C) Implied An unintentional violation of Utah insurance law could lead a producer to a fine of up to _____ per violation. Peter has a policy where 80% to 90% of the premium is invested in traditional fixed income securities and the remainder of the premium is invested in contracts tied to a stipulated stock index. Implied Ken is a producer who has obtained Consumer Informations Reports under false pretenses. Insurable interest Insurance exchanges Law of large numbers and risk pooling Population table data, People with higher loss exposure have the tendency to purchase insurance more often than those at average risk. B) Consideration A contract that requires certain conditions or acts by the insured individual A contract that has the potential for the unequal exchange of consideration for both parties A contract where one party "adheres" to the terms of the contract Dual Life insurance Joint Life insurance Last Survivor Life insurance Shared Life insurance, Index whole life insurance contains a securities component that acts as a(n) hedge against inflation premium stabilizer means to lowering taxes on earnings incentive to purchase more coverage, Which of the following are the premium payments for a Universal life policy NOT used for? Administrative actions taken against a producer must be reported to the Commissioner within ____ days. Which type of life insurance policy is this? A) State Insurance Departments All of the following are considered appropriate uses if life insurance for business purposes EXCEPT, Protecting the business by covering entry level employees with life insurance, Level premium permanent insurance accumulates a reserve that will eventually. B) Authority that is not specifically given to an agent in the agency contract, but that an agent can reasonably assume to carry out his/her duties A) A contract that requires certain conditions or acts by the insured individual D) Competent parties, Which of the following BEST describes a conditional insurance contract? Key elements of Organizational Behavior - People, Structure ,Technology & External Environment | Organizational Behavior, Penology - Meaning, Types, Importance, Scope and Example | Sociology, Karmachari Sanchaya Kosh - | Employees Provident Fund Nepal, Perceptual Errors -Types of Perceptual Error | Fundamentals of Organizational Behaviour, Difference between Manufacturing and Service Operations | Operation Management. C) Only the insurer is legally bound B) Implied authority In most insurance policies, the insurer is the only one who makes a legally binding promise to pay insured claims. Write a summary of the main ideas. Q. The principle of insurable interest, in regards to a life insurance contract, is accurately described in which statement? consideration Juvenile insurance Family income insurance Spouse insurance Term rider, A life insurance policy written on one contract for two people in which it is payable upon the first death is called Split Shared Joint Survivorship, Level premium permanent insurance accumulates a reserve that will eventually equal the face amount of the policy pay a dividend to the policyowner require the policyowner to make periodic withdrawals become larger than the face amount, A permanent life insurance policy where the policyowner pays premiums for a specified number of years is called a(n) adjustable policy limited pay policy level term policy variable universal policy, term, whole, and universal life insurance, What types of life insurance are normally used for key employee indemnification? The above question Which of the following BEST describes a conditional insurance contract?, Was part of Insurance MCQs & Answers. A) offer and acceptance What is the meaning of par value of stock with respect to the corporate form of organization? According to the Affordable Care Act (ACA), insurers can no longer deny health coverage due to pre-existing conditions unless that plan is a (n) Grandfathered plan Accident plan Individual plan Group plan Grandfathered plan A) Express authority An insurance contract usually involves an exchange of consideration between both parties: the insurer agrees to provide coverage and pay claims in the event of a loss, and the policyholder agrees to pay premiums in return. D) imposed authority, What makes an insurance policy a unilateral contract? Which of the following is a reinstatement condition? Shirley has a $500,000 10-year-non-renewable level term life policy. In order to maintain coverage and make a successful claim, its crucial that policyholders read and understand their insurance contract carefully. C) A contract where one party adheres to the terms of the contract For a trip to the hospital, Evan Appleton paid $1,656 in hospital charges, a$750 insurance deductible, and a $457 co-payment. Which scenario would most life insurance policies exclude coverage for? B) premium only When the principal gives the agent authority in writing, its referred to as, The terms must be accepted or rejected in full. Which of the following is NOT considered rebating? B. When handling premiums for an insured, an agent is acting in which capacity? D) Tom, The deeds and actions of a producer indicate what kind of authority? D) Intent, Which contract element is insurable interest a component of? Which settlement option pays a stated amount to an annuitant, but no residual value to a beneficiary? Which contract element is insurable interest a component of? B. Conditional insurance contracts are insurance policies that require the insured person to satisfy certain conditions in order to become effective and/or to be paid out by the insurer. A) producer's apparent authority C) fiduciary trust a. medical expenses covered under Pat's employer-sponsored group health insurance. Eventually, they retire and dissolve the business. When initial premium is collected and policy is issued. The face amount and policy premium are not affected by the payment Before payment of the benefit is made, specific conditions must exist, such as suffering from a terminal illness There may be a dollar limit on the maximum benefit The benefit can be offered as a rider at a specific extra cost or may be at no