Completing the application, underwriting, and delivering the policy

Insurance policies are not drawn up through negotiations and insured has little to say about is provisions. What contract characteristic does this describe?

Adhesion

Insurance an offer is usually made when

An applicant submits an application to the insurer

In classifying a risk, the home office underwriting department will look at all the following, except

Applicant's past income.

If they change needs to be made to the application for insurance, the agent may do all the following, except

Erase the incorrect answer and record the correct answer

What describes the specific information about a policy?

Policy summary

If an insurer issed a policy based on the application that had unanswered questions, which of the following will be true

The policy will be interpreted as if the insurer waved It's right to have an answer on the application.

If an applicant for a life insurance policy is found to be substandard risk. The insurance company is most likely to?

Charge a higher premium

Untrue statements on the application and intentionally made by insureds that if discovered would alter the underwriting decision of the insurance company are called

Material misrepresentation

Under the fair credit reporting act, individuals rejected for insurance due to information contained in a consumer report...

Must be informed of the source of the report

If an agent fails to obtain an applicant signature on the application, the agent must

Return the application to the applicant for a signature

Which of the following is a statement that is guaranteed to be true and if untrue may breach an insurance contract?

Warranty

Informing an insurance contract when does acceptance usually occur?

When the insurer's underwriter approves coverage

If a policy includes a free look period of at least 10 days, the buyers guide may be delivered to the applicant no later than

With the policy

when an insurer begins underwriting procedures for an applicant what will be the main source for its underwriting information?

application

When an insured makes truthful statements on the application for insurance and pays, the required premium. It is known as which of the following?

consideration