2024 LIFE, HEALTH AND ACCIDENT QUESTIONS FOR PSI EXAMS WITH ANSWERS
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2024 LIFE, HEALTH AND ACCIDENT
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2024 LIFE, HEALTH AND ACCIDENT
2024 LIFE, HEALTH AND 22024 LIFE, HEALTH AND ACCIDENT QUESTIONS FOR PSI EXAMS WITH ANSWERS 2024 LIFE, HEALTH AND ACCIDENT QUESTIONS FOR PSI EXAMS WITH ANSWERS 2024 LIFE, HEALTH AND ACCIDENT QUESTIONS FOR PSI EXAMS WITH ANSWERS 2024 LIFE, HEALTH AND ACCIDENT QUESTIONS FOR PSI EXAMS WITH ANSWERS 2024...
2024 LIFE, HEALTH AND
ACCIDENT QUESTIONS FOR
PSI EXAMS WITH ANSWERS
It is the distribution of successes of funds accumulated by the insurer and participating
policies. - CORRECT ANSWER>>>>Which of the following statements regarding a life
insurance policy Dividened is true?
Losses due to fraud are eliminated. - CORRECT ANSWER>>>>Which of the following
is not a benefit of insurance?
Participating - CORRECT ANSWER>>>>John owns an insurance policy that gives him
the right to share and the insurer's surplus. What kind of policy is this?
Contract that allows the policy owner to receive a share surplus in the form of policy
dividends. - CORRECT ANSWER>>>>What is the participating life insurance policy?
Marketing - CORRECT ANSWER>>>>One important function of an insurance company
is to identify and sell potential customers which of these BEST describes this function?
Mutual Insurer - CORRECT ANSWER>>>>An insurer on by its policyholders is called a
Demutualization - CORRECT ANSWER>>>>When a mutual insurer becomes a stock
company the process is called?
Increases the unknown premium reserve - CORRECT ANSWER>>>>Which is not a
characteristic for reinsurance?
Capitive insurer - CORRECT ANSWER>>>>Which of the following is an insurer
established by a parent company for the purpose of ensuring the parent companies loss
exposures?
Risk is eliminated - CORRECT ANSWER>>>>Which of the following is a type of
insurance where an insurer transfer loss exposures from written for it's insureds?
The greater the number insured the more accurately than sure can predict losses and
set appropriate premiums - CORRECT ANSWER>>>>And insured having a large
number of similar exposure unit it's considered important because.
Speculative risk - CORRECT ANSWER>>>>Which of the following is a situation where
there is a possibility of either lost or a gain?
,Per risk is the only insurable risk - CORRECT ANSWER>>>>Which of these statements
correctly describes risk?
Probability that an event will occur - CORRECT ANSWER>>>>Which of the following is
not considered to be a definition of the term "loss"?
Lost must be castastrophic - CORRECT ANSWER>>>>Which of the following is not an
element of an insurable risk?
A condition that may increase the likelihood of a loss occurring. - CORRECT
ANSWER>>>>A hazard can be best described as.
Moral Hazard - CORRECT ANSWER>>>>Which of the following describes the increase
in the probability of a loss due to ensure it's dishonest tendencies?
Increased chance of lost because of an insurance this honest tendencies. - CORRECT
ANSWER>>>>Moral hazard is described as the
Loss Exposure - CORRECT ANSWER>>>>Which of the following is considered to be
any situation that has the potential for loss?
Principle of indemnity - CORRECT ANSWER>>>>Restoring an insured to the same
condition as before a loss is known as.
Law of Large Numbers - CORRECT ANSWER>>>>Which of the following best
describes the statement? "the more times and event is repeating, the more predicting
the outcome becomes?"
Probability of loss is a unknown - CORRECT ANSWER>>>>All of the following is a
circumstance must be met for loss retention to be an effective risk management
technique except?
Pure Risk - CORRECT ANSWER>>>>A situation in which there is only a chance of loss
or no loss is a?
Probability of loss - CORRECT ANSWER>>>>Which of the following is not required in
the content of a policy?
indemnity - CORRECT ANSWER>>>>Restoring and insured to the same condition as
before a loss is an example of the principal of?
