Reinstatement provision - Study guides, Class notes & Summaries

What is the benefit of choosing extended term as a nonforfeiture option? - It has the highest amount of insurance protection Upon the death of the insured, the primary beneficiary discovers that the insured chose the interest only settlement option. What does this mean? - The beneficiary will only receive payments of the interest earned on the death benefit If a life insurance policy has an irrevocable beneficiary designation, - the beneficiary can only be changed with written permission o...

Insurance policies are considered aleatory contracts because: 1)they are take it or leave it contracts 2)both parties consent to the contract 3)performance is conditioned upon a future occurence 4)the contract is voidable upon proof of fraud - ANSWER-Performance is conditioned upon a future occurence, because there is an element of chance and potential for unequal exchange of value K failed to pay a renewal premium within the time granted by the insurer. K then sends in a payment which th...

LOMA 281 Module 3 Questions with Correct Answers Material misrepresentation - Answer-A misrepresentation that would affect an insurance company's evaluation of a proposed insured and, thus, gives the insurer grounds to avoid an insurance contract. Fraudulent misrepresentation - Answer-A misrepresentation that was made with the intent to induce the other party to enter into a contract and that did induce the innocent party to enter into the contract. Grace period provision - Answer-An in...

Which of the following policies does NOT contain an automatic reinstatement provision? a) Business automobile liability b) Personal automobile liability with split limits c) Homeowners d) General liability written with an aggregate limit - General Liability written with an aggregate limit The ABC Corporation has $100,000 of coverage on its building through insurance Company A, and $50,000 of identical coverage on the same building through insurance Company B. Assuming coinsurance is not a...

What is it called when a life insurance policy pays a multiple of the coverage amount when certain types of accidents occur? multiple indemnity Upon the issuance of a conditional receipt for a renewal when the premium is paid AFTER the time granted by the insurer, what is the maximum amount of time for reinstatement of the policy? 30 days Which of the following statements regarding a pure life annuity payout option is correct? This option provides the highest monthly income. Which of the ...

Insurance policies are considered aleatory contracts because: 1)they are take it or leave it contracts 2)both parties consent to the contract 3)performance is conditioned upon a future occurence 4)the contract is voidable upon proof of fraud - Answer Performance is conditioned upon a future occurence, because there is an element of chance and potential for unequal exchange of value K failed to pay a renewal premium within the time granted by the insurer. K then sends in a payment which...

FLORIDA INSURANCE LICENSES EXAM REVIEW QUESTIONS AND ANSWERS, 100% ACCURATE. VERIFIED. Time Limit on Certain Defenses - -Is akin to the in contest ability clause except that fradulent statement on health application can be contested by anytime unless the policy is guaranteed renewable Affordable Care Act - -May Have a 90 day grace period to pay outstading premiums 12 Mandatory Provisions - -Entire Contract Time Limit on Certain Defenses Grace Period Reinstatement Notice of Claims Cla...

Which of the following would NOT be found in the conditions section of a homeowners insurance policy? Subrogation rights Duties of the insured Insurance premium Mortgagee clause - ANS -The insurance premium is not shown in the conditions section of the homeowner policy. Which of the following is true regarding dealers physical damage coverage under a garage policy? It is a blanket limit for covered autos. It extends coverage to customers' autos. It is an annual maximum limit for comp...

Life and Health Insurance Exam (Missouri)Insurance policies are considered aleatory contracts because: 1)they are take it or leave it contracts 2)both parties consent to the contract 3)performance is conditioned upon a future occurence 4)the contract is voidable upon proof of fraud - correct answer Performance is conditioned upon a future occurence, because there is an element of chance and potential for unequal exchange of value K failed to pay a renewal premium within the time granted b...

Insurance policies are considered aleatory contracts because: 1)they are take it or leave it contracts 2)both parties consent to the contract 3)performance is conditioned upon a future occurence 4)the contract is voidable upon proof of fraud - ANSWER Performance is conditioned upon a future occurence, because there is an element of chance and potential for unequal exchange of value K failed to pay a renewal premium within the time granted by the insurer. K then sends in a payment which th...