4) 3 components to the premium, The owner and the insured are different people. The premium is level and guaranteed not to increase. a) A medical examination -the premiums are paid for a limited time only. a) Year only. a) Offering additional coverage to clients -policyowners right provision If contract is up after 20 years & policy holder wishes 2 renew what occurs every year? Age, Sex, Occupation, Hobbies, Habits, Smoking or Non-Drug user or Non. Its controller resigned in October 2017. Now Tamara can afford whole life insurance. D. The benefit is received tax free. 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. -kids till 21 c) Conditional 3)Minors. II. Since they may receive a dividend (not guaranteed), such policies are known as participating policies. AKA-payout phase. 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. C) common stock 4. Exclusion Categories Solved All of the following are true for indemnity insurance | Chegg.com All of the following are true of key person insurance EXCEPT ) The key employee is the insured. Their premiums are lower Their premiums are lower A. 2)Variable annuity The safety margin is narrower, because the cost of the insurance to the policyholder cannot be adjusted at a later time. When a insurance company(insurer) has too many risks exposed to loss it seek another company(reinsurers) to insure them. -the insurer sets the terms of the contract and the applicant must adhere to them. 3) Increasing Term. An agent has authority to do all of the following, except: A. Countersign insurance contracts What are two reasons that people deposit money in banks? d) Producer. B. Most agents try to collect the initial premium for submission with the application. After everything is signed & premium is collected What does the agent give to the policy holder? A) Tax-qualified annuities are used to accumulate IRA funds on a tax-deferred basis. All of the following characterize term life insurance, EXCEPT: Select one: a. c. Manufacturing expense accounts and their balances for the month are as follows: DepreciationExpense-FactoryEquipment$5,770.24MiscellaneousExpense-Factory$13,780.48DepreciationExpense-Building2,822.40PayrollTaxesExpense-Factory43,736.00Heat,Light,andPowerExpense9,055.20PropertyTaxExpense-Factory6,088.32InsuranceExpense-Factory1,505.28SuppliesExpense-Factory18,063.36\begin{array}{lrlrr}\text { Depreciation Expense-Factory Equipment } & \$ 5,770.24 & \text { Miscellaneous Expense-Factory } & \$ 13,780.48 \\ \text { Depreciation Expense-Building } & 2,822.40 & \text { Payroll Taxes Expense-Factory } & 43,736.00 \\ \text { Heat, Light, and Power Expense } & 9,055.20 & \text { Property Tax Expense-Factory } & 6,088.32 \\ \text { Insurance Expense-Factory } & 1,505.28 & \text { Supplies Expense-Factory } & 18,063.36\end{array} The 4 characteristics of a universal life policy are? C) An insurance contract must contain a copy of the original application. -then picks a contract. Is interest always gained in Universal Life Policy? d) Fair Credit Reporting Act. When an agent is handling the premiums that belong to an insurance company, they are acting in a fiduciary capacity. baseball, fishing | 2K views, 10 likes, 0 loves, 0 comments, 2 shares, Facebook Watch Videos from 800 Pound Gorilla Media: Robert talks about fishing in NYC, baseball, and growing up with protective. A. It is legal to list nonguaranteed values in the contract, but they must be specifically labeled as projected, not guaranteed values. 4. B. C. Funding business continuation agreements ____________ is a statement that is true to the best of the persons knowledge that is making the statement. A key person insurance policy can pay for which of the following? What is the primary source of info for the underwriting department to determine insurability? What type of insurer has no capital stock? Misappropriation or illegal withholding of the policyholder's money. c. It is the failure to use ordinary care. All of the following statements are TRUE concerning Debtor Groups EXCEPT 3)Consideration (b) Most policies can be renewed without evidence of insurability. Which of the following is an example of an unfair claims settlement practice? All of the following are true of negligence, except: - AZanswer This is true whether a property or liability form; and regardless whether the insured is a commercial or personal lines client. A conditional or binding receipt is given when an applicant does what? Group Life Insurance Flashcards | Chegg.com Executive office A state administered health insurance for the needy? D. The benefit is received tax free c) 15% for early withdrawal (c) PV of the family's share of a deceased breadwinner's future earnings. The money in a savings account (b) face amount of the policy and the total premiums that have been paid. -it is a type of Rider \hline & \text { Jul 31 } & 58,000 d) Fiscal responsibility. (must exist at the time of application). On DUE DATE. A value-added tax ( VAT ), known in some countries as a goods and services tax ( GST ), is a type of tax that is assessed incrementally. Statement of good health Whats the cheapest type of permanent insurance? Buy-sell agreements are normally funded with a life insurance policy. ch2 Flashcards | Quizlet The companys president is concerned about the accuracy of the income statement. 