Chapter 4 Exam - Life Underwriting

Pataasin ang iyong marka sa homework at exams ngayon gamit ang Quizwiz!

Upon delivery of a rated life insurance policy, the Producer must obtain each of the following, EXCEPT:

Signed HIPPA disclosure *The HIPAA disclosure should be taken at the time of sale with the application.

An agent gives a conditional receipt to a client for an insurance policy after collecting the initial premium. When will the policy become effective?

When the conditions of the receipt are met *A conditional receipt indicates that certain conditions must be met in order for the insurance coverage to go into effect.

The USA Patriot Act was enacted in:

2001 *to detect and deter terrorism

An incomplete life insurance application submitted to an insurer will result in which of these actions?

Application will be returned to the writing agent *If the company discovers a mistake or incompletion, it usually returns the application to the producer.

K applies for a life insurance policy on herself and submits the initial premium with the application. She is given a receipt by the agent stating that coverage begins immediately if the application is approved. What kind of receipt was used?

Conditional *A conditional receipt indicates that certain conditions must be met in order for the insurance coverage to go into effect.

What action should a producer take if the initial premium is NOT submitted with the application?

Forward the application to the insurer with initial premium. *In this situation, the producer should submit the application to the insurance company without the premium. However, if a premium is not paid with the application, the policy will not become valid until the initial premium is collected.

What is the purpose of a Policy Summary?

It highlights the critical parts of the policy issued

An underwriter determines that an applicant's risk should be recategorized due to a health issue. This policy may be issued with a(n):

exclusion for the medical condition. *In this situation, the policy may be issued with an exclusion for the medical problem.

Consumer reports requested by an underwriter during the application process of a life insurance policy can be used to determine:

probability of making timely premium payments *The purpose of these reports is to provide a picture of an applicant's general character and reputation, mode of living, finances, and any exposure to abnormal hazards.

In order for coverage on a non-medical insurance application to take effect the same day, the producer must collect a signed application

the initial premium

The reason for backdating a policy is

to obtain a premium rate based on an earlier age.

When a policyowner cash surrenders a Universal Life insurance policy in it's early years, this may be considered a red flag for a(n):

Anti-Money Laundering violation

A life insurance application must be signed by all of the, EXCEPT: -the policyowner -the agent -the insured (if an adult) -beneficiary

Beneficiary

Who is NOT required to sign a life insurance application?

Beneficiary

On delivery of a policy, a signed statement of good health is typically requested if:

The application was submitted without the initial premium


Kaugnay na mga set ng pag-aaral

Biology 150 Learning Objectives for November 17-29

View Set

EXAM 1 (COMMUNICATIONS IN ORGANIZATIONS)

View Set

Philosophy - Utilitarianism & Eudaimonia

View Set

Sports and Entertainment Marketing Midterm Study

View Set

SHRM - Organizational Effectiveness & Dev (OED)- Implementing OED Initiatives

View Set

RealEstateU: Texas Real Estate Principles Part 1 Final Exam

View Set