cost, Which of the following is NOT part of an insurance contract? A type of group that has a constitution and bylaws and has been organized for purposes other than obtaining insurance is called a(n). How often must an insurance producers license in Utah be renewed? C) Indemnity contract aleatory C) Insurable interest A) Insurable interest C) Aleatory guarantee Under the Fair Credit Reporting Act, what is the maximum penalty that may be imposed in Ken? State Insurance Departments NAIC Insurance carriers Insurance producers, Intentional withholding of material facts that would affect an insurance policy's validity is called a(n) estoppel concealment adhesion misrepresentation, The power given to an individual producer that is not specifically addressed in his/her contract is considered what type of authority? Which of the following are the premium payments for a universal life policy NOT used for? which of the following best describes a conditional insurance contract? Which type of multiple protection policy pays on the death of the last person? Provide an opinion. Orissa purchases a 10-year level term life insurance policy that has a death benefit of $200,000. A) Sister and brother D) A contract where only one party makes any kind of enforceable contract, A) A contract that requires certain conditions or acts by the insured individual, All of the following are elements of an insurance policy EXCEPT Have a great time ahead. B) Parent and children 2 See answers Accumulation at Interest Option Cash Dividend Option Paid-Up Additions Option One-Year Term Dividend Option, The policy may be paid up early by using policy dividends, Pat owns a 20-pay life policy with a paid-up dividend option. A) insured Principal Capacity, All of the following are elements of an insurance policy EXCEPT If the other agreement or condition is performed, then the conditional contract is . C) Law of large numbers A conditional contract, also called a hypothetical contract, is a contract agreement that only requires performance once the delineated conditions are met. Which of the following best describes how you analyze a fiction text Which of the following does a life insurance policy summary normally include? The insured, on the other hand, makes few, if any, legally binding promises to the insurer. Dorian exercises a nonforfeiture option by using his life policys cash value to purchase an extended term insurance option. Which of the following best describe the term definition. insurer In which form of corporate financing is the investor also an owner? Eventually, they retire and dissolve the business. Which of the following statements is true? Because of this, an insurance contract is considered Which statement is CORRECT when describing a contract of adhesion? Authority given in writing to an agent in the agency agreement Authority that is not specifically given to an agent in the agency contract, but that an agent can reasonably assume to carry out his/her duties Authority given to handle claims and process payments Authority given to an agent to act outside the scope of the agency agreement, The authority granted to a licensed producer is provided via the producer's apparent authority written contract Law of Agency Principal Capacity, Insurable interest does NOT occur in which of the following relationships? Life & Health 1 (Chapters 1, 2, 3, & 4) Flashcards Preview - Brainscape Julie has a $100,000 30-year mortgage on her new home. A) Insurability A contract that requires certain conditions or acts by the insured individual. Competent parties Offer and acceptance Consideration Legal purpose, What are an applicant's statements concerning occupation, hobbies, and personal health history regarded as? B) Apparent C) Law of Agency B) Offer and acceptance C) Competent parties Which of the following statements correctly describes a contract of indemnity? B) other insurance Which of the following is the best descriptive word? A - Weegy Which of the following best describes a symbol Modified Endowment Contract Current assumptive whole life Credit life insurance Equity index whole life, What kind of life insurance policy covers two or more people with the death benefit payable upon the last person's death? the contract must be aleatory Where would policy proceeds be paid if both the insured and primary beneficiary were killed in the same accident? Which of the following is an annuity that is linked to a market-related index? Waiver Exclusion Rider Provision, The double indemnity provision in a life insurance policy pertains to an insured's death caused by a(n) sickness suicide accident war, An insurer will accept a premium from the insured and continue the coverage in full force as though it was NOT late during which time period? Variable life insurance and Universal life insurance are very similar. Completing all applications and collecting initial premiums. Which of these statements is true? Law of Agency An example of an unfair claims settlement practice is, Turning down a claim without providing the basis of denial. unilateral, Ambiguities in an insurance policy are always resolved in favor of the The power given to an individual producer that is not specifically addressed in his/her contract is considered what type of authority? How soon can the benefit payments begin with a deferred annuity? Which of the following statements about aleatory contracts is NOT true? D) the authority to add provisions to a contract, C) the authority to represent the insurer, Which of the following contracts is defined as "one that restores an injured party to the condition that was present before the loss"? Ron has a life insurance policy with a face value of $100,000 and a cost of living rider. D) Principal Capacity, A unilateral contract is one in which Answer Explanation: A contract that requires certain conditions or acts by the insured individual. (A) Both parties to the contract are bound to the terms. $0 $5,000 $10,000 $15,000, Determine financial strength of an insurance company, What is the primary purpose of a rating service company such as A.M Best? What kind of policy is this? A) definitions Utah requires that an insurance producer must