Ace the Florida Life & Health Insurance Test 2026 – Dive In and Secure Your Success!

Question: 1 / 400

How are premiums paid by an employer for an employee's group Medical Expense insurance treated for tax purposes?

Taxable as income to the employee

Not deductible by the employer

Deductible by the employer as a business expense

Premiums paid by an employer for an employee's group Medical Expense insurance are deductible as a business expense because they are considered a necessary cost of doing business. Option A is incorrect because the premiums are not considered taxable income to the employee. Option B is incorrect because the premiums are deductible by the employer. Option D is incorrect because the premiums are not considered a gift to the employee.

Get further explanation with Examzify DeepDiveBeta

Considered a gift to the employee

Next Question

Report this question

Download Florida Life and Health Insurance License Practice Test PDF Study Guide
Subscribe

Get the latest from Examzify

You can unsubscribe at any time. Read our privacy policy