Chapter 5 - Group Life Insurance

¡Supera tus tareas y exámenes ahora con Quizwiz!

3. What does the Group Life underwriting risk selection process help protect insurance companies from?

Adverse Selection

9. A type of group that has a constitution and bylaws and has been organized for purposes other than obtaining insurance is called a(n)?

Association or Labor Groups

10. Tim is covered under a group plan and would like to change his group coverage to an individual policy with the same insurer because of employment termination. Which of these describes the change that will take place?

Conversion

7. Converting a group plan to permanent life insurance requires?

The conversion being applied for within 31 days of termination

8. An employee under a group insurance policy has the right to name a beneficiary and the right to?

convert to an individual policy in the event of employment termination

Adverse Selection

tendency of less favorable insurance risks to seek or continue insurance to a greater extent than others

Group Life Insurance Plans

written as renewable term insurance. usually written for employee-employer groups and is written often as an annually renewable term. characterized by group underwriting, master contract and probationary period

2. All of the following are characteristics of a Group Life Insurance Plan EXCEPT

Individual underwritting

6. Which of these factors would an insurer consider when determining whether to accept a group life plan?

Average Age

4. Under a group life policy, the insurer will issue an individual _____ to the policy owner for delivery to each person insured.

Certificate

Conversion Privilege

Under group insurance, it allows an employee to convert to an individual plan upon termination of employment. does not have to prove insurability when converting.

1. The conversion privilege under a group life plan allows an employee to convert to a(n)

individual plan with another insurer that has better rates

5. A non-contributory health insurance plan helps the insurer avoid

adverse selection (BC all eligible employees are usually covered. noncontributory plans are desirable from an underwriting standpoint bc A.S is minimized


Conjuntos de estudio relacionados

Chapter 7: Body Weight and Body Composition

View Set

Fluid Mechanics Final Exam Review

View Set

Topic 7A: Explain Attacks, Threats, and Vulnerabilities

View Set

Art History Test 1 Prehistoric Art, The Ancient Near East

View Set

MKT 300 Ch. 10: Place and Development of Channel Systems

View Set

Musculoskeletal System Chapter 18

View Set