Chapter 10

Question 1

Why does the typical contestable period contract language include the words “during the lifetime of the insured”

Answer 1

To communicate that what matters for purposes of contesting the claim is when the insured died (was it within 2 years?). Not when the claim was filed.

Question 2

Why should an archive of underwriting manuals be maintained?

Answer 2

At claim review it will be necessary to consider the materiality using the guidelines at time of underwriting.

Question 3

Plan F Services

Answer 3

MIB service that sends follow up code alerts for any codes reported by another company after the date of the initial MIB search.

Question 4

Creates coverage if the proposed insured dies prior to policy issuance provided the conditions stated in the receipt were first met

Answer 4

conditional receipt

Question 5

Provides coverage until the underwriter either accepts or rejects the risk. Provides more immediate coverage because it is not conditioned on the completion of any medical requirements

Answer 5

TIA