Chapter 9 Flashcards
Life insurance is…
Insurance provides a payment to the specified beneficiary when the insured dies
What is the face amount?
Fairmount set it on the face of the policy that will be paid on the death of insured
Beneficiary
Is the name individual receives life insurance payment upon the death of the insured person
Life insured
Individual who is covered by the life insurance policy
The policy owner
Individual who owns all the rights and obligations to the policy
What is the Canada health act?
Savages the criteria and conditions related to insured Healthcare Services the provinces and territories must me to receive money from the federal government for healthcare
What is a CHT?
Canada health transfer
The largest federal transfer of money to the provinces and territories, providing them with cash payments and tax transfers in support of healthcare
Disability income insurance
Churns benefit that is paid to you in the event in return able to work as a result of an injury or illness
Indemnification
The concept of putting insured individual are going to the same position here she was in prior to the event the resulted in insurance benefits being paid
Waiting period is
With the period from the time you become disabled do you begin to receive disability income benefits
What is a non-cancelable provision
It gives you the right to renew the policy each year at the same premium with no extra charge to the benefit in exchange you might pay a higher premium
Long-term care insurance
Heard expenses associated with long-term health care used by individuals that need help with every day tasks
What affects long-term care insurance
Eligibility, types of services, amount of coverage, elimination. To receive benefits, maximum. To receive benefits, continue coverage, inflation just meant, age, health condition.
What is a creditor?
Individual or company whom you owe money
Decreasing term insurance
The type of credit or insurance which is a mortgage, life insurance, where the life-insurance face mount decreases each have a regular payment is made on debt that is amortized over a period of time
Whole life insurance
Sorry for the late insurance to build cash value based on six premium is payable for the life of the insured
Permanent Insurance
What is insurance it continues to provide insurance for as long as premiums are paid
Universal life insurance
Definitely if insurance for which you do not pay fix premium and you can decide to invest the cash value into investments
Non-forfeiture options
Choice for a policy owner I can just continue or cancel the policy that it has for cash value
Turn to 100 insurance
Permanent life insurance does not have cash value
Participating policy
Life insurance policy that is eligible to receive dividends
Non-Participating policy
A policy that cannot give out dividends
Is the income method that is used to determine the amount of life insurance needed?
General formula that determines how much life insurance needed based on household annual income
What is the budget method/needs method that helps determine life insurance
Terrence how much life insurance as needed based on the households future expected expenses and current financial situation
What is a rider?
Options that allow you to customize a life insurance policy to your specific needs
What is health insurance
Of insurance benefits it provides individual living as a result of sickness or injury
