Passnow! Insurance!

In a non contributory group policy..

100% of eligible employees must be covered.

Upon the death of a primary breadwinner who is fully insured under social security, a dependent child is eligible to receive an income benefit until the age of..

18 or 19, if un married and a student in school.

In a group life insurance plan, children of the employee may be covered as eligible dependent until they reach the age of...

26.

Which of the following statements about a resident life-only agent licensing is INCORRECT?

A licensee has 30 days to update change in address.

Which of the following describes a Stranger-Originated Life Insurance(STOLI) arrangement?

A person with no insurable interest in the insured purchases a life policy.

If a term policy is convertible, that means that at the end of the term, the policy owner may convert coverage to..

A whole life policy.

Life settlement contracts are put into effect by which of the following?

An absolute assignment (All rights of ownership have permanently assigned,

An agent accepts the premium payment 35 days after it's due, telling the insured that the policy will continue to remain in force. This is an example of what kind of agent authority?

Apparent.

Which if the following non forfeiture options would be automatically implemented by the insurer if not selected by the policy owner?

Extendeyd term.

Slippery floors, reckless driving, or providing false information are examples of..

Hazards

Which of the following principles describes restoring the insured to his or her original financial status after a loss?

Indemnity.

Which of the following settlement options does NOT guarantee that the entire principal will be paid out to the beneficiary?

Life income

A person has a history of DUIs. To his insurer, the presents what type of hazard?

Morale.

A life settlement broker..

Negotiates life settlement contracts between the owner and provider.

A person purchases an annuity that pays a monthly amount for the remainder of the persons life. If death occurs before the principal is exhausted, the difference is paid to a designated beneficiary. Which payment option has this person selected?

Refund annuity.

An insured covered by a life insurance policy with an accidental death rider was injured in an accident and died 15 weeks later. The policy had $50,000 coverage with triple indemnity. The insurer will pay the beneficiary...

The face amount. (Because it did not occur within 90 days of the accident)

Which of the following insurance principle states that the larger the number of people with a similar exposure to loss, the more predictable actual losses will be?

The law of large number.