which of the following best describes a conditional insurance contract

Food C. Plant D. Zucchini. Insurers must maintain files of all documents used for solicitation for ____ year(s) after the last authorizes date of use. 2. D) imposed authority, What makes an insurance policy a unilateral contract? Which of the following products would allow him to accomplish this? Write a summary of the main ideas. Which of these would NOT be an unfair claims practice? a. medical expenses covered under Pat's employer-sponsored group health insurance. 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 A contract where only one party makes any kind of enforceable contract, statements made in the application and the premium, In a life or health insurance contract, "consideration" would be the offer and acceptance premium only statements made in the application and the premium statements made in the application only, 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 underwriting issuance of the policy promises made legal reserve, All of the following are elements of an insurance policy EXCEPT definitions other insurance claim forms conditions, The term which describes the fact that both parties of a contract may NOT receive the same value is referred to as Apparent Estoppel Aleatory Unilateral, Which of the following is an example of the insured's consideration? D) collateral, Express power given to an agent in an agency agreement is D) Consideration clause, When the principal gives the agent authority in writing, it's referred to as Julie has a $100,000 30-year mortgage on her new home. Updated 10/6/2017 9:10:03 AM. 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 Both partners are still married at the time of Bob's death. 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 of the following BEST describes a conditional insurance contract Her son, Mike, is the beneficiary. How does life insurance create an immediate estate? Policy loans are disallowed The premium payments will be tax deductible Pre-death distributions are typically taxable Withdrawals will be prohibited, When a whole life policy is surrendered, income taxes may be owed, All of these statements concerning whole life insurance are false EXCEPT Policyowner can take out a policy loan up to the face amount When a whole life policy is surrendered, income taxes may be owed Coverage is normally temporary The death benefit is not affected by outstanding loans, A life insurance policy which contains cash values that vary according to its investment performance of stocks is called Increasing Term Life Modified Whole Life Variable Whole Life Adjustable Whole Life, Which of these riders will pay a death benefit if the insured's spouse dies? However, corporations also can raise money by selling bonds or issuing additional shares of stock. Insurance Quiz (MCQs) Archives - Management Notes A) Sister and brother Which of the following BEST describes a conditional insurance contract? A) implied 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? performance is conditioned upon a future occurrence. 0 Answers/Comments. Please check below to know the answer. y=f(x)=10x5x+1535if0x3if3Which Of The Following Best Describes A Conditional Insurance Contract A) there is an element of chance and potential for unequal exchange of value or consideration for both parties B) Parent and children Only the insurance company has legal obligations. The insurers obligation to pay a death benefit upon an approved death claim. there must be legal reasons for entering into the contract It is a nonprofit organization that maintains underwriting information on applicants for life and health insurance. Advertisement. 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 does the Group Life underwriting risk selection process help protect insurance companies from? Insurance Multiple-Choice Questions Flashcards Preview - Brainscape 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) Rescind the policy a) a conditional acceptance allows the parties to negotiate the definite terms of the contract upon the completion of the contract. Loan against the cash value Policy withdrawal Policy dividend Death benefit, A business will typically use which type of life insurance to cover their employees? Which of these legislation Acts is designed to protect consumers with guidelines regarding credit reporting and distribution? An insurer's claim settlement practices are regulated by the Securities and Exchange Commission (SEC) National Association of Claims Adjusters (NACA) National Association of Insurance Commissioners (NAIC) State insurance departments, A life insurance company has transferred some of its risk to another insurer. B) Offer and acceptance Use the binomial distribution to find P(x13)P(x \leq 13)P(x13) if the stain removal product's claim is correct. When does a life insurance policy typically become effective? Bilateral Contract: Definition, How It Works, and Example - Investopedia Peter has a policy where 80% to 90% of the premium is invested in traditional fixed income securities and the remainder of the premium is invested in contracts tied to a stipulated stock index. 2 See answers Free Flashcards about Stack #2476860 - StudyStack other insurance 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. What guarantees that the statements supplied by an insurance applicant are true? 2003-2023 Chegg Inc. All rights reserved. (C) Both parties exchange goods of equal value. Rob recently died at age 60. Adjustable whole life Universal life Decreasing term life Limited whole life, Which type of life insurance policy pays the face amount at the end of the specified period if the insured is still alive? promises made This rider is called a(n). implied authority representation What is the meaning of par value of stock with respect to the corporate form of organization? 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. During periods of inflation, annuitants will experience a decrease in purchasing power of their payments. Death benefits Cash value Loading costs Separate account investments, Which policy feature makes a universal life policy different from a whole life policy? Under the Fair Credit Reporting Act, what is the maximum penalty that may be imposed on Ken? Rob purchased a standard whole life policy with a $500,000 death benefit when we was age 30. Mossberg Maverick 88 Security 7+1, 1989 Champion Transvan, The Merchant Liverpool Bottomless Brunch, Why Convert To Orthodox Christianity, St Mary's County, Md Property Taxes, Articles W