’s guide?

What maximum financial penalty may be imposed under California law for an agent’s inappropriate replacement of long-term care insurance?

For how long are California insurance agents required to retain records concerning a long-term care insurance sale?

In an effort to stabilize long-term care insurance policy premiums, California may prohibit an insurer who regularly files inadequate premium rate schedules for its long-term care insurance products and subsequently seeks a rate increase from marketing such coverage in California for what maximum period?

How frequently must an insurer submit reports to the California insurance commissioner concerning each agent’s long-term care insurance replacement and lapse records?

The financial penalty that may be imposed for an insurance agent’s first violation of California law concerning long-term care insurance is a minimum fine of ________ if it is not deemed a knowing violation.

What is the maximum fine that may be imposed under California law for twisting if the policyowner’s resultant loss was $5,000?

What is the maximum penalty that may be imposed under California law for an insurance agent’s willful violation of the statute prohibiting unfair practices in insurance?

If an insurer issues a replacement Medicare supplement policy in California, what must the insurer do if the replaced policy had been in force for 6 months or longer?

If an insurance agent timely requests a hearing on allegations of California Insurance Code violations, how soon following receipt of the notice containing the allegations must a public hearing be held?

An insurer is required to submit to the commissioner a copy of any long-term care insurance advertisement used in California at least ________ before first use.

MegaMutual submitted its proposed long-term care insurance advertisement to the commissioner in California. For how long must the insurer retain a copy of the advertisement?

How frequently must an insurance agent licensed and authorized to sell long-term care insurance in California complete the mandatory eight-hour long-term care training during the first four years?

Arthur requested a specimen long-term care insurance policy from MegaMutual that was offered on its Website. How quickly must the company furnish the specimen?

When is an insurance agent licensed in California required to provide a long-term care insurance shoppers guide in connection with a long-term care insurance sale?

If the daily cost for long-term care exceeds the daily benefit under a California partnership long-term care insurance policy, how is the balance paid?

Arthur’s total non-exempt assets amount to $500,000. If his California partnership long-term care insurance pays a total benefit of $300,000, how much of his non-exempt assets avoid the Medi-Cal spend-down requirement?

Arthur’s California partnership long-term care insurance policy paid $75,000 in long-term care insurance benefits while he lived outside California. When he returned to California he received an additional $250,000 in long-term care insurance benefits under the policy. If he applied for Medi-Cal to assist in the payment of his continued long-term care, how much of his assets avoided the Medi-Cal spend-down requirement?

The smallest amount of lifetime long-term care insurance benefits that may be purchased under a California partnership for long-term care policy is ______ of the average daily private pay rate for nursing facilities in California times

Which of the following is NOT the same for all California long-term care partnership policies?