Equal consideration is required between the involved parties - CORRECT
ANSWER>>>>Which of the following is not a requirement of a contract?
Rescind a policy - CORRECT ANSWER>>>>If a material warranty violation on the part
of the insurance is found, what recourse does an insurer have?
,One party is restored to the same financial position the party was in before the loss
occurred - CORRECT ANSWER>>>>Which of the following statements correctly
describes a contract of indemnity?
Indemnity - CORRECT ANSWER>>>>Reasonably necessarily as a currently described
with the statement " insureds are entitled to recover and amount not greater than the
amount of the lights? "
A contract may be accepted/rejected by the insured - CORRECT ANSWER>>>>Which
statement is correct when describing a contract adhesion?
Only one party (the insurer) makes any kind of legally enforceable promise. -
CORRECT ANSWER>>>>And unliteral contract is one which?
An offer and acceptance of the contract terms - CORRECT ANSWER>>>>A contract
requires.
Make whole - CORRECT ANSWER>>>>What does the insurance term "indemnity"
referred to?
The insured and insured contribution equally to the contract. - CORRECT
ANSWER>>>>Which of the following statements about aleatory contract is not true?
Materiality of concealment - CORRECT ANSWER>>>>The importance of a
representation is demonstrated in what rule?
Fiduciary - CORRECT ANSWER>>>>When handling premiums for insurance, and each
and is acting in which capacity?
Rescinding the contract - CORRECT ANSWER>>>>Which course of action is ensuring
title II when deliberate concealment is committed by the insured?
The policy's face amount - CORRECT ANSWER>>>>And a life insurance policies limit
of liability would be.
Require a high premium payable at each renewal - CORRECT ANSWER>>>>In a
renewable term life insurance policy the contract will usually.
Decreasing term - CORRECT ANSWER>>>>Which of the following type of life
insurance is normally associated with a mortgage loan?
Non-medical - CORRECT ANSWER>>>>Which of the following is a life insurance
policy that does not require a physical exam?
, Mortgage Redemption - CORRECT ANSWER>>>>Scott has just purchased a new
house. He is now shopping for a life insurance policy that provides a death benefit that
matches the protecting a death benefit that matches the project is outstanding debt of
his mortgage. Which live policy would best suit his needs?
Only children born to policies insue date maybe including - CORRECT
ANSWER>>>>Which of the following statements do not apply to child coverage in a
family policy?
Modified Endowment Contract (MEC) - CORRECT ANSWER>>>>And insurance policy
Braden after 1988 the fails to pass to seven- pay test is known as.
Verbal Life - CORRECT ANSWER>>>>An insurance policy where the insured can
choose where the cash value can be invested is called
Applicants are not requested to answer medical questions on the application -
CORRECT ANSWER>>>>Which of the following is not a true description of a non-
medical life insurance?
Joint Life Policy - CORRECT ANSWER>>>>Tom is shopping for a policy that covers
two people I will pay the face amount ONLY when the first person dies the type of life
policy he is looking for is called a period
Renewable Term - CORRECT ANSWER>>>>Lynn owns a life policy the guaranteed
the right to renew the policy each year, regardless of health, but an increased premium,
what kind of policy is this?
Modify premium, ordinary life, single premium - CORRECT ANSWER>>>>What is the
proper order of initial life insurance premiums from lowest to highest?
Second-to-die policy - CORRECT ANSWER>>>>John and Mary having a handicapped
child that is financially dependent upon them. The death of one of the parents will not be
financially disastrous, however the death of both likely would be. Which policy would
best suited for them?
10% - CORRECT ANSWER>>>>Mark, age 45 has a modified endowment contract
what is the tax penalty for taking a loan against his policy prior to age 59 1/2?
Conversion of child's coverage to permanent insurance regarding evidence of
insurability. - CORRECT ANSWER>>>>Which of the following is not true regarding a
family policy that covers children?
Currently Insured - CORRECT ANSWER>>>>Which Social Security said it does a
worker with 6 quarter of coverage during the last 13 quarter period have?
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