Florida Health 240 Insurance
1. Rules of Construction: Help to identify and establish the intent of the
parties to the contract
2. Utmost good faith: Each party is entitled to rely on the representation
of the other, and each party should have a reasonable expectation
that the other is acting in good faith without attempts to conceal or
deceive.
3. Aleatory Contract: A contract under which one party's performance is
contin- gent on an uncertain event.
4. property and casualty agent: has the power to bind the insurer
5. Adhesion Contract: Insurance company drafts contract and the
insured ad- heres to it. Any ambiguity resolved in favor of the
insured.
6. Unilateral contract: Insured has completed paying the premium, only
,one party of the contract is legally required to do something. Insured
promises to pay the death benefit in the event of loss. Can not be held
for breach of contract.
7. Conditional contract: This type of contract is conditional because the
company only pays on condition of a loss.
8. Personal Contract: The contract is between the insured and the
insurer
9. warranty: guarantee; assurance by seller. Any breach provides
grounds for voiding the contract.
10.representation: a statement believed to be true to the best of
one's knowl- edge.
11.false pretenses: When an uninsurable individual applying for
insurance may ask another person to substitute for him to take the
physical examination.
12.Misrepresentation: A false statement or lie that can render the
, contract void.
13.concealment (n): The failure to disclose material facts. Grounds for
recission by either party.
14.Material Information or facts: Something crucial to acceptance of the
risk.
15.fraud (n): An intentional act designed to deceive and induce
another party to part with something of value.
16.Parol Evidence Rule: Rule of law disallowing oral evidence which
disputes a written agreement.
17.Voidable Contract: A contract that may be legally avoided at the
option of one or both of the parties.
18.Void Contract: an agreement of no legal effect.
, 19.Implied Authority: Authority that is given not in writing but that is
necessary for the agent to transact insurance.
20.Apparent Authority: A third party's reasonable belief that an agent
has au- thority to act on the principal's behalf.
21.Express Authority: the authority of an agent, stated in the
document or agreement creating the agency.
22.Lingering implied authority: means that the agent carries "signs
or evi- dences of authority.
23.Estoppel: A legal impediment to denying a fact or restoring a
right that has been previously waived.
24.Valid Contract (Legal Contract): one that meets all of the
requirements of a binding contract. Competent parties, legal
purpose, and consideration, not an actual written document.
25.Policyfolder: Important documents with a custom folder.
1. Rules of Construction: Help to identify and establish the intent of the
parties to the contract
2. Utmost good faith: Each party is entitled to rely on the representation
of the other, and each party should have a reasonable expectation
that the other is acting in good faith without attempts to conceal or
deceive.
3. Aleatory Contract: A contract under which one party's performance is
contin- gent on an uncertain event.
4. property and casualty agent: has the power to bind the insurer
5. Adhesion Contract: Insurance company drafts contract and the
insured ad- heres to it. Any ambiguity resolved in favor of the
insured.
6. Unilateral contract: Insured has completed paying the premium, only
,one party of the contract is legally required to do something. Insured
promises to pay the death benefit in the event of loss. Can not be held
for breach of contract.
7. Conditional contract: This type of contract is conditional because the
company only pays on condition of a loss.
8. Personal Contract: The contract is between the insured and the
insurer
9. warranty: guarantee; assurance by seller. Any breach provides
grounds for voiding the contract.
10.representation: a statement believed to be true to the best of
one's knowl- edge.
11.false pretenses: When an uninsurable individual applying for
insurance may ask another person to substitute for him to take the
physical examination.
12.Misrepresentation: A false statement or lie that can render the
, contract void.
13.concealment (n): The failure to disclose material facts. Grounds for
recission by either party.
14.Material Information or facts: Something crucial to acceptance of the
risk.
15.fraud (n): An intentional act designed to deceive and induce
another party to part with something of value.
16.Parol Evidence Rule: Rule of law disallowing oral evidence which
disputes a written agreement.
17.Voidable Contract: A contract that may be legally avoided at the
option of one or both of the parties.
18.Void Contract: an agreement of no legal effect.
, 19.Implied Authority: Authority that is given not in writing but that is
necessary for the agent to transact insurance.
20.Apparent Authority: A third party's reasonable belief that an agent
has au- thority to act on the principal's behalf.
21.Express Authority: the authority of an agent, stated in the
document or agreement creating the agency.
22.Lingering implied authority: means that the agent carries "signs
or evi- dences of authority.
23.Estoppel: A legal impediment to denying a fact or restoring a
right that has been previously waived.
24.Valid Contract (Legal Contract): one that meets all of the
requirements of a binding contract. Competent parties, legal
purpose, and consideration, not an actual written document.
25.Policyfolder: Important documents with a custom folder.
