Interest on policy loans is tax deductible Premium payments are tax deductible Pre-death distributions will become taxable Cash value cannot be surrendered early, seeks temporary protection and lower premiums, Term insurance is appropriate for someone who seeks living benefits for themselves seeks a policy that builds cash value seeks temporary protection and lower premiums seeks permanent protection and higher premiums, Shirley has a $500,000 10-year non-renewable level term life policy. 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? B) A contract that has the potential for the unequal exchange of consideration for both parties. Naming a contingent beneficiary as all surviving children is described as which term? After 15 years, the cash value has accumulated to $100,000 and the policy's face amount has become $600,000. What kind of policy is this? D) an offer and acceptance of the contract terms, D) an offer and acceptance of the contract terms, In an insurance contract, the applicant's "consideration" is the Which of these features are held exclusively by variable universal life insurance? Intentional withholding of material facts that would affect an insurance policy's validity is called a(n). Which market index is normally associated with an indexed annuitys rate of return? If thats the case, you dont have to worry anymore. A(n) ________ investigates, negotiates, and settles claims for a few on behalf of an insurance company. 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. What would happen if a life insurance applicant is given a conditional receipt? 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". His insurance agent told him the policy would be paid up if he reached age 100. Insurer's promise to pay benefits if the insured lives beyond the 5 years, no benefits are payable. Which of these is considered to be a Living Benefit option in a life insurance policy? Which of the following is CORRECT regarding the death benefit amount? Which of the following is a reinstatement condition? c) a contract must be in writing. In this situation, who will receive Bob's policy proceeds? Lisa has recently bought a fixed annuity. C) adhesion B) the contract must be aleatory Sister and brother A person who is a nonsmoker, of average weight, and in excellent health would most likely be in which risk classification? (D) Only one party is legally bound to the contract. Can be converted to permanent coverage without evidence of insurability Coverage can be different for each child Premiums on this rider are not required until the limiting age is reached Increases the policy's overall cash value, Which type of policy combines the flexibility of a universal life policy with investment choices? Only the insurer is legally bound What Benefit Does The Payor Clause On A Juvenile Life Policy Provide? D) both the policyowner and the insurer must know all material facts and relevant information, B) only one party (the insurer) makes any kind of legally enforceable promise, Intentional withholding of material facts that would affect an insurance policy's validity is called a(n) D) A contract where only one party makes any kind of enforceable contract, Answer:A) A contract that requires certain conditions or acts by the insured individual. Which of the following statements is TRUE? The death benefit paid will be what the premium would have purchased at the correct age, Converting a group plan to permanent life insurance requires, The conversion being applied for within 31 days of termination. 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. D) Insurance producers, If a material warranty violation on the part of the insured is found, what recourse does an insurer have? Which of the following BEST describes a conditional insurance contract. A unilateral contract is one in which only one party makes a legally binding guarantee. When the principal gives the agent authority in writing, its referred to as, The terms must be accepted or rejected in full. In most cases, the insured is. Which settlement option pays a stated amount to an annuitant, but no residual value to a beneficiary? Notify me of follow-up comments by email. AzAnswer team is here with the right answer to your question. there must be an offer and acceptance d. a deductible stated in the policy's provision. Premiums paid plus interest earned is returned to the beneficiary. All of the following are examples of a Business Continuation Plan EXCEPT. Question and answer. A) A contract that requires certain conditions or acts by the insured individual Which of these statements regarding the annuitant is CORRECT? Andy the annuitant dies before the annuity start date. Which of the following is a requirement to attain an Utah resident producer license? which of the following best describes a conditional insurance 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? definitions C) the authority to represent the insurer A bilateral contract is an agreement between two parties in which each side agrees to fulfill their side of the bargain. It is not necessary for the parties to exchange unequal consideration in a conditional insurance contract. After being properly appointed by the insurer. C) Aleatory The policies continue in force with no change. C) Contract must have a legal purpose Insurance contracts are unilateral contracts. C) Insurance carriers Express Apparent Implied Conditional, The type of multiple protection coverage that pays on the death of the last person is called a(n) joint life policy survivorship life policy annuity joint policy dual life policy, A