Term
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Definition
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Term
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Definition
| EACH PARTY RELIES UPON THE TRUTHFULNESS OF THE OTHER |
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Term
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Definition
| EACH PARTY RELIES UPON THE TRUTHFULNESS OF THE OTHER |
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Term
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Definition
| THEY ACTUALLY ON SOMETHING TO BE INSURED |
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Term
| DO TERM POLICIES HAVE A VARIABLE VERSION? |
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Definition
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Term
Which of the following statements about decreasing term isfalse?
The death benefit decreases each year over the duration of the policy term.
The policy features a level premium.
Another name for this policy is mortgage protection policy.
The death benefit decreases over the policy's term until it reaches 20% of the initial face amount. |
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Definition
| The death benefit decreases over the policy's term until it reaches 20% of the initial face amount. |
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Term
TRUE OR FALSE!
Jumping juvenile`s face amount increases at a certain age, but premiums remain level. |
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Definition
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Term
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Definition
A permanent life insurance policy that allows policyholders to tie accumulation values to a stock market index. Indexed universal life insurance policies typically contain a minimum guaranteed fixed interest rate component along with the indexed account option.
has a rate of return that may be able to keep up with inflation, provide flexibility while protecting the cash value from market risk |
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Term
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Definition
| A type of flexible permanent life insurance offering the low-cost protection of term life insurance as well as a savings element (like whole life insurance) which is invested to provide a cash value buildup. |
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Term
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Definition
| Adjustable life insurance policies allow holders to manipulate the period of protection, increase or decrease the face amount, raise or lower the premium amount, and change the length of the premium payment period. These policies also incorporate an interest bearing side fund (cash value). |
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Term
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Definition
| 'Variable Life Insurance Policy' A form of permanent life insurance, Variable life insurance provides permanent protection to the beneficiary upon the death of the policy holder |
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Term
| The Payor Rider is mainly used with what policies? |
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Definition
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Term
| Whole life policies are permanent plans because they last for the duration of |
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Definition
| THE LIFE OF THE INSURED OR AGE 100 |
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Term
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Definition
| THE VALUE OF THE ACCUMULATION OF CASH IN A PERMANENT LIFE POLICY. SOMETIMES REFERRED TO AS CASH ACCUMULATION, OR JUST "CASH" |
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Term
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Definition
| AMOUNT AVAILABLE SHOULD THE POLICYHOLDER SURRENDER THE CONTRACT BEFORE MATURITY. DURING THE EARLY POLICY YEARS, THE CASH VALUE US THE RESERVE. |
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Term
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Definition
| OR ENDOWMENT OF A POLICY IS THE POINT WHEN THE GUARANTEED CASH VALUE EQUALS THE ORIGINAL DEATH BENEFIT THE POLICY IS SAID TO HAVE ENDOWED. |
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Term
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Definition
| THE AMOUNT OF INSURANCE PROVIDED BY THE TERMS OF THE CONTRACT. IN LIFE INSURANCE, IT IS THE DEATH BENEFIT. SOMETIMES IS REFERRED TO AS THE LIMIT OF LIABILITY |
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Term
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Definition
| PROVIDE FOR A DEATH BENEFIT ONLY- NO LIVING BENEFITS SUCH AS CASH VALUE |
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Term
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Definition
| PROVIDE BOTH A DEATH BENEFIT AND CASH ACCUMULATION ( LVIING BENEFIT) |
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Term
#4
What term insurance provision is an incentive for an insured to obtain lower premiums? |
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Definition
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Term
#6
What life policy features a level premium and a death benefit that decreases each year? |
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Definition
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Term
| _____________ charges a level annual premium with guaranteed death benefits to the insured when he/she is 100 years old |
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Definition
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Term
| The Payor Rider is mainly used with what policies? |
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Definition
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Term
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Definition
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Term
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Definition
| non participating insurer |
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Term
| GROUP LIFE CHARECTERISTICS |
