Insurance 2
A tornado that destroy property would be an example of...
A peril -is the cause of loss insured against in an insurance policy.
The transfer of ownership eights of a life insurance policy from one person to another.
Assignment
An unfair practice in which one person refuses to do business with another until he or she agrees to certain conditions.
Boy cott
An unfair trade practice in which an agent uses physical or mental force with the intend of inducing an applicant to purchase insurance.
Coercion
Include written and/or oral information regarding a consumer's credit, character, reputation, or habits collected by a reporting agency from employment records,credit reports,and other public sources.
Consumer reports
The types of risks the policy will not cover.
Exclusions
A unit of measure used to determine rates charged for insurance coverage. In life insurance, all of the following factors are considered in determining rates: the age of the insured; medical history; occupation, and sex
Exposure
Established procedures that consumer-reportings agencies must follow in oder to ensure that records are confidential, accurate, revelant,and properly used.
Fair credit reporting act
Period of time after the premium due date in which premiums may still be paid before the policy lapses for nonpayment of premium.
Grace period
An individuals tendency to be dishonest would be indicative of a...
Moral hazard
The person who has the right to be exercise the rights and privileges in the policy. This person may or may not be insured.
Policyowner
The price of insurance for each exposure unit is know as...
Rate
Any inducement offered in the sale of insurance products that is not specified in the policy.
Rebating
Any supplemental agreement attached to and made a part of the policy whether the policy's conditions are expanded and additional coverage added,or coverage or condition is waived.
Rider
Choices available to the insured/owner for distribution of insurance or the insureds beneficiary instead of an immediate cash lump-sum payment.
Settlement options
A method of dealing with risk for a group of individual persons or businesses with the sane or similar exposure to loss to share the losses that occur within that group.
Sharing
To give up a whole life policy. In case of surrender, the insured will pay the insured the cash value the policy has built up.
Surrender
Not a goal of risk retention?
To minimize the insureds level of liability in the event of loss.
Life Insurance provided for members of a group.
Group life
What do individuals use to transfer their risk of loss to a larger group?
Insurance
When a fixed annuity owner pays his/hers insurance company a monthly annuity premium, where is this money placed?
Insurance company's general account
Provide information in the consumers character, reputation, and habits. Information is obtain through an investigation and interviews with associates, friends, and neighbors of the consumer.
Investigate consumer reports
The growing tendency of individuals to file lawsuits and to claim tremendous amounts for alleged damages is known as...
Legal hazard
The amount of money an insured can borrow using the cash value of his/her life insurance policy as collateral.
Loan value
Heath and social services provided under the supervision of physicians and medical Heath professional for person with chronic disease or disabilities. Care is usually provided in a long- term care facility which is a state licensed facility that provides services.
Long-term care (LTC)
A membership corporation owned by members insurance companies. Its a nonprofit trade organization which receives adverse medical information from insurance companies and maintains confidential medical impairment information on individuals.
Medical information bureau (MIB)
According to the California insurance code what event is classified as insurable event?
Pure risk
How are contribution to a tax sheltered annuity treated with regards to taxation
They are not included as income for the employee, that are taxable upon distribution.
A combination of flexible premium and adjustable life insurance policy.
Universal life
Benefits paid to an employee by an employee in the case of injury, disability, or death as the result of an on -the-jib hazard. Workers compensation is required by stare law.
Workers compensation