c) To protect the policyowner b) The agent's report insured is always the borrower & the beneficiary=lender
Most policies can be renewed for additional periods without evidence of insurability. Insurance is designed to provide protection against which of the following? ___________ is the persons whose death triggers payment. b) To deter the policyowner from committing suicide Beneficiary's age is not a suitability factor. (d) sandwiched family. D) Members of the uniformed forces can obtain term group life insurance through Servicemembers' Group Life Insurance (SGLI). b. When a policy is non-contributory how much is paid? Life insurance proceeds c) Misrepresentation The correct answer is: The premium decreases to zero by the end of the policy period. See Answer. S buys a $10,000 Whole Life policy in 2003 and pays an annual premium of $100. All The statements made on the application are called ______? B. Marital Status D) Insurance covers intentional losses as well as unintentional. B. (a) I only (b) II only &\text { Retained Earnings }\\ Warranty Represent the insured's interest What are (4) ways annuities are classified? Certificate holders may convert coverage to an individual policy without evidence of insurability. Waive the premium if the INSURED becomes totally disabled. The __________ branch of the state government influences public policy regarding insurance laws. 1)Domestic Insurer
D. Delivery receipt. If you don't have health insurance, you pay all costs for healthcare and medical emergencies. Liquidity in life insurance refers to availability of cash to the insured. d) To protect the insurer from persons who purchase life insurance with the intention of committing suicide. has reached its final destination and can be paid out in full. (c) expired. A Contract that binds only one party to future performance, is a (n): A. A key person insurance policy will pay for costs of running the business and replacing the employee. This is true whether a property or liability form; and regardless whether the insured is a commercial or personal lines client. (b) reduced. The parties in the insurance contract consist of whom? A. What is an exchange of a whole entire life policy for another? (d) annual premium and the annual policy dividend. 2. b) Unilateral b. -greater potential to grow the cash value but there is no guarantee
Which of the following best describes a surplus lines broker? Surviving family members may experience a reduction in their standard of living if the family breadwinner dies prematurely. -guaranteed/fixed/level payment, -Immediate "annuitization phase"
A company formed in a different country doing business in any state of American who owners are stockholders that receive dividends and have voting rights. \hline & \text { Jul 1 } & \begin{array}{r} (c) two-income earner family. Policy Holders/Shareholders have the ability to vote for members of the board of directors or governing body of the company.. this is called their____________? 3)premium is collected
Which method makes the most sense for her to employ? A person cannot buy insurance unless that person is in a position to suffer a financial loss. What adds coverage and modifies coverage? The requirement that producers must account for all insurance funds collected, and without the expressed consent of the insurance company(ies) are not permitted to co-mingle those funds with their own funds is known as The cost of insurance protection is referred to as what? D. Term life. \end{array} \\ C. Independent rating services evaluate and rate the financial ability of insurance companies b) A producer who handles insurer funds in a trust capacity. \text { Room } & \text { Super Saver } & \text { Deluxe } & \text { Business } \\ Cash values can be borrowed at any time -7 pay test is used to determine If a policy is a MEC. Medical exams provide information on current health. \hline (\$ 000) & 1 & 2 & 3 & 4 \\ The premium is level and guaranteed not to increase. A) Universal Life policies allow for policyholders to withdraw a limited portion of the policy's cash value. Which of the following statements is not correct regarding rates and premiums? What insurance concept is associated with the names Weiss and Fitch? -Not invested in stock market
c) The inspection report C) Because an insurance company's strength and stability are two very crucial factors in its sustainability, independent rating services have formed to publish regular updates on the financial integrity of different insurance companies. D. Speculative Risk &\text { Cash }\\ Annually renewable term policies provide a level death benefit for a premium that Last year, the couple got divorced. It is used to help adequacy and equity in rates. 2)collateral assignment-some or only one right assigned. D. Aleatory contract A debtor has insurable interest in the life of a lender 1) Family Maintenance(breadwinner)
-20 pay life-paid up at 65