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Definition
2 OR MORE EMPLOYEES
GRACE PERIOD AND CONVERTABLE IS 31 DAYS
PREMIUMS CNA BE PAID BY OWNER OR SHARED WITH THE EMPLOYEE |
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Term
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Definition
THE VLAUE OF THE ACCUMULATION OF CASH IN A PERMANENT POLICY
AKA CASH ACCUMULATIVE |
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Term
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Definition
SMALL POLICIES ISSUED TO LOW INCOME WORKERS
NO MEDICAL EXAM
NO CASH VALUE TILL 6TH YEAR
NO SUICIDE CLAUSE |
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Term
| IS WHOLE LIFE A PERMANENT CONTRACT |
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Definition
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Term
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Definition
PROVIDES PROTECTION FOR THE WHOLE LIFE OF SOMEONE OR UNTIL AGE 100
HAS LIVING AND DEATH BENEFITS
LEVEL PREMIUMS REMAIN THE SAME
LEVEL FACE MEANING THE DEATH BENEFIT REMAINS THE SAME
BUILDS LIVING BENEFIT U CAN USE IF YOU NEED MONEY |
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Term
| GRADED PREMIUM WHOLE LIFE |
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Definition
MORE THAN ONE PREMIUM INCREASE
DISCOUNTED PREMIUM IN THE EARLY YEARS |
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Term
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Definition
| POLICY FACE AMOUNT INCREASES WITHCONSUMER PRICE INDEX |
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Term
| UNVERSAL LIVE/FLEXIBLE PREMIUM ADJUSTABEL LIFE |
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Definition
FLEXIBLE PREMIUM
ADJUSTABLE DEATH BENEFIT
ACCUMULATES CASH VALUE |
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Term
| WHAT IS A SURVIVORSHIP POLICY |
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Definition
| CONTRACT THAT INSURES 2 PEOPLE WHICH PROMISES TO PAY UPON THE SECOND DEATH |
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Term
| What is the difference between a jumping juvenile and a regular juvenile life policy? |
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Definition
| Jumping juvenile`s face amount increases at a certain age, but premiums remain level. |
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Term
Which of the following types of contracts does not have a variable version?
Annuity
Term
Whole Life
Universal Life |
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Definition
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Term
| Which policies endow at age 100? |
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Definition
| Whole life policies and 10 yr pay. |
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Term
| The Payor Rider is mainly used with what policies? |
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Definition
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Term
| A form of term insurance that provides the policyowner with a reduced premium rate if he/she can requalify by providing evidence of insurability from time to time is referred to as |
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Definition
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Term
| Universal term life insurance policies provide HOW LONG OF A GRACE PERIOD |
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Definition
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Term
| _____________ charges a level annual premium with guaranteed death benefits to the insured when he/she is 100 years old. |
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Definition
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Term
| What life policy features a level premium and a death benefit that decreases each year? |
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Definition
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Term
| The Payor Rider is mainly used with what policies? |
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Definition
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Term
| What term insurance provision is an incentive for an insured to obtain lower premiums? |
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Definition
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Term
| The Payor Rider is mainly used with what policies? |
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Definition
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Term
| All the following term policies would have a level premium for at least 10 years except: |
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Definition
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Term
| What is a life policy written as a master policy? |
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Definition
| REMEMBER MASTER. GROUPL PLICIES HAVE MASTER POLICIES |
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Term
| WHAT IS A MODIFIED LIFE POLICY? |
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Definition
| A modified whole life policy is premium paying to age 100 and it has premium increase. The premiums are discounted for the first 5 years |
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Term
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Definition
SHARES IN COMPANY PROFITS
MUTUAL INSURERS |
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Term
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Definition
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Term
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Definition
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Term
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Definition
SOLD TO THE POOR- SMALL DEATH BEENFIT POLICY- 5-15,000
AGENT GOES OUT AND PICKS UP POLICY
NO SUICIDE CLAUSE |
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Term
| WHAT HAPPENS IF COMMIT SUICIDE |
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Definition
| FIRST 2 YEARS NO DEATH BENEFIT PAID IF COMMIT SUICIDE ATER 2 YEARS THE DEATH BENEFIT WILL BE PAID |
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Term
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Definition
