Chapter 1 Life Insurance Missed Questions
When would a misrepresentation on an insurance application be considered fraud?
if it is intentional and material
When Y applied for insurance and paid the initial premium on August 14, he was issued a conditional receipt. During the underwriting process, the insurance company found no reason to reject the risk or classify it other than as standard. Y was killed in an automobile accident on August 22, before the policy was issued. In this case, the insurance company will
issue the policy anyway and pay the face value to the beneficiary
which part of an insurance application would contain information regarding the cause of death of the applicant's deceased relatives
medical information
Under the Fair Credit Reporting Act, individuals rejected for insurance due to information contained in a consumer report
must be advised that a copy of the report is available to anyone who requests it
Under the Fair Credit and Reporting Act, if the consumer challenges the accuracy of the information contained in his or her report, the reporting agency must
respond to the consumer's complaint
which is the appropriate action by the insurer if a prospective insured submitted an incomplete application
return the application to the applicant for completion
Upon policy delivery, the producer may be required to obtain any of the following EXCEPT
signed waiver of premium
what is the purpose of a disclosure statement in life insurance poligices
to protect agents and insurers against lawsuits
which of the following that is guarenteed to be true, and if untrue, may breach an insurance contract
warranty
If a policy includes a free-look period of at least 10 days, the Buyer's Guide must be delivered to the applicant
with the policy
If a consumer requests additional information concerning an investigative consumer report, how long does the insurer or reporting agency have to comply?
5 days
when is the earliest a policy may go into effect
When the application is signed and a check is given to the agent
if an insurance company wishes to order a consumer report on an applicant to assist in the underwriting process, and if a notive of insurance info practices has been provided, the report may contain all of the following information except the applicants
ancestry
In classifying a risk, the Home Office underwriting department will look at all of the following EXCEPT
applicants past income
what is the primary source of information used for insurance underwriting
application
The full premium was submitted with the application for life insurance, and the policy was issued two weeks later as requested. When does the policy coverage become effective?
as of the application date
when must insurable interest exist in a life insurance policy
at the time of application
which of the following not be considered an exception to the National Do Not Call Registry List
calls based from outside of the United States