nonforfeiture option can be used to increase the death benefit, All of these are valid options for an Adjustable Life Policy EXCEPT The policy's premium can be increased or decreased The policy's death benefit can be increased or decreased A nonforfeiture option can be used to increase the death benefit The policy's protection period can be modified, A life insurance contract which accumulates cash values higher than the IRS will allow, 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 prior to age 65 are subject to a 10% penalty, An interest-sensitive life insurance policyowner may be able to withdraw the policy's cash value interest free. producer A) implied authority Consideration clause (B) Both parties adhere to the contract. Implied Contestability clause, In order for a contract to be valid, it must The insured does not meet established underwriting requirements, The type of multiple protection coverage that pays on the death of the last person is called a(n). Elizabeth is the beneficiary of a life insurance policy. Because of this, an insurance contract is considered voidable conditional aleatory unilateral, Who is responsible for assembling the policy forms for insureds? B) Parent and children What is this called? Definition refers to a description which is given to a word, idea or phenomenon . Principal Capacity, All of the following are elements of an insurance policy EXCEPT Identify the type of financing (stock or bond) that best answers the question. Connect with others, with spontaneous photos and videos, and random live-streaming. When does a life insurance policy typically become effective? promises made D) unilateral, Who is responsible for assembling the policy forms for insureds? C) Business partners C) claim forms An example of an unfair claims settlement practice is, Turning down a claim without providing the basis of denial. Producers act in a(n) ________ capacity when holding insurance premiums. written contract unilateral, Ambiguities in an insurance policy are always resolved in favor of the Administrative actions taken against a producer must be reported to the Commissioner within ____ days. For a trip to the hospital, Evan Appleton paid $1,656 in hospital charges, a$750 insurance deductible, and a $457 co-payment. A (D) Only one party is legally bound to the contract. issuance of the policy both parties consent to the contract. only one party makes any kind of enforceable promise, the terms must be accepted or rejected in full, 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". C) Insurable interest D) Principal Capacity, A unilateral contract is one in which 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) 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 C) Consideration b. benefits paid under workers compensation. What was his total bill? How often must an insurance producers license in Utah be renewed? An example of an unfair claims practice would be, Failing to effectuate prompt, fair, and fair equitable settlements of a claim. Waiver of premium Juvenile waiver Guaranteed insurability Payor benefit, Which of the following is a reinstatement condition? Authority given to handle claims and process payments Because of this, an insurance contract is considered C) A contract where one party "adheres" to the terms of the contract Who assumes the investment risk with a fixed annuity contract? Because insurance premiums are tax-deductible Because dividends are already subject to capital gains Because dividends are payable directly to the policyholder Because dividends are considered to be a return of premium, A type of insurer that is owned by its policyowners is called domestic mutual stock in-house, What is considered to be the primary reason for buying life insurance? Loans obtained by a policyowner against the cash value of a life insurance policy. claim forms 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? Which of the following BEST describes a conditional insurance contract? B) A contract that has the potential for the unequal exchange of consideration for both parties Use the binomial distribution to find P(x13)P(x \leq 13)P(x13) if the stain removal product's claim is correct. Log in for more information. 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. In the case of an insurance contract, the contracting parties are the claimant and the insurer. 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? 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. Which of these factors is NOT taken into account when determining an applicants life insurance needs? When handling premiums for an insured, an agent is acting in which capacity? After first premium is paid, the face amount may be available to the beneficiary, Level premium term life insurance policies, Have premiums that are averaged over the policy period, A policyowner can receive an immediate payment before the insured dies by using a(n), Matt is applying for life insurance and requests a double indemnity rider. In order for a contract to be valid, it must. 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. Which military service exclusion clause would pay upon his death? 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 B) written contract offer 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 Updated 10/6/2017 9:10:03 AM. Which of these would NOT be an unfair claims practice? A Dalhousie University student training for distance running finds that, after running for x hours, her distance traveled, in kilometers, is given by, y=f(x)={10xif0x35x+15if3
Rsm Consulting Senior Associate Salary,
Articles W