The policy is a conditional contract -They provide coverage for risks that other insurers normally would not provide. (c) PV of the family's share of a deceased breadwinner's future earnings. (c) term insurance A _______ __ is the additional premium needed to get covered with high or substandard risk. B) According to the law of large numbers, the larger a group becomes, the easier it is to predict losses. Participating policy. ~~~\text{Selling and administrative salaries}&75,000\\ Attempting to determine how much insurance an individual would require based upon their finacial objectives is known as. An individual applies for a life policy. What are two reasons that people deposit money in banks? A producer wishing to appeal the final order of the commissioner would appeal to???? What type of term do you think would be least expensive a short term or a long? An applicant is denied insurance because of information found on a consumer report. Economics questions and answers. Correct: A. Long term- the longer the policythe more spread out the policy premiums are. Its controller resigned in October 2017. Statements in the application that are guaranteed true but later found to be false may result in what? Round Trees management makes a forecast of the demand by rental class for each night in the future. 3. In terms of social security, what is the name for the time period after the youngest child of a family turns 16 and before the surviving spouse may start receving retirement benefits? d) Policy dividends. Liquidity in life insurance refers to availability of cash to the insured through cash values. 1. Or, Bill can invest $9,000 in project B that promises to pay annual end-of-year payments of$1,500, $1,500,$1,500, $3,500, and$4,000 over the next 5 years. A) They must be given to all Life insurance applicants. What are (4) characteristics of permanent insurance? -sex doesn't determine eligibility. Correct: D. Represent the insured's interest, All of the following statements regarding financial rating services are correct, except. c) An agent offers tickets to a baseball game as an inducement to buy insurance. Concerning insurance, the definition of a fiduciary is When a policy is contributory how much is paid? D. The flexible premium. \hline & \text { Jul 1 } & 55,000 \\ (c) variable life insurance. What kind of penalty would the IRA owner pay? The profit per night for each type of room and rental class is as follows: RentalClassRoomSuperSaverDeluxeBusinessTypeI$30$35TypeII$20$30$40\begin{aligned} Term-Life policy has what 3 characteristics? and what two kinds? II. 4)Consumer report=credit, -shorter time span for paying premiums
I. Estate Creation B. D. A surplus lines broker places risks with nonadmitted insurers when coverage cannot be placed with admitted insurer carriers Beneficiary's age (d) Most policies have a CV that is refunded when coverage ceases. -Follows all conditions of contract & pays premium, -insurer says how policy works
b) State attorney general Donald E. Kieso, Jerry J. Weygandt, Terry D. Warfield, Marketing Essentials: The Deca Connection, Carl A. Woloszyk, Grady Kimbrell, Lois Schneider Farese, ICEN6003: IC Engines Operation and Constructi. The issuance of a _________ is the result of the acceptance of an offer. D) They must be signed by both the Producer and the applicant. D. They can decide when to pay their monthly premiums. AccountsreceivableJul1Jul3121,000???? Pure Risk. 2. If contract is up after 20 years & policy holder wishes 2 renew what occurs every year? Which model is the better fit for the data? Limited-Pay Life & Single-Premium Policies? All of the following are true of negligence, except: a. We participate at both the national and state levels as a leading advocate in the judicial, legislative, and regulatory environment to ensure that Members' concerns are heard by lawmakers on issues that impact medical professional liability. _______ pays dividends to the stock holder. C. Concealment An Applicant inaccurately representing information on the application is guilty of: A. a) Payor rider. B. 2)no cash-value
(Medic Information Bureau)? 90-180 days. Other factors that are named include "Mortgage underwriters, investment banks, rating agencies, and investors", "low mortgage interest rates, low short-term interest rates . WorkinProcess$229,040.00EmployeeIncomeTaxPayable$33,880.00FactoryOverhead78,960.00SocialSecurityTaxPayable19,096.00Cash250,558.00MedicareTaxPayable4,466.00\begin{array}{lrlr}\text { Work in Process } & \$ 229,040.00 & \text { Employee Income Tax Payable } & \$ 33,880.00 \\ \text { Factory Overhead } & 78,960.00 & \text { Social Security Tax Payable } & 19,096.00 \\ \text { Cash } & 250,558.00 & \text { Medicare Tax Payable } & 4,466.00\end{array} Exclusion Categories 3. All of the following are true of insurance except: Which of the following is NOT true about insurance? A SEC registration. The correct answer is: Maggie's Piano Studio with 1 employee. Premiums are not tax deductible as a business expense. Which of the following is NOT an example of a business use of Life Insurance? The applicants(policy owner)
A state administered health insurance for the needy? (b) Any withdrawal of cash value reduces the death benefit. 4. All of the following are true regarding life insurance illustrations EXCEPT. c) Accelerated benefit rider. D. The benefit is received tax free Correct: D. Department of Treasury, The Terrorism Act, which protects consumers by addressing market disruptions and ensuring the continued widespread availability and affordability of property and casualty insurance for a terrorism risk, is a administered by the Department of Treasury. Which of the following is NOT an allowable 1035 exchange? a) The policy can be converted to term coverage. A persons assets & liabilities at their time of death. B. ? B. (b) Cash value accumulation is slow to moderate. 3)low premiums. 1) a policyholder votes on the Board of Directors
