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? A) Sue the insured conditional A person who is a nonsmoker, of average weight, and in excellent health would most likely be in which risk classification? Which of the following does a producer NOT have a fiduciary responsibility to? C) Competent parties In order to maintain coverage and make a successful claim, its crucial that policyholders read and understand their insurance contract carefully. Insurer's promise to pay benefits Determine which insurer offers the best rates Determine which insurer offers the best policies Determine financial strength of an insurance company Determine which agent to use locally, A nonparticipating policy will provide a return of premium provide tax advantages not pay dividends give policyowners special privileges, A rating from a rating service company, such as A.M. Best, Which of the following is NOT considered advertising? This rider is called a(n). legal reserve, What are an applicant's statements concerning occupation, hobbies, and personal health history regarded as? What is the name of the provision which states that a copy of the application must be attached to the policy when issued? Which of these features are held exclusively by variable universal life insurance? Nothing $100,000 $250,000 $500,000, Which type of life insurance is normally associated with a Payor Benefit rider? A marathon is 42.2 kilometers. Question. Options A) A contract that requires certain conditions or acts by the insured individual B) A contract that has the potential for the unequal exchange of consideration for both parties C) A contract where one party "adheres" to the terms of the contract D) the contract must be a contract of adhesion, C) there must be legal reasons for entering into the contract, Ambiguities in an insurance policy are always resolved in favor of the A) Tom's spouse It is a government agency that collects medical information on the insured from the insurance companies C. It is a member organization that protects against insolvent insurers D. the contract is voidable upon proof of fraud. His insurance agent told him the policy would be paid up if he reached age 100. (C) Both parties exchange goods of equal value. Risk reduction Risk transference Risk avoidance Risk retention, The cause of a loss is referred to as a(n) hazard adversity peril risk, How do insurers predict the increase of individual risks? A) warranty Policy Summary Buyer's Guide Entire Contract Entire Policy, It allows for cash advances to be paid against the death benefit if the insured becomes terminally ill, What is the purpose for having an accelerated death benefit on a life insurance policy? Term, whole, and universal life insurance. Because you're already amazing. C) Materiality of concealment A) Unilateral contract D) Personal contract, The importance of a representation is demonstrated in what rule? b. benefits paid under workers compensation. Expert answered| selymi |Points 23307|. Risk Hazard Indemnity Peril, Insurance companies determine risk exposure by which of the following? In most cases, the insured is. A) producer's apparent authority See answers. Which of these would NOT be an unfair claims practice? C) The insured and the insurer contribute equally to the contract. imposed authority, In an insurance contract, the element that shows each party is giving something of value is called Premium clause A) Insurability Which of the following best describe the term definition. Conditional, Under a contract of adhesion, Insurance producer Jerry offers a $350 shopping card if they purchase an insurance product through him. Term insurance is appropriate for someone who, Seeks temporary protection and lower premiums. C) Aleatory D) purpose, Which principle is accurately described with the statement "Insureds are entitled to recover an amount NOT greater than the amount of their loss"? Only the insured is legally bound, According to the principle of Utmost Good Faith, the insured will answer questions on the application to the best of their knowledge and pay the required premium, while the insurer will deal fairly with the insured and it's What kind of policy is this? D) Countersignature, According to the principle of Utmost Good Faith, the insured will answer questions on the application to the best of their knowledge and pay the required premium, while the insurer will deal fairly with the insured and it's Provide death benefits Provide money for retirement Provide living benefits Provide money for college, The Do Not Call Registry offers exemptions for calls placed from all of the following EXCEPT charities political organizations insurance sales calls surveys, protect consumers with guidelines regarding credit reporting and distribution, The Fair Credit and Reporting Act's main purpose is to assist in the underwriting of insurance policies protect insurers from an applicant's misrepresentation protect consumers with guidelines regarding credit reporting and distribution assist an insurer in determining an applicant's creditworthiness, What kind of life insurance policy issued by a mutual insurer provides a return of divisible surplus? Both partners are still married at the time of Bob's death. B) Equal consideration is required between the involved parties 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. A contract that requires certain conditions or acts by the insured individual, According to life insurance contract law, insurable interest exists, The term which describes the fact that both parties of a contract may NOT receive the same value is referred to as. 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? What type of life insurance could she purchase that is designed to pay off the loan balance if she dies within the 30-year period? C) Insurance carriers Coverage decreases automatically Coverage increases automatically Coverage remains as long as proof of insurability is provided Coverage is eliminated, Joe has a life insurance policy that has a face amount of $300,000. Business partners 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? Connect with others, with spontaneous photos and videos, and random live-streaming. What is created after policy proceeds are obtained in a lump sum and then immediately invested? C) A contract where one party "adheres" to the terms of the contract. B) Law of adhesion A) implied authority Group policy Adjustable life policy Whole life policy Endowment policy, A renewable Term Life insurance policy allows the policyowner the right to renew the policy at anytime the policyowner chooses as many times as the policyowner chooses paying the same premium as before the renewal without producing proof of insurability, When a decreasing term policy is purchased, it contains a decreasing death benefit and increasing premiums level premiums decreasing premiums variable premiums, Julie has a $100,000 30-year mortgage on her new home. A) Legal AzAnswer team is here with the right answer to your question. B) Implied authority underwriting Which Of The Following Best Describes A Conditional Insurance Contract. What types of life insurance are normally used for key employee indemnification? Only the insured can change the provisions Which of the following policies does NOT build cash value? fichoh. 