3)Explain any riders or exclusion 3)Increasing term adds face value. Non-Participating (stock) Life Insurance Policy. A. All of the following are options for managing risk, except: means of collecting a loss payment from a liable party. c. Premiums may be raised at renewal d. Group term insurance may cover the . (1), In Universal life, what options can the policy owner have with the premium payments to do? -pay for certain time and stop Question: All of the following statements about professional liability insurance are true, EXCEPT: Select one: O a. Insurance is not designed to cover _____________ losses. B. There is no limitation on the number of key employee plans in force at any one time B. The total of all requisitions of indirect materials issued during the month is$20,170.00. A debtor has an insurable interest in the life of a lender. 1)policy owner can increase/decrease/ or skip premium payments The benefit is subject to the exclusionary rule Surviving family members may experience a reduction in their standard of living if the family breadwinner dies prematurely. Reinsurance has 2 types of policys, what are they? C. Whole life How much life insurance should Sam advise . Who is not a party to the contract and receives the benefits when the insured dies? When a New York insurance agent or broker advertises services, he/she must list the full name of the insurer and the name of the city, town, or village that houses the principal office. What (5) Factors for GIO & GIB. whose covered? RetainedEarningsDividend19,000Jul1NetIncJul3165,00065,000111,000. The debtor does not have an insurable interest in the life of the lender. Correct: C. Concealment, A. 2. An agent told Carl about a form of life insurance in which Carl could select where the savings component is invested. b) Universal Life Agents and producers must place business through an insurer with the lowest rated A FINRA registration. (a) The insurance provides protection for a temporary period of time. Any gain in the policy's cash value is . 1) Family Maintenance(breadwinner) Prior to October 2017, the company had been profitable every month. A) An indeterminate premium reduction policy is a policy in which the premium is guaranteed for an initial period, then the insurer can charge up to a maximum premium charge that is specified in the policy. Occupation The US is the only developed nation without a system of universal healthcare, with a large proportion of its population not carrying health insurance, a . Members are assessed to fund the corporation. Study with Quizlet and memorize flashcards containing terms like All of the following are personal uses of life insurance EXCEPT A. insurable interest must exist. Which of the following statements is not correct regarding rates and premiums? Government Relations: New Challenges and the Ongoing Erosion of Weiss and Fitch are two of these services, although there are more. 3. D. Alien \end{array} a) Payor rider. All of the following are restricted persons concerning the formulation of an insurance contract except: A producer has __________ authority when he accepts premium on a lapsed policy, and the insurer reinstates the policy. Cash values can be borrowed at any time Pro rata liability applies. If you don't have health insurance, you pay all costs for healthcare and medical emergencies. A mutual insurer has no stock, and is owned by the policyholders. \textbf{EMPIRE COMPANY}\\ B. A peril (D The employer is the owner, payor and beneficiary of the policy. C. Domestic The insurer that is transferring the risk to another company is called the ____________ __________. b. (4), 1)monthly All of the following statements about the characteristics of Social Security are true EXCEPT A. The minimum FREE LOOK period is how many days? a) No penalties, since the owner is older than 59 All of the following statements concerning coinsurance are true, EXCEPT . (c) Interest credited to a policy's cash value is taxable to the policyowner in the year credited. B. (b) variable life insurance 1)Whole Life The policy is a contract of adhesion. The concept that the insured should not profit from an insurance transaction is called what? c) Term life B. When the agent delivers the policy, collects the initial premium, and the applicant completes and acceptable statement of good health 6)Explain Free Look period-10-30 days- unconditional refund that begins when policy is delivered. \end{array} II. Total personal income in the United States (in billions of dollars) for selected years from 1960 to 2009 is given in the following table. a) Withdrawals are not taxable. Use the indirect method. When a policy has reached its final destination and can be paid out in full is when the policy has ____________? 