Whoso. IRS classification of a policy that is overfunded? Permanent Insurance have 3 words in common, what are they? All of the following statements about term insurance are true EXCEPT. What is used for the underwriting department to determine insurability? \end{array} A FINRA registration. Observers and analysts have attributed the reasons for the 2001-2006 housing bubble and its 2007-10 collapse in the United States to "everyone from home buyers to Wall Street, mortgage brokers to Alan Greenspan". B) Underwriters. It has cash value that is invested into the stock market through mutual funds/securities. I. Correct: A. Applicant pays premium to make agreement. -receiving dividends(when declared)
b) Fiduciary responsibility. The premium is guaranteed for an initial period and then the insurer can charge up to a maximum premium charge in what type of policy? 1)premium payment
There are many legitimate need-based expenses that can be paid by life insurance proceeds, from groceries to retirement income. A) loss reserves 2. (3), WHat is the difference between universal and whole life policies? (a) renewal provision Endowments means policy is what(2) things? 167 views, 0 likes, 3 loves, 8 comments, 10 shares, Facebook Watch Videos from Saint Barnabas Episcopal Church Greensboro, NC: 5th Sunday after Epiphany. Which nonforfeiture option provides coverage for the longest period of time? (b) They increase at a decreasing rate. If there Is a risk of financial loss then there is a what? He would also like to invest in a mutual fund. ____________ is the transfer of the right of recovery from the insured to the insurance company. 4. Cash value is the same as ___________ when the policy matures. and is NOT a party to the contract. a) the risk is transferred to the insurer b)the insured may retain part of the risk through deductibles . b) Hazard In an insurance contract, the value that each party gives the other is called the: When an individual faces the risk of economic loss in the event of property damage, this indicates which of the following? Which of the following is a physical hazard? -and the right to vote. 1) preferred risk
B. IRS has no jurisdiction Originating policy
b. persistent fear of germs D. Concealment It requires evidence of insurability for renewal. When both parties to a contract must perform certain duties in order to make the contract enforceable, this is known as what? An agent has authority to do all of the following, except: A. Countersign insurance contracts Which type of life insurance makes sense for someone in this situation? 4)Offer and Acceptance, -direct and identifiable interest in that persons life/as well as financial interest. & \text { Depr } & 3,000 \\ \hline \text { Jul 31 } & 3,000 The storage of flammables in a fireproof container. Healthcare in the United States is far outspent than any other nation, measured both in per capita spending and as a percentage of GDP. The policy's cash value grows as the investments grow. A. A. Accumulateddepr.-equipmentJul1DeprJul3155,0003,00058,000, RetainedEarningsJul165,000Dividend19,000NetInc65,000Jul31111,000\begin{aligned} Their premiums are lower - Limited Pay Life
The failure to disclose known facts is what? &\text { Accounts receivable }\\ What contract characteristic does this describe? The total of all requisitions of direct materials issued during the month is $252,230.00. Rates Rating codes are assigned to show financial strength or weakness of each company rated Which of the following statements concerning buy-sell agreements is true? Department of Defense Taxes, Retirement, and Other Insurance Concep, State Laws, Rules, and Regulations Quizzes, Life Insurance Policy Provisions, Options and, Fundamentals of Financial Management, Concise Edition. D) Using misrepresentation to convince a person to cancel an existing policy and buy a new one is called "twisting.". 2)people under the influence of drugs or alcohol
A. Your device, make and model. B. Twisting c) The premium for the policy shall be paid either from the creditor's funds, or from charges collected from the insured debtors, or from both. D. An individual has an insurable interest in her or her own life. Get more out of your subscription* Access to over 100 million course-specific study resources Prepare a pie chart of on-time delivery performance for last month. A corporation is the owner and beneficiary of the key person life policy. The insurer issues the policy and learns of his history one year later. The ___________ controls all rights of the contract. The policyowner can add to a policy's cash value at any time subject to policy guidelines. 2. \end{aligned} B. Buy-Sell Agreements pay in the event of a medical emergency Out of 20 yr or 30 yr which policy is less expensive? d) 50% tax on the amount not distributed as required. -cash value options
\end{aligned} Rates are considered inadequate when they do not cover projected losses and expenses. The policyowner has a variety of options for investment of the cash value. C. Buy-Sell agreements are normally funded with a life insurance policy B. Question: All of the following statements about variable life insurance are true EXCEPT O a. Indicate by a plus (+)(+)(+), minus ()(-)(), or zero (0)(0)(0) if the factor would increase, decrease, or have an indeterminate effect. d) Fiscal responsibility. a) Executive offer of the replacing company \\ The insurance provides protection for a specified period of time. d) An insurer may exclude any debtors as to whom evidence of individual insurability is not satisfactory to the insurer. All of the following statements about term insurance are true EXCEPT. Only one party is giving a legally enforceable promise- A one-sided contract is what? An insured owns a life insurance policy. b. \end{array} 1)policy owner can increase/decrease/ or skip premium payments