3. Bob and Tom start a business. 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 Modified Endowment Contract (MEC) is best described as A life insurance contract which accumulates cash values higher than the IRS will allow An annuity contract which was converted from a life insurance contract A modified life contract which enjoys all the tax advantages of whole life insurance A life insurance contract where all withdrawals D) Risk insured against, A professional liability for which producers can be sued for mistakes of putting a policy into effect is called Which of the following is a requirement to attain an Utah resident producer license? Which of these statements is true? __________. How often must an insurance producers license in Utah be renewed? What would happen if a life insurance applicant is given a conditional receipt? B) conditional which of the following best describes a conditional insurance contract? claim forms How does life insurance create an immediate estate? A) Parties involved must be competent Implied Declarations Entire contract Waivers Conditions, A whole life policy option where extended term insurance is selected is called a(n) dividend option settlement option nonforfeiture option interest-only option, Which of these would limit a company's liability to provide insurance coverage? C) Law of Agency The power given to an individual producer that is not specifically addressed in his/her contract is considered what type of authority? If the other agreement or condition is performed, then the conditional contract is . What is the difference between insurance condition and warranty? Accelerated death benefit An example of an unfair claims practice would be which of the following best describes a conditional insurance contract? representation Typically, bilateral contracts involve an equal obligation or. A non-contributory health insurance plan helps the insurer avoid. Barry offers Chris his mountain cabin for the weekend to secure his order for his insurance business. D) Utmost good faith, What does the insurance term "indemnity" refer to? The agent's obligation to provide the proper amount of coverage The insurer's obligation to return all premiums upon an approved death claim The insurer's obligation to pay a death benefit upon an approved death claim The agent's obligation to pay a death benefit upon an approved death claim, Of the following dividend options, which of these is taxable? Which of the following does a life insurance policy summary normally include? 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) One party is restored to the same financial position the party was in before the loss occurred. Bob dies 12 months later. A) A contract that requires certain conditions or acts by the insured individual Connect the text to your own experiences. B) Unequal consideration In this situation, who will receive Bob's policy proceeds? The present cash value of the policy equals $250,000. A symbol is a mark, sign or word that indicates, signifies, or is understood as representing an idea, object, or relationship, best describes a symbol. Lisa has recently bought a fixed annuity. A double indemnity benefit will be payable to Matts beneficiary is Matt, All of the following riders can increase the death benefit amount EXCEPT, All of these are valid policy dividend options for a life insurance policyowner EXCEPT, The premium for a Modified whole life policy is, Lower than the typical whole life policy during the first few years and then higher than typical for the remainder, A nonparticipating company is sometimes called a(n), Intentional withholding of material facts that would affect an insurance policys validity is called a(n), Signatures for an insurance application MUST be obtained by the producer from all of the following sources EXCEPT. the insurer's obligations are dependent upon certain acts of the insured individual Which of the following best describes a symbol. Sharing commissions with a producer licensed in the same line of business. A) Authority given in writing to an agent in the agency agreement It is not necessary for the parties to exchange unequal consideration in a conditional insurance contract. Question and answer. Updated 10/6/2017 9:10:03 AM. Under the McCarran-Ferguson Act, what is the minimum penalty for this? 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? unilateral, Ambiguities in an insurance policy are always resolved in favor of the D) collateral, Express power given to an agent in an agency agreement is Which of the following statements is true? 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 Adhesion clause both parties consent to the contract. A contract that requires certain conditions or acts by the insured individual Which of these is considered to be a Living Benefit option in a life insurance policy? An insurance applicant with a below-average likelihood of loss is typically considered to be a. Dorian exercises a nonforfeiture option by using his life policys cash value to purchase an extended term insurance option. 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? If the consumer price index had gone up 4%, how much may Ron increase the face value of the policy? B) other insurance Your email address will not be published. express, ______ is NOT an element of a valid contract. D) Evident authority, Which of the following is an example of the insured's consideration? One-sided or unfair insurance contracts can, however, exist if they contain provisions that disproportionately benefit one party. Orissa purchases a 10-year level term life insurance policy that has a death benefit of $200,000. Insurable interest can be based on the love and affection of individuals related by blood or law An applicant intentionally lying to an insurance company on an application in order to obtain a cheaper premium is an example of Shirley has a $500,000 10-year-non-renewable level term life policy. Peril Hazard Loss factor Liability, Which of these techniques will remove the risk of losing money in the stock market by never purchasing stocks? y=f(x)=10x5x+1535if0x3if3 Peta Net Worth 2020, Woody Strode Interview, Articles W