B's of Life Insurance

Question 1

Back-End-Load

Answer 1

A fee charged at the time of a sale, transfer, or withdrawal from a life insurance policy or an annuity.

Question 2

Basic Hospital Expense Insurance

Answer 2

Coverage that provides benefits during a hospital stay for room, board and other hospital expenses for a certain number of days.

Question 3

Basic Illustration

Answer 3

A proposal or ledger used to sell a life insurance policy that shows guaranteed and non-guaranteed elements.

Question 4

Buy-Sell Agreement

Answer 4

A legal contract determining what will be done with a business if an owner becomes disabled or dies.

Question 5

Buyer’s Guide

Answer 5

A booklet that describes insurance policies and concepts and provides general information to help applicants make an educated decision.

Question 6

Beneficiary

Answer 6

The person who receives the proceeds from the policy when the insured dies.

Question 7

Birthday Rule

Answer 7

The method of determining primary coverage for a dependent child, under which the plan of the parent whose birthday occurs first in the calendar year is designated as primary.

Question 8

Broker

Answer 8

An individual who represents an insured in the process of purchasing and negotiating a contract of insurance.