Life Insurance Flashcards
As long as employment continues, which is the ONLY reason the validity of a group life insurance policy can be contested?
Non-payment of premiums after the policy has been in force for two years.
What happens if an owner requests an immediate investment of monies in a variable annuity policy be returned during 30 day cancellation period?
The owner shall receive the market value at the of the cancellation
How does insurance written under a franchise agreement or on a wholesale basis differ from standard group insurance?
Premiums for the coverage under a franchise agreement may be written for more than the usual rates for such insurance
Losses arising from all the following conditions may be excluded from group life policies EXCEPT
natural disasters
What is the purpose of creating minimum underwriting standards for those testing positive for Acquired Immune Deficiency Syndrome, Human Immunodeficiency Virus or Aids Related Complex?
To avoid discrimination between individuals in the same rating class who have been diagnosed with the condition of AIDS, ARC or HIV
Which is an INACCURaTE statement regarding underwriting based on genetic testing?
The proposed insured must pay for the cost of the testing
All of the following TRUE about the rules regarding the sale of life insurance and annuities to senior age 65 or older EXCEPT
The agent, broker, or insurer is required to show a copy of their insurance license with name, address, and phone number when conducting business in the senior’s home.
Which is an Accurate statement regarding dependent coverage under a group insurance policy?
The coverage must not exceed more than 100 percent of the coverage for the insured employee
Which is an INACCURATE statement regarding coverage for domestic partnerships?
A policyholder may not require that a domestic partnership be registered to qualify for coverage.
When a replacement policy is being considered, what is required from an insurer?
A list of existing policies, replacement notice signed by the applicant and the agent, and a notice sent to any existing insurers that replacement is possible are all requirements.
Which of the following types of coverage must have a proven insurable interest at the time of the application?
Coverage for minor child under age 18 or a corporate owned policy or an employee
after what time period is the policy considered to have been delivered in an acceptable way if premiums have been paid?
after 6 months if the premium s have been paid
All of the following conditions provide a basis for group life insurance coverage EXCEPT
amounts of insurance may be selected as needed per individuals personal need
When an insured under age 60 purchases a new policy, how much time do they have to cancel and receive a full refund of premiums?
The insured has a period of not less than 10, and not more than 30 days, during which they may can and receive a full refund for the premiums paid
What happens if an owner requests an immediate investment of monies in a variable annuity policy be returned during the 30 day cancellation period?
The owner shall receive the market value at the time of the cancellation
