Primerica Practice test part 4

The owner of a small restaurant submits a claim to his insurer after a loss due to fire. The insurer's investigation finds a police report that shows that a fire may have been of suspicious origin. The insurer can do which of the following? a) Delay an acceptance or rejection decision b) Reduce the claim amount c) Disregard the claim d) Deny the claim immediately

a

Which of the following is NOT true regarding a Certificate of Authority? a) It is issued to group insurance participants. b) It may be necessary for transacting business in a specific state. c) It is equivalent to an insurance license. d) It is issued by the state department of insurance.

a

Which of the following insurers are owned by stockholders who have the usual rights of ownership, including the right of voting? a) Stock b) Mutual c) Reciprocal d) Fraternal

a

What is the main purpose of the regulation on life insurance policy illustrations? a) To compare life policies b) To help producers submit proper reports to the department of insurance c) To present a life policy in a visual way d) To help customers make educated decisions in buying life insurance

d