Life insurance test
Reserved for people With a Superior physical condition, habits, lifestyle
Preferred risk classification
Types of risks that will result in the highest premium
Substandard risk
Example of liquidity in a life insurance contract
The cash value available to the policy owner
Who must approve viatical settlements
The director
All advertisements are the responsibility of who
The insurer
Which of the following is not a characteristic of variable annuities
They offer guaranteed stock performance
Who effectuates viatical settlement contracts?
Viatical settlement providers
When is the earliest a policy may go into effect?
When the application is signed and a check is given to the agent
An underwriter is reviewing the medical questions in the application and needs further information due to a medical situation from the past. What will the underwriter require?
Attending physician statement
Who makes up the medical information bureau
Insurers
Poor health and bad habits in life insurance lead to
Higher premium because of a substandard risk
When calculating the amount of life insurance it takes into account the insureds wages, years until retirement, and inflation
Human life value approach
Who is the owner and the beneficiary on a key person life insurance policy
the employer is the owner and beneficiary
Cost comparison methods
used to compare the cost of one life insurance policy against another
A person who qualifies for preferred risk classification qualifies for
Lower premiums then someone with a standard risk
This describes gross annual premium
Net premium plus expenses
What does liquidity refer to in a life insurance policy
Refers to the availability of cash to be insured through cash values
This policy is written on an individual basis with a face amount of 2000 or more. These policies are paid annually, semi annually, quarterly, or monthly
Ordinary life
