2023 FLORIDA 2-15 INSURANCE LICENSE EXAM LATEST ACTUAL EXAM 300 QUESTIONS AND CORRECT ANSWERS RAKED A+

Which of the following constitutes an insurable interest? A. the policyowner must expect to benefit from the insured's death B. the policyowner must expect to suffer a loss when the insured dies or becomes disabled C. the beneficiary, by definition, has an insurable interest in the insured D. the insured must have a personal or business relationship with the beneficiary - ANSWER- B. RATIONALE:Insurable interest requires the policyowner to benefit from the insured's continuing to live or enjoy good health or to suffer a loss when the insured dies or is disabled. Which of the following statements describes the parol evidence rule? A. a written contract cannot be changed once it is signed B. an oral contract cannot be modified by written evidence C. a written contract cannot be changed by oral evidence D. an oral contract takes precedence over any earlier written contract - ANSWER- C. RATIONALE:The parol evidence rule states that when parties put their agreement in writing, all previous verbal statements come together in that writing, and a written contract cannot be changed or modified by parol (oral) evidence.