PRIMERICA LIFE INSURANCE EXAM,
QUESTIONS WITH ACCURATE ANSWERS |
MULTIPLE CHOICES |2026!!
Save
Terms in this set (194)
An insured purchased an insurance A. mutual
policy 5 years ago. Last year, she
received a dividend check from the funds not paid out after paying claims and other
insurance company that was not operating costs are returned to the policy
taxable. This year, she did not owners in the form of a dividend. if all funds are
receive a check from the insurer. paid out, no dividends are paid
From what type of insurer did the
insured purchase the policy?
a. mutual
b. reciprocal
c. nonprofit service organization
d. stock
,Following a career change, an B. reduction
insured is no longer required to
perform many physical activities, so the insured's change in lifestyle and habits would
he has implemented a program likely reduce the chances of health problems
where he walks and jogs for 45
minutes each morning. The insured
has also eliminated most fatty foods
from his diet. Which method of
dealing with risk does this scenario
describe?
a. retention
b. reduction
c. transfer
d. avoidance
In insurance, an offer is usually A. an applicant submits an application to the
made when insurer
a. an applicant submits an in insurance, the offer is usually made by the
application to the insurer applicant in the form of an application.
b. the insurer approves the acceptance takes place when an insurer's
application and receives the initial underwriter approves the application and issues a
premium policy
c. the agent hands the policy to the
policyholder
d. an agent explains a policy to a
potential applicant
the causes of loss insured against in A. perils
an insurance policy are known as
perils are the causes of loss insured against in an
a. perils insurance policy
b. losses
c. risks
d. hazards
,what documentation grants express A. agents contract with the principal
authority to an agent?
the principal grants authority to an agent through
a. agents contract with the principal the agent's contract
b. agents insurance license
c. fiduciary contract
d. state provisions
which of the following best A. domestic
describes an insurance company
that has been formed under the a company is domestic when doing business
laws of this state? within the state in which it is incorporated
a. domestic
b. sovereign
c. alien
d. foreign
which of the following factors is D. race
NOT considered by an underwriter
when determining the premium age, medical history, and sex provide sound
rates for an individual seeking statistical date for determining the probability of
insurance? loss. Race, religion, sexual orientation, etc. are
the factors that cannot be used because there is
a. medical history not sound statistical data to show that they effect
b. sex the probability of loss; therefore, they are
c. age considered to be discriminatory
d. race
, in insurance transactions, fiduciary A. handling insurer funds in a trust capacity
responsibility means
an agents fiduciary responsibility includes
a. handling insurer funds in a trust handling insurer funds in a trust capacity
capacity
b. maintaining good credit record
c. being liable with respect to
payment of claims
d. commingling premiums with
agents personal funds
the authority granted to an agent B. express authority
through the agent's contract is
referred to as express powers are written into the contract
between the insurer and the agent
a. absolute authority
b. express authority
c. apparent authority
d. implied authority
insurance policies are not drawn up D. adhesion
though negotiations, and an insured
has little to say about its provisions. a contract of adhesion is prepared by only the
what contract characteristic does insurer; the insured's only option is to accept or
this describe? reject the policy as its written
a. unilateral
b. conditional
c. personal
d. adhesion
QUESTIONS WITH ACCURATE ANSWERS |
MULTIPLE CHOICES |2026!!
Save
Terms in this set (194)
An insured purchased an insurance A. mutual
policy 5 years ago. Last year, she
received a dividend check from the funds not paid out after paying claims and other
insurance company that was not operating costs are returned to the policy
taxable. This year, she did not owners in the form of a dividend. if all funds are
receive a check from the insurer. paid out, no dividends are paid
From what type of insurer did the
insured purchase the policy?
a. mutual
b. reciprocal
c. nonprofit service organization
d. stock
,Following a career change, an B. reduction
insured is no longer required to
perform many physical activities, so the insured's change in lifestyle and habits would
he has implemented a program likely reduce the chances of health problems
where he walks and jogs for 45
minutes each morning. The insured
has also eliminated most fatty foods
from his diet. Which method of
dealing with risk does this scenario
describe?
a. retention
b. reduction
c. transfer
d. avoidance
In insurance, an offer is usually A. an applicant submits an application to the
made when insurer
a. an applicant submits an in insurance, the offer is usually made by the
application to the insurer applicant in the form of an application.
b. the insurer approves the acceptance takes place when an insurer's
application and receives the initial underwriter approves the application and issues a
premium policy
c. the agent hands the policy to the
policyholder
d. an agent explains a policy to a
potential applicant
the causes of loss insured against in A. perils
an insurance policy are known as
perils are the causes of loss insured against in an
a. perils insurance policy
b. losses
c. risks
d. hazards
,what documentation grants express A. agents contract with the principal
authority to an agent?
the principal grants authority to an agent through
a. agents contract with the principal the agent's contract
b. agents insurance license
c. fiduciary contract
d. state provisions
which of the following best A. domestic
describes an insurance company
that has been formed under the a company is domestic when doing business
laws of this state? within the state in which it is incorporated
a. domestic
b. sovereign
c. alien
d. foreign
which of the following factors is D. race
NOT considered by an underwriter
when determining the premium age, medical history, and sex provide sound
rates for an individual seeking statistical date for determining the probability of
insurance? loss. Race, religion, sexual orientation, etc. are
the factors that cannot be used because there is
a. medical history not sound statistical data to show that they effect
b. sex the probability of loss; therefore, they are
c. age considered to be discriminatory
d. race
, in insurance transactions, fiduciary A. handling insurer funds in a trust capacity
responsibility means
an agents fiduciary responsibility includes
a. handling insurer funds in a trust handling insurer funds in a trust capacity
capacity
b. maintaining good credit record
c. being liable with respect to
payment of claims
d. commingling premiums with
agents personal funds
the authority granted to an agent B. express authority
through the agent's contract is
referred to as express powers are written into the contract
between the insurer and the agent
a. absolute authority
b. express authority
c. apparent authority
d. implied authority
insurance policies are not drawn up D. adhesion
though negotiations, and an insured
has little to say about its provisions. a contract of adhesion is prepared by only the
what contract characteristic does insurer; the insured's only option is to accept or
this describe? reject the policy as its written
a. unilateral
b. conditional
c. personal
d. adhesion
