Insurance Practice Q's Flashcards
Meal preparation and walking are not:
ADL’s
Qualified long-term care policies:
benefits are received tax-free
The probation period, when included in a disability income policy:
is the time the insured must wait after the issue of the policy before specified conditions will be covered
Disability premiums paid by the individual are received:
tax-free
Risk transfer (or the use of insurance) would be utilized in the case of:
low frequency / high severity
Dividends which are less than the amount of premiums paid are considered:
a return of that excess premium to the payor and are therefore non-taxable
Types of disability insurance that are renewable:
non-cancelable and guaranteed renewable
Life insurance should be addressed:
after disability insurance
Perils:
the approximate cause of a loss
Aleatory:
one party pays more than the other
