Nevada Life and Health License Exam Prep Questions and Answers (Graded A+)

What are the four required elements of an insurance contract? - ANSWER-Agreement, consideration, competent parties, and legal purpose. What two parts make up a life insurance application? - ANSWER-General Information and the Medical Information. An agent's report can go in a life insurance application but is not included in the life insurance policy. When must insurable interest exist in life insurance? - ANSWER-At the time of application. When does coverage begin, if the premium was submitted with the application, and the policy was issued two weeks later? - ANSWER-At the time of the application. If an agent makes a mistake on the application and then corrects it, who must initial that change? - ANSWER-The applicant. Insurers may change what on a guaranteed renewable health insurance polity? - ANSWER-The rates by class. At what age may an individual make withdrawals from an HSA for nonhealth purposes without being penalized? - ANSWER-At age 65. Which provision states how much time must pass between two like illnesses in order for the second one to be covered under a new set of benefits? - ANSWER-Recurrent Disability Provision In forming an insurance contract, when does acceptance occur? - ANSWER-When an insurer's underwriter approves coverage