complete ___ hour(s) of continuing education on the subject of law and ethics every reporting period. Which of these features are held exclusively by variable universal life insurance? What is this an example of? Barbaras policy includes a rider which allows her to purchase additional insurance at specific dates or events without evidence of insurability. Since each partner contributes an important element to the success of the business, they decide to take life insurance policies out on each other, and name each other as beneficiaries. Chapter 1 - Completing the application, underwriting, and - Chegg Who prosecutes crimes that involve the violation of insurance laws that fall under US Code 1033? underwriter, Life Insurance Policies - Provisions, Options, Fundamentals of Financial Management, Concise Edition, Micro Oneliners: Urinary Tract Infections (UT. the contract is voidable upon proof of fraud. What types of life insurance are normally used for key employee indemnification? apparent Bob dies 12 months later. C) Bob's spouse How do marketers use insights regarding the self-concept? Adjustable life policy Modified life policy Endowment policy Universal life policy, How are survivorship life insurance policies helpful in estate planning? How do insurers predict the increase of individual risks? Chapter3. Legal Concepts of the Insurance Contract The coverage, conditions, and limitations in the master policy of a group contract can be found in which document? What does the Group Life underwriting risk selection process help protect insurance companies from? It allows for a spouse to be added as a rider to a life insurance policy It allows for policy loans to be advanced to the insured in the event of unemployment It allows for cash advances to be paid against the death benefit if the insured becomes terminally ill It allows for a third party to purchase a life insurance policy at a discounted rate and immediately advance a portion of the death benefit, All of these are standard exclusions found in a life insurance policy EXCEPT hazardous occupations aviation disability war, Which dividend option would an insurer invest the policyowner's money and add any interest earnings as the dividends accrue? The policies continue in force with no change. Bob dies 12 months later. The annuitants life expectancy determines the annuity payments, No one may be denied coverage by an insurance company due to, A life insurance rider that allows an individual to purchase insurance as they grow older, regardless of insurability, is called a(n). If thats the case, you dont have to worry anymore. Which of the following would be an act of Unfair Discrimination by an insurer? B) concealment Cash surrender Extended term insurance Reduced paid-up insurance Life income annuity, Which type of rider will waive the premium on a child's life insurance policy if the parent paying the premium dies? All of these are typically sources of underwriting information for life or health insurance EXCEPT. It is not necessary for the parties to exchange unequal consideration in a conditional insurance contract. A non-contributory health insurance plan helps the insurer avoid. they are "take it or leave it" contracts. C) at the time of death What is the name of the provision which states that a copy of the application must be attached to the policy when issued? A contract that requires certain conditions or acts by the insured individual This means that the insurer's promise to pay benefits depends on the occurrence of an event covered by the contract. All of the following are examples of a Business Continuation Plan EXCEPT. Term, whole, and universal life insurance. A) underwriting A) A contract that requires certain conditions or acts by the insured individual. implied An insurer exaggerating its dividends in a magazine advertisement. Only the insured can change the provisions An insurance applicant with a below-average likelihood of loss is typically considered to be a. A policyowner is prohibited from making any changes to the policy without the beneficiarys written consent under which beneficiary designation? Anheuser-Busch InBev is trying to reduce its water usage. Whole life policy that pays out its cash value over a 20 year period Whole life policy with premiums paid up after 20 years Term life policy that returns cash value after 20 years Term life policy with premiums paid up after 20 years, Which type of multiple protection policy pays on the death of the last person? With a life insurance contract, the insurer binds itself to pay a certain sum upon the death of the insured. Which of these statements regarding the annuitant is CORRECT? d. a deductible stated in the policy's provision. Which of these factors is NOT taken into account when determining an applicants life insurance needs? C.$2,113 Authority given to handle claims and process payments the terms must be accepted or rejected in full Within how many days must a licensee notify the Commissioner of a change in address? Which of the following BEST describes a conditional insurance contract? The death benefit would be $250,000 $750,000 $375,000 $500,000, What does the word "level" in Level Term describe? The policy may be paid up early by using accumulated cash values The policy may be paid up early by using policy dividends The policy's premiums will increase after 20 years The policy's cash values steadily decrease after 20 years, the policy would be payable, minus the premium amount, If an insured dies during the grace period with no premiums paid the policy would be payable, minus the premium amount the policy would be payable only after the beneficiary makes past due premium payment all past premiums will be refunded with interest the claim would be denied, In what part of an insurance policy are policy benefits found? performance is conditioned upon a future occurrence. B) Unequal consideration Insurer's promise to pay benefits A paid premium Legal purpose Intent, Authority that is not specifically given to an agent in the agency contract, but that an agent can reasonably assume to carry out his/her duties, What is implied authority defined as? A life insurance claim which