Illinois Statutes and Requirements Pertinent to Life Only Flashcards
Insurers must maintain a file of advertisements. What must be included in this file?
A copy of every advertisement when where and how each ad was used and the form number of the policy being advertised.
What information must be included in a life policy illustration?
The name and address of the insurer and agent, the name, age and gender of the proposed insured, underwriting or rating classification on which the illustration is base the generic name of the policy the insurers product name and form number the initial death benefit and the dividend option election on application of nonguranteed elements
What is the purpose of the life solicitation regulation?
Helping buyers select the appropriate life insurance plan, understand the basic features of policies they are considering and evaluate costs of similar plans
what is the purpose of disclosure requirements for life insurance?
The purpose of disclosure requirements for life insurance is to provide adequate information to improve the buyers ability to select the most appropriate product that best suits their needs
What are the steps a producer must follow when replacing an existing policy?
Giving applicants a Notice Regarding replacement obtain a list of all existing life insurance policies to be replaced, give the applicant the original or a copy of written or printed communications used for presentation to the applicant and submit to the replacing insurance company the application and a copy of the replacement notice
What must the replacing insurer do about the issue of the policy when replacement is involved?
Send the applicant a Buyers guide, notify the existing insurer of replacement within 3 working days and maintain records of replacement for 3 years
Name and describe at least 3 mandatory provisions in life policies issued in this state?
Entire contract, grace period, incontestability, misstatement of age, payment or benefits, policy loan, reinstatement, settlement of proceeds.
Review the text for explanations
What is an accelerated benefits?
a provision or rider allowing for the early payment of some portion of the policy’s face amount if the insured suffers from a terminal illness or injury
In a Viatical Settlement what does the viator receive when the policy is sold?
Viators, or those who are originally insured under the policy usually receive a percentage of the policy’s face value from the person who purchases the policy
What is the purpose of the Insurance Guaranty Associations?
It protects policyowners, insureds, beneficiaries, annuitants, payees and assignees against insurer insolvency
