Basic Concepts Flashcards
Name the 3 types of private insurance____,___,___
Commercial , stock, and mutural insurance
In the ____ the shareholders make a profit and they are non participating.
Stockholders
In the ___ companies theyare owned by the policyholders
Mutual
___ are never guaranteed.
Dividends
Nonprofit religous,ethnic, provides sole to their members_______
fraternal benefit societies
When other isurance companies transfer a portion of their risk to another company_____
Reinsures
The company transferring the risk is the ___
Ceding company
The company assuming the risk is the
reinsurer
Government insurance is paid for by __
taxes
An example of government insurance is
sss, service, veterans tri- care, medicare, medicare
__ is not a nin insurance company they underwrite insurance like coverage
Lloyds of London
____ represents a number of insurance companies under separate contractual agreements
Independent Agency
____ law states that the federal govt has the authority but they would not exercise the right
1945 Mc Carren vs.Fegerson act
___ is the grade that he the financial strength and the stability of the company
Indpendent rating servises
A contract is __,__,__
unilateral, aleatory, and adhesion
A policy of adhesion can only be modified by the ___.
insurance company
When a 3rd policy ownership is involved applications, who also happens to be the stated primary the stated promary is called to have__
insurable interst in the proposed
___ statement quantifies to be true consideration to promise to be true.
warrenty
When must a insurance exit fora life insurance contract to be valid____
inception fo the contact
Insuance contracts are known as ___b/c certaiin conditional or act must occur before any claim can be paid
conditional
A contract where one part accepts of rejects the terms is ___
adhesion
Allows one to bypass interest laws__
investor orginal life- inusrance
Insurable interst only need to exsist at the _____ of the applicatin NOT at death.
time
Warrienties are_____
guaranteed to be true
STOLI violates___ of the contract.
the leagal purpose which is interest requirment