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Term
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Definition
| WHAT YOU RECEIVE IF YOU SURRENDER |
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Term
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Definition
| 10-15 YEARS % OF MONEY IN THERE |
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Term
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Definition
| DEATH BENEFIT ONLY NO LIVING BENEFIT NO CASH VALUE NO LOAN VALUE. |
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Term
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Definition
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Term
| HOW DOES LIFE INSURANCE CREATE AN ESTATE |
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Definition
| PAY A LUMP SUM OF MONEY TO THE BENEFICIARY UPON THE INSURED DEATH |
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Term
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Definition
LEVEL- DEATH BENEFIT REMAINS THE SAME
DECREASING- DEATH BENEFIT FIRST DAY HIGHEST AMOUNT LAST DAY IT WILL BE ZERO
INCREASE- FIRST DAY 0 PROTECTION LAST DAY MAXIMUM DEATH BENEFIT |
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Term
| TERMS HAVE WHAT TYPE OF PREMIUMS |
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Definition
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Term
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Definition
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Term
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Definition
| PREMIUMS WILL BE INCREASING FOR THE NEXT POLICY PREMIUM |
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Term
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Definition
| UP TO THE OWNER TO RENEW FOR ANOTHER POLCI PERIOD |
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Term
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Definition
GUARENTEET CONTRACT
LIFETIME PROTECTION
COVEREAGE TILL AGE 100
CASH VALUE- U CNA CASH IT IN AND TAKE CASH IF U DONT WANT POLICY |
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Term
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Definition
GUARENTEE CONTRACT AND IS FOR SAVINGS
MATURE AT 100. IF THEY ARE STILL ALIVE THEY WILL BE PAID A CHECK. |
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Term
| involves the exchange of a premium for a promise, which means that the insurer is the only party making a legally enforceable promise to pay a claim. |
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Definition
| A unilateral contract involves the exchange of a premium for a promise |
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Term
#5
What becomes part of the contract, is guaranteed to be true, and if untrue, may be grounds for rescinding the policy? |
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Definition
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Term
| When can a representation be altered or withdrawn? |
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Definition
| It can be altered or withdrawn before the insurance is issued. |
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Term
| MGA acts as an agent and produces and underwrites gross direct written premium equal to or more than ________% |
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Definition
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Term
For an insurance contract to be enforceable, which of the following parties must be considered competent?
applicant
or insured |
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Definition
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Term
| IS AN AN IMPLIED WARRANTY IN WRITING |
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Definition
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Term
| Insurable interest is best described as: |
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Definition
| The policyowner must expect to suffer a loss when the insured dies or becomes disabled. |
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Term
| When can a representation be altered or withdrawn? |
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Definition
| It can be altered or withdrawn before the insurance is issued. |
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Term
| For insurable interest to exist: |
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Definition
| the insured must establish that they actually own something to be insured. |
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Term
| Underwriting is a process of: |
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Definition
| Selecting, classifying, rating and determining coverages. |
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Term
Which of the following is NOT part of a contract that is enforced by the law?
Competent parties
Offer and acceptance
Legal purpose
Tort law |
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Definition
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Term
| Which of the following describes the situation when one party intentionally gives false information in order to benefit from unlawful gain? |
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Definition
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Term
| Alcoholism is an example of a: |
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Definition
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Term
| What is meant by the term adverse selection? |
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Definition
| The tendency of people with greater than average exposure to loss to purchase insurance |
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Term
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Definition
| Rescission is the revocation of a contract. |
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Term
| WHAT IS Distribution of exposures |
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Definition
| Balancing poor risk with preferred risk, with the average or standard risk being in the middle is known as what? |
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