Indiana Laws Chapter 2 Flashcards
how are life premiums paid?
In advance
what is the grace period for life insurance?
30 days
what is the incontestable period?
2 years
statements on a life application are?
representations-not warranties
what are the rules to reinstatement?
within 3 years, all back premium & interest paid, insurability may be required
settlement upon proof of death must be made within what time frame
2 months after receipt of proof of death
time limit on law suits
3 years
back dating time frame
no more than 6 months before original application
settlement amount should not be less than_______
the amount owed minus any loans or past due premium
HIV and AIDS-no questions about?
sexual orientation
testing rules
at insurer’s expense; with written consent; state approved test protocol; confindential
interest limit on loans
may not exceed 8%
if insured does not receive payment of benefit within 30 days, they are intitled to what?
interest
policyholder may return a policy within____ days for a full refund
10 (Free look)
what are qualifying events for accelerated benefits
medical condition reducing life span; medical condition requiring extraordinary care; condition requiring confinement; condition requiring extraordinary medical treatment
settlement that means an agreement for the purchase, sale, assignment, transfer, devise, or bequest of a portion of the death benefit or ownership of a life policy or contract for consideration that is less than the expected death benefit
Viatical Settlement
viatical settlement contract must provide for unconditional rescission of the contract by the viator if
15 days from receipt of the contract; or 30 days after execution of the contract
provides basic information about life insurance with language provided by NAIC and approved by the State Commissioner
Buyer’s Guide
written statement describing the elements of the policy prepared by the insurer
Policy Summary
the insurer will provide to all prospective purchasers what 2 items
Buyer’s Guide and Policy Summary
insurer shall maintain at its home office a complete file containing one copy of each authorized form for how long
3 years
any transaction in which new life insurance is to be purchased and it is known or should be known that by reason of such transaction, existing life insurance has ben or is to be surrendered, converted, amended, reissued or pledged as collateral or subject to borrowing
Replacement
when replacement is involved the insurer must provide unconditional refund of premiums for_________days
20 (free look) on replacement
An association must have a minimum of ____persons
100
a person that is eligible for conversion has _____days to exercise the conversion rights
15 days; additional 15 days if not given proper notice; no more than 60 days total
