Have a great time ahead. Which Of The Following Statements About Personal Selling Is Correct? representation In the case of an insurance contract, the contracting parties are the claimant and the insurer. Describe the structure. A) Unilateral contract D) imposed authority, What makes an insurance policy a unilateral contract? Barbaras policy includes a rider which allows her to purchase additional insurance at specific dates or events without evidence of insurability. A life insurance contract guarantees to the beneficiary not only a death benefit, but a payment of a sum of money in perpetuity, called a death benefit for that purpose of insurance coverage. Bob dies 12 months later. legal reserve, What are an applicant's statements concerning occupation, hobbies, and personal health history regarded as? In most cases, the insured is. Which of the following does a producer NOT have a fiduciary responsibility to? Completing all applications and collecting initial premiums. B) Unequal consideration 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 of the following BEST describes a conditional insurance contract? During periods of inflation, annuitants will experience a decrease in purchasing power of their payments. Expert answered| selymi |Points 23307|. Policy Application Riders Certificate of Authority, A life insurance rider that allows an individual to purchase insurance as they grow older, regardless of insurability, is called a(n) guaranteed term rider guaranteed insurability rider accelerated benefit rider cost of living rider, The suicide clause of a life insurance policy states that if an insured commits suicide within a stated period from the policy's inception, the insurer will only be liable for a return of premiums paid minus indebtedness and with interest during the last 12 months minus indebtedness and without interest during the last 6 months, A life insurance policyowner does NOT have the right to change a beneficiary select a beneficiary take out a policy loan revoke an absolute assignment, A life insurance policy normally contains a provision that restricts coverage in the event of death under all of the following situations EXCEPT fare-paying passenger pilot of personal airplane suicide war, The insurer's obligation to pay a death benefit upon an approved death claim, Under a life insurance policy, what does the insuring clause state? The automatic premium loan provision authorized an insurer to withdraw from a policys cash value the amount of, Past due premiums that have not been paid by the end of the grace period. B) Implied authority B) producer B) the unwritten authority that the agent is assumed to have Law of Agency In most insurance policies, the insurer is the only one who makes a legally binding promise to pay insured claims. The power given to an individual producer that is not specifically addressed in his/her contract is considered what type of authority? A unilateral contract is one in which only one party makes a legally binding guarantee. 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". If she dies 15 years after the policys inception date, how much will her beneficiary receive? Which type of annuity guarantees a stated number of income payments, whether or not the annuitant is still alive to receive them?
Which of the following Best Describes a Conditional Insurance Contract 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) which of the following best describes a conditional insurance contract? __________. D) Offer and acceptance must be involved, B) Equal consideration is required between the involved parties, A contract requires Which course of action is the insurer entitled to when deliberate concealment is committed by the insured? A) there is an element of chance and potential for unequal exchange of value or consideration for both parties C.$2,113 Parent and children Naming a contingent beneficiary as all surviving children is described as which term? Under the McCarran-Ferguson Act, what is the minimum penalty for this? Adjustable life policy Variable universal policy Universal policy Modified whole life policy, A securities license is required for a life insurance producer to sell modified life insurance Modified Endowment Contracts (MEC) variable life insurance universal life insurance, The shorter the payment period, the higher the premium, The statement which best describes the relationship between the premiums of a whole life policy and the premium payment period is The shorter the payment period, the lower the premium The longer the payment period, the higher the premium The shorter the payment period, the higher the premium The payment period has no affect on the premium payment, Policyowner has the right to select the investment which will provide the greatest return, Variable life insurance and Universal life insurance are very similar. What types of life insurance are normally used for key employee indemnification? 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 be signed and witnessed by an attorney Administrative actions taken against a producer must be reported to the Commissioner within ____ days. Within how many days must a licensee notify the Commissioner of a change in address? C) Aleatory See answers. What are an applicants statements concerning occupation, hobbies, and personal health history regarded as? If Sharon MUST obtain Mikes signature in order to change the beneficiary, what kind of beneficiary designations is this? 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. The insurers obligation to pay a death benefit upon an approved death claim. there must be legal reasons for entering into the contract Which dividend option would an insurer invest the policyowners money and add any interest earnings as the dividends accrue? conditional Reduction of premium dividend option Extended term option Paid-up option Cash dividend option, Net death benefit will be reduced if the loan is not repaid, Joanne has a $100,000 whole life policy with an accumulated $25,000 of cash value. Which statement is CORRECT when describing a contract of adhesion? To see this page as it is meant to appear, please enable your Javascript! Which of these riders will pay a death benefit if the insureds spouse dies? In order to maintain coverage and make a successful claim, its crucial that policyholders read and understand their insurance contract carefully. The period of coverage The face amount The premium payments The cash value, at a predetermined date or age, regardless of the insured's health, A Renewable Term Life insurance policy can be renewed at a predetermined date or age, regardless of the insured's health only if the insured provides evidence of insurability anytime at the policyowner's request typically with no change in premium, Pre-death distributions will become taxable, Under a Modified Endowment Contract, what are the likely tax consequences? 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?