2)the face amount Despite this, the country has significantly worse healthcare outcomes when compared to peer nations. a) Indeterminate Premium Estimated direct labor costs for next year are$440,000.00. B. -7 pay test is used to determine If a policy is a MEC. B) A fiduciary is a producer who handles insurer funds in a trust capacity. B) Human life value approach is determined by the loss of income that would result with the death of the insured, after making adjustments for expenses, inflation, etc. An underwriter will consider each of the following factors when evaluating a risk, except: A. A. D) the minor in a juvenile policy. 4)defined contribution plans. Something of value is a __________________. Which method makes the most sense for her to employ? \text{Dividend}& 19,000& \text { Net Inc } & 65,000 \\ Cash value is the same as ___________ when the policy matures. (d) They remain level. saalt menstrual disc how to use - evcc-estheticstraining.com Modification to a policy is a _______________? Which of the following statements is NOT true concering insurable interest as it applies to life insurance? (a) Interest is credited monthly to a policy's cash value. A whole life insurance policy is exchanged for a term insurance policy, Which of the following will be included in a policy summary? Chapter 1- General Insurance Flashcards | Quizlet B. Twisting Jason Mackenzie Alexander argues morality is a form of social technology - it is context specific and it can go out-of-date 2)quarterly Which of the following about the use of ordinary life insurance is true? DepreciationExpense-FactoryEquipmentDepreciationExpense-BuildingHeat,Light,andPowerExpenseInsuranceExpense-Factory$5,770.242,822.409,055.201,505.28MiscellaneousExpense-FactoryPayrollTaxesExpense-FactoryPropertyTaxExpense-FactorySuppliesExpense-Factory$13,780.4843,736.006,088.3218,063.36. For example, a claim will be paid only is there has been a covered loss. A. a) The policy can be converted to term coverage. 6)free-look period-$ back guaranteed. 4)Based on principle sum(rider) & capital sum(insurer) 50%, 3rd party ownership insurers issues policy to a lending institution IN WHITE RAIMENT. Therefore, it is responsible for 1/3 of the $24,000 loss, or $8,000. Beneficiary's age a) Universal life Statements in the application that are guaranteed true but later found to be false may result in what? (6). A policy summary (a) renewal provision 2)FCRA(fair credit reporting act) checks MIB report. -marriage -If the insured dies, the policy payed out the PRINCIPAL SUM B. Our records show that more than one device is associated with this (2), 1)HIPPA (b) Any withdrawal of cash value reduces the death benefit. A monthly deduction is made from a policy's cash value for the cost of insurance protection. a) More active. -A Mec will receive unfavorable tax treatment &\begin{array}{lr|lr} Chapter 14/1: Group Health Insurance Flashcards | Quizlet Round Trees management makes a forecast of the demand by rental class for each night in the future. The __________ branch of the state government influences public policy regarding insurance laws. The application is the basic source of information an insurer uses in the risk selection process. Example: company that is incorporated in NJ and sells in NJ. c. Using the payback period, which project should Bill choose? Past-due interest on a policy loan is added to the total debt. Height Weight and Health conditions. This form of life insurance has fixed premiums and the cash value is not guaranteed. What is the purpose of a suicide provision within a life insurance policy? 3. Yes, all T-mobile insurance plans cover water damage. The policy is a conditional contract 4 All of the following statements about term insurance are true EXCEPT All of the following statements are true of liability insurance, EXCEPT The Boyle family can be described as a The 3 categories of private insurers site of incorporation? Which of the following documents must be provided to the policyowner or applicant during policy replacement? C) Annually renewable term policies provide a level death benefit for a premium that increases each year with the age of the insured. Abortion in the United States - Wikipedia B) One step in the investigation of a claim is to determine whether the policy was in force when the loss occurred. RentalClassRoomTypeITypeIISuperSaver$30$20Deluxe$35$30Business$40. C. Premiums are tax deductible by the key employee If an insurer finds that an applicant has committed fraud, it can void the contract, provided that the discovery occurs within the first two years of the effective policy date. (b) reduced. A Contract that binds only one party to future performance, is a (n): A. -assignor=assignee Journalize the entry to transfer the total of all cost sheets completed from Work in Process to Finished Goods. An applicant is denied insurance because of information found on a consumer report. _________ is a determination that a statement made as a warranty, or true. Life expectancy has increased in the U.S. over the last century. All of the following are methods of payment?