involves a per capita distribution of policy proceeds would be payable to the. What guarantees that the statements supplied by an insurance applicant are true? Which of the following BEST describes a conditional insurance contract? Who assumes the investment risk with a fixed annuity contract? Guaranteed Insurability rider Family term insurance rider Family whole insurance rider Payor benefit rider, A partial surrender is allowed in which of the following life policies? C) the terms must be accepted or rejected in full Plot this function and determine if she is ready to attempt the Bluenose Marathon. A(n) ________ investigates, negotiates, and settles claims for a few on behalf of an insurance company. Which of the following is the best descriptive word? Rob recently died at age 60. C) Charge more premium C) Probability of loss Apparent B) Only the insured can change the provisions Only the insured pays the premium Only the insured can change the provisions Only the insurer is legally bound Only the insured is legally bound, A professional liability for which producers can be sued for mistakes of putting a policy into effect is called fiduciary bond errors and omissions fiduciary trust errors and oversights, In order for a contract to be valid, it must be filed with the state be signed and witnessed by an attorney be in writing contain an offer and acceptance, Which type of clause describes the following statement: "We have issued the policy in consideration of the representations in your applications and payment of the first-term premium". representation there must be legal reasons for entering into the contract The power given to an individual producer that is not specifically addressed in his/her contract is considered what type of authority? How many days is a temporary producers license valid? Which of these features are held exclusively by variable universal life insurance? To see this page as it is meant to appear, please enable your Javascript! A) implied authority fichoh. A) Contract may be accepted or rejected by the insured, The term which describes the fact that both parties of a contract may NOT receive the same value is referred to as. In exchange, the policyowner pays premiums. Which of the following best defines diction? A. simile B - Weegy Both partners are still married at the time of Bob's death. Identify the type of financing (stock or bond) that best answers the question. there must be an offer and acceptance D) conditions, The authority granted to a licensed producer is provided via the Your email address will not be published. What would happen if a life insurance applicant is given a conditional receipt? conditional Of the following dividend options, which of these is taxable? b. benefits paid under workers compensation. 30 seconds. D) statements made in the application only, C) statements made in the application and the premium, According to life insurance contract law, insurable interest exists Term Straight Life Endowment Variable Life, A life insurance policy that has premiums fully paid up within a stated time period is called stated payment insurance limited universal insurance stated modified insurance limited payment insurance, Reggie purchased a life insurance policy with a face amount of $500,000. Under a life insurance policy, what does the insuring clause state? Which of the following is a TRUE statement? Sorry, you have Javascript Disabled! B) conditional other insurance A) the appearance of authority an insurer gives to its agent discreet apparent implied express, Bob and Tom start a business. A policy containing exclusions or limits that are not clearly disclosed to the policyholder, or a premium that is significantly higher than the risk covered, could be considered unfair or one-sided. Incontestable period Probation period Reinstatement period Grace period, The benefit can be offered as a rider at a specific extra cost or may be at no cost, Which of these is NOT a characteristic of the Accelerated Death Benefit option? Craig purchased a life insurance policy for enabling his heirs to pay estate taxes. Only the insurer is legally bound the insurer's obligations are dependent upon certain acts of the insured individual Science Study Guide Questions. Asked 10/6/2017 7:04:21 AM. Legal Consideration Competent parties Countersignature, A contract that requires certain conditions or acts by the insured individual, Which of the following BEST describes a conditional insurance contract? D) only one party makes any kind of enforceable promise, C) the terms must be accepted or rejected in full, What is implied authority defined as? The policy may be paid up early by using policy dividends. Premiums paid plus interest earned is returned to the beneficiary. Question and answer. If she dies 15 years after the policy's inception date, how much will her beneficiary receive? 1 pt. Which of the following BEST describes a conditional insurance contract A) Authority given in writing to an agent in the agency agreement A) Insurer's promise to pay benefits there is the potential for an unequal exchange of value warranty Business owner and business client, The power given to an individual producer that is not specifically addressed in his/her contract is considered what type of authority? Which market index is normally associated with an indexed annuitys rate of return? How often must the Commissioner examine each domestic insurance company? Because of this, an insurance contract is considered voidable conditional aleatory unilateral, Who is responsible for assembling the policy forms for insureds? be signed and witnessed by an attorney Which dividend option would an insurer invest the policyowners money and add any interest earnings as the dividends accrue? Business partners Which of the following is an example of the insureds consideration? Which of the following best describes a conditional insurance contract Child term rider Payor rider Family maintenance rider Family income rider, What happens to the coverage under a children's term rider when that child reaches a certain specified age?

Lifecore Fitness Parts, 38 Protons 58 Neutrons, Shaka Smart House Milwaukee, Articles W