Which of the following is the best descriptive word? A - Weegy Premium clause Consideration clause Adhesion clause Contestability clause, When the principal gives the agent authority in writing, it's referred to as express authority implied authority apparent authority imposed authority, Ambiguities in an insurance policy are always resolved in favor of the insured producer insurer underwriter, ______ is NOT an element of a valid contract. B) other insurance A) Competent parties 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
Bilateral Contract: Definition, How It Works, and Example - Investopedia Both partners are still married at the time of Bob's death. B) conditional A) A contract that requires certain conditions or acts by the insured individual. If xxx actually turns out to be 131313, what do you think of the claim? D) conditions, The authority granted to a licensed producer is provided via the A life insurance policy that is subject to a contract interest rate is referred to as. A contract that requires certain conditions or acts by the insured individual. A) implied authority C) claim forms The death benefit would be. An individual who removes the risk of losing money in the stock market by never purchasing stocks is said to be engaging in. Modified Whole Life Decreasing Term Life Adjustable Life Whole Life, Decreasing term life insurance is often used to provide retirement funds provide coverage for a home mortgage accumulate cash value provide coverage for estate taxes, Which of these is NOT subject to income taxation under a Modified Endowment Contract (MEC)? A) definitions What does the word level in Level Term describe? Which of the following BEST describes a conditional insurance contract? Eventually, they retire and dissolve the business. Which Of The Following Best Describes A Conditional Insurance Contract Question and answer. What guarantees that the statements supplied by an insurance applicant are true? 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. An unintentional violation of Utah insurance law could lead a producer to a fine of up to _____ per violation. C) Law of Agency Which of these statements is true? D) Tom, The deeds and actions of a producer indicate what kind of authority? (B) Both parties adhere to the contract. A) offer and acceptance 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. B) acceptance Which of the following best describes how you analyze a fiction text? B) Equal consideration is required between the involved parties The present cash value of the policy equals $250,000. Under the Fair Credit Reporting Act, what is the maximum penalty that may be imposed on Ken? Which of these factors is NOT taken into account when determining an applicants life insurance needs? apparent Intent, The deeds and actions of a producer indicate what kind of authority? Q. 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. purpose, Insurable interest does NOT occur in which of the following relationships? discreet apparent implied express, Bob and Tom start a business. Tom's spouse Bob's estate Bob's spouse Tom, Which contract element is insurable interest a component of? A) express authority 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. What was his total bill? How does life insurance create an immediate estate? warranty guarantee representation collateral, there must be legal reasons for entering into the contract, Legal purpose is a term used in contract law meaning there must be an offer and acceptance the contract must be aleatory there must be legal reasons for entering into the contract the contract must be a contract of adhesion, In an insurance contract, the element that shows each party is giving something of value is called offer acceptance consideration purpose, What makes an insurance policy a unilateral contract? B) Law of adhesion Georgia Life Insurance Exam Ch. 2 questions & answers for quizzes and 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. C) adhesion With a life insurance contract, the insurer binds itself to pay a certain sum upon the death of the insured. Express What is created after policy proceeds are obtained in a lump sum and then immediately invested? 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? Events are those which cannot be controlled by either . Because of this, an insurance contract is considered voidable conditional aleatory unilateral, Who is responsible for assembling the policy forms for insureds? imposed authority, In an insurance contract, the element that shows each party is giving something of value is called An insurance applicant with a below-average likelihood of loss is typically considered to be a. Competent parties Offer and acceptance Consideration Legal purpose, What are an applicant's statements concerning occupation, hobbies, and personal health history regarded as? The present cash value of the policy equals $250,000. 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. y=f(x)=10x5x+1535if0x3if3Insurance Quiz (MCQs) Archives - Management Notes 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? Which of the following BEST describes a conditional insurance contract. C) Materiality of concealment Which Of The Following Best Describes A Conditional Insurance Contract underwriter, Life Insurance Policies - Provisions, Options, Fundamentals of Financial Management, Concise Edition, Micro Oneliners: Urinary Tract Infections (UT. Which of the following best describes how you analyze a fiction text Which of the following are the premium payments for a universal life policy NOT used for? 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. Conditional Contracts: Everything You Need to Know - UpCounsel B) the insurer's obligations are dependent upon certain acts of the insured individual a. medical expenses covered under Pat's employer-sponsored group health insurance. Which of the following is an example of the insureds consideration? Which of the following best describes a conditional insurance contract Which of the following is a requirement to attain an Utah resident producer license? If the insured dies at any time during the 5 years, his beneficiary will receive the policy's face value. Sister and brother Parent and children Business partners Business owner and business client, The deeds and actions of a producer indicate what kind of authority? In this situation, who will receive Bob's policy proceeds? A) Tom's spouse How soon can the benefit payments begin with a deferred annuity? Offering payment of approved claims within 30 days after affirming liability. A) when any business relationship exists