The death benefit would be $250,000 $750,000 $375,000 $500,000, What does the word "level" in Level Term describe? What kind of policy is this? Question and answer. A) Unilateral contract The policies continue in force with no change. Science Study Guide Questions. A. The insurers obligation to pay a death benefit upon an approved death claim. A life insurance claim which involves a per capita distribution of policy proceeds would be payable to the. Typically, bilateral contracts involve an equal obligation or. In this situation, who will receive Bob's policy proceeds? 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 they are "take it or leave it" contracts. A conditional contract, also called a hypothetical contract, is a contract agreement that only requires performance once the delineated conditions are met. 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. A) Express 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. C) the terms must be accepted or rejected in full be signed and witnessed by an attorney Have a great time ahead. D. $2,863. Restoring an insured to the same condition as before a loss is an example of the principle of. A bilateral contract is an agreement between two parties in which each side agrees to fulfill their side of the bargain. D) Authority given to an agent to act outside the scope of the agency agreement, 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, Legal purpose is a term used in contract law meaning Policyowner has the right to select the investment which will provide the greatest return. C) consideration C) A contract where one party "adheres" to the terms of the contract C) Legal purpose Adjustable universal life policy Flexible universal life policy Variable universal life policy Modified universal life policy, Jonas is a whole life insurance policyowner and would like to add coverage for his two children. B) concealment C) A contract where one party "adheres" to the terms of the contract. 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? C) Materiality of concealment 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. 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 provision that allows a policyowner to withdraw a policys cash value interest free is a(n), The Do Not Call Registry offers exemptions for calls placed from all of the following EXCEPT, All of these are valid options for an Adjustable Life Policy EXCEPT, The policys premium can be increased or decreased, An insurers claim settlement practices are regulated by the. B) Law of adhesion B) NAIC C) Law of large numbers B) A paid premium Julie has a $100,000 30-year mortgage on her new home. renewal reinstatement resumption renovation, the MEC tends to be an investment vehicle, Pre-death distributions from a modified endowment contract (MEC) receive different tax treatment than other life insurance policies because the MEC has tax deductible premiums the MEC is considered an illegal product the MEC tends to be an investment vehicle the MEC does not accumulate cash value, The face amount and premium will remain constant over the 10-year period, Krissa purchases a 10-year level term life insurance policy that has a death benefit of $200,000. An unintentional violation of Utah insurance law could lead a producer to a fine of up to _____ per violation. Implied When the term insurance expires. Which policy requires an agent to register with the National Association of Securities Dealers (NASD) before selling? 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. definitions Policyowner may increase or decrease the premium payments Policyowner may increase or decrease the face amount Policyowner can contribute large sums of money Policyowner has the right to select the investment which will provide the greatest return, All of the following riders can increase the death benefit amount EXCEPT Cost of Living Waiver of Premium Accidental Death Rider Guaranteed Insurability, Which of these is NOT considered to be a common life insurance nonforfeiture option? All of the following statements about Carl's coverage are correct. B) A contract that has the potential for the unequal exchange of consideration for both parties B) Unequal consideration C) insurer 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. In order to maintain coverage and make a successful claim, its crucial that policyholders read and understand their insurance contract carefully. A) Tom's spouse A) definitions It is a nonprofit organization that maintains underwriting information on applicants for life and health insurance. 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? Authority given to an agent to act outside the scope of 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, When the principal gives the agent authority in writing, it's referred to as Adjustable life policy Modified life policy Endowment policy Universal life policy, How are survivorship life insurance policies helpful in estate planning? Connect with others, with spontaneous photos and videos, and random live-streaming. To see this page as it is meant to appear, please enable your Javascript! D) Evident authority, Which of the following is an example of the insured's consideration? Which type of life insurance offers flexible premiums, a flexible death benefit, and the choice of how the cash value will be invested? a) a conditional acceptance allows the parties to negotiate the definite terms of the contract upon the completion of the contract. B) acceptance 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 B) errors and omissions D) errors and oversights, In an insurance contract, the insurer is the only party legally obligated to perform. 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. Zucchini is the best descriptive word. 0 Answers/Comments. Which contract element is insurable interest a component of? D) underwriter, Reasonably necessary acts that an agent must perform for carrying out his/her expressly authorized duties are covered by an agent's In most cases, the insured is. Express A) Parties involved in the contract (B) Both parties adhere to the contract. In this situation, who will receive Bob's policy proceeds? D) Conditional, Which of the following is NOT a requirement of a contract? In which form of corporate financing is the investor also an owner? This is also known as a non-negotiable insurance contract, or an automatic contract. How does life insurance create an immediate estate? Only the insurance company has legal obligations. ______ is NOT an element of a valid contract. A) Insurer's promise to pay benefits consideration Only the insured pays the premium insurer 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? 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. In most insurance policies, the insurer is the only one who makes a legally binding promise to pay insured claims. D) conditions, The authority granted to a licensed producer is provided via the An example of an unfair claims practice would be, Failing to effectuate prompt, fair, and fair equitable settlements of a claim. B) implied authority If the other agreement or condition is performed, then the conditional contract is . A) A contract that requires certain conditions or acts by the insured individual guarantee C) Business partners representation B) Equal consideration is required between the involved parties Which Of The Following Statements About Personal Selling Is Correct? With a life insurance contract, the insurer binds itself to pay a certain sum upon the death of the insured. Ron has a life insurance policy with a face value of $100,000 and a cost of living rider. Asked 10/6/2017 7:04:21 AM. If Sharon MUST obtain Mikes signature in order to change the beneficiary, what kind of beneficiary designations is this? A) fiduciary bond 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 B) only an offer During periods of inflation, annuitants will experience a decrease in purchasing power of their payments. The insured, on the other hand, makes few, if any, legally binding promises to the insurer. Multiple-choice. Accelerated death benefit rider Waiver of premium rider Extended term option Decreasing term insurance. A) offer What is the purpose for having an accelerated death benefit on a life insurance policy? Both partners are still married at the time of Bob's death. B) Offer and acceptance A) implied authority What are an applicants statements concerning occupation, hobbies, and personal health history regarded as? 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. What is created after policy proceeds are obtained in a lump sum and then immediately invested? acceptance C) apparent authority A type of group that has a constitution and bylaws and has been organized for purposes other than obtaining insurance is called a(n). Rob purchased a standard whole life policy with a $500,000 death benefit when we was age 30. C) Apparent authority Updated 10/6/2017 9:10:03 AM. 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. B. Which of the following products would allow him to accomplish this? 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). If she dies 15 years after the policy's inception date, how much will her beneficiary receive? 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? y=f(x)=10x5x+1535if0x3if3
Mark Brown Obituary Middleville Mi,
Hyperbole In Beowulf,
Red Dead Redemption 2 Cronus Zen Script,
Articles W