When a insurance company(insurer) has too many risks exposed to loss it seek another company(reinsurers) to insure them. \text{Inventory} & 201 & 505 & 905 & 52 \\ An Insurance Broker is responsible for what? (1), In Universal life, what options can the policy owner have with the premium payments to do? (b) Face amount decreases during the policy period, but premiums remain level. & \text{ ???? } \end{array} -The insurance dept. Errors and Omissions Coverage (E&O) is a name used to describe a type of professional liability insurance. 3)Alien Insurer. Poor adaptation to climate change further widens the gap between what people can afford and the costs of insurance, as risks increase. 2)Increase the face value
2)attorneys
-policyowners right provision
The CAS number shown in an entry is typically . He has also been hospitalized for drug abuse, but does not remember this when applying for insurance. Whole life policy. Height Weight and Health conditions. \hline & \text { Jul 31 } & 58,000 Jul3119,500\begin{aligned} d) The policy can be reinstated by paying back all policy loans and premiums. They have made a legal arrangement which states that if one of them dies or becomes disabled, the other two wull be able to buy the partner's shares, Which term best describes this arrangement? Accelerated Living Benefit/Accelerated Death Benefit? The replacing company notifies the replacement company. a) Offering additional coverage to clients The concept that the insured should not profit from an insurance transaction is called what? A. \end{array} \\ O b. With a little work, an unused office area could be converted to a rental room. Home Office- what do the underwriters do. they evaluate 4 things- what are they(4)??? (receive dividends & the right to vote). Claim is still paid with an adjustment to the benefits. b) Policyholder Two years ago he suffered a head injury from an accident, so he cannot remember parts of his past, but is otherwise competent. There is no limitation on the number of key employee plans in force at any one time. (6). B) In insurance, fraud is the intentional misrepresentation of material information that is crucial when deciding whether or not to write a contract for an applicant. & \text{ ???? } 5)coverage begins
C) purchasing family term insurance. What else must he include? b. To sell variable life insurance policies, an agent must receive all of the following EXCEPT \text{ ???? } D. Claim History What is NOT invested in the stock market but pays you interest? Forms of interest and are Sensitive Whole Life, 1) Transfers risk to another insurer
\end{array} -receiving dividends(when declared)
\hline \text { Jul 1 } & 5,500 &&\\ -it pays the double indemnity, 1)accident occurs, person must die within 90 days
1. A rider that may be attached to a life insurance policy that will adjust the face amount based upon a specific index, such as the Consumer Price Index, is called Eight Summoning Eyes need to be placed to summon the Ender Dragon and players need to have 450 Dragon Weight to have a chance of getting the sword. If a change in the application is necessary what is required? \hline \text { Jul 1 } & 22,000 \\ States regulate the procurement of business from nonadmitted carriers by regulating the brokers who place business with these carriers. Insurance is designed to cover both intentional and unintentional losses. \text { Type I } & \$ 30 & \$ 35 & - \\ D. Alien Nonparticipating policy. Carl would like to purchase life insurance. II. Breach of warranty What does it mean when a policy is limited pay life? Who is responsible for making sure the application is completed properly and all necessary info is obtained? C. The insurer is always required to pay the . Both life and health insurance can be used for a variety of purposes in a business setting, including the funding of business continuation agreements, compensating executives, and protecting the firm against financial loss resulting from the death or disability of key employees. -birth of child. A buy-sell agreement is simply a contract that establishes what will be done with a business in the event that an owner dies. D. Unilateral Contract It is legal to list nonguaranteed values in the contract, but they must be specifically labeled as projected, not guaranteed values. A. B. Nature of risk All of the following are business uses of life insurance EXCEPT d) Military personnel. Conditional contract means the policy holder does what? D) the minor in a juvenile policy. c) Denying coverage after a reasonable investigation has been conducted When an agent collects the initial premium from the applicant, the agent should issue the applicant a. D) Obtaining a bachelor's degree. c) Comparisons with similar policies M327. - If the insured suffers a dismemberment the policy pays the CAPITAL SUM which is 50% of the principal sum. Correct: A.A peril. Predicted needs of the family after the insured's death are used in the needs approach. -provides income for retirement
When the application is submitted without the premium its considered an invitation for the insurer to make an offer. Which of the following about decreasing term insurance is true?