Florida Health 240 Insurance Questions
And Answers 100% Guaranteed
Success.
Rules of Construction - correct answer. Help to identify and establish the intent of
the parties to the contract
Utmost good faith - correct answer. 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.
Aleatory Contract - correct answer. A contract under which one party's performance
is contingent on an uncertain event.
property and casualty agent - correct answer. has the power to bind the insurer
Adhesion Contract - correct answer. Insurance company drafts contract and the
insured adheres to it. Any ambiguity resolved in favor of the insured.
,Unilateral contract - correct answer. 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.
Conditional contract - correct answer. This type of contract is conditional because
the company only pays on condition of a loss.
Personal Contract - correct answer. The contract is between the insured and the
insurer
warranty - correct answer. guarantee; assurance by seller. Any breach provides
grounds for voiding the contract.
representation - correct answer. a statement believed to be true to the best of one's
knowledge.
false pretenses - correct answer. When an uninsurable individual applying for
insurance may ask another person to substitute for him to take the physical
examination.
Misrepresentation - correct answer. A false statement or lie that can render the
contract void.
concealment (n) - correct answer. The failure to disclose material facts. Grounds for
recission by either party.
Material Information or facts - correct answer. Something crucial to acceptance of
the risk.
fraud (n) - correct answer. An intentional act designed to deceive and induce
another party to part with something of value.
Parol Evidence Rule - correct answer. Rule of law disallowing oral evidence which
disputes a written agreement.
Voidable Contract - correct answer. A contract that may be legally avoided at the
option of one or both of the parties.
Void Contract - correct answer. an agreement of no legal effect.
Implied Authority - correct answer. Authority that is given not in writing but that is
necessary for the agent to transact insurance.
Apparent Authority - correct answer. A third party's reasonable belief that an agent
has authority to act on the principal's behalf.
, Express Authority - correct answer. the authority of an agent, stated in the document
or agreement creating the agency.
Lingering implied authority - correct answer. means that the agent carries "signs or
evidences of authority.
Estoppel - correct answer. A legal impediment to denying a fact or restoring a right
that has been previously waived.
Valid Contract (Legal Contract) - correct answer. one that meets all of the
requirements of a binding contract. Competent parties, legal purpose, and
consideration, not an actual written document.
Policyfolder - correct answer. Important documents with a custom folder.
Plan Sponsors - correct answer. Policyholder responsible for administering pan and
making premiums to insurance company.
Employee or individual employer group - correct answer. Employer is the policy-
owner and establishes eligible class of employees to be covered under group policy.
Multiple employer group - correct answer. Several employers forming a trust to
combine their workers for life insurance eligibility.
Multiple Employer Trust (MET) - correct answer. A legal entity of small business
owners grouped together to buy life insurance.
Taft-Hartley Act - correct answer. a law that restricted the power of labor unions
Taft Hartley Trust - correct answer. multi-employers funds, Taft-Hartley trusts, joint
trusts, jointly trusted plans, ERISA trust funds and labor-management employees
benefit plans
Association or labor group - correct answer. Group insurance for labor
organizations. Must Have a constitution and bylaws, organized and maintain good faith,
cover members for their employer benefit.
credit insurance - correct answer. covers the life of a debtor if death or disabled.
Creditor - correct answer. Policyowner
Debtors - correct answer. People who owe money insured.
Contributory Plan - correct answer. Insured contributes money toward the premium.
75% of employees must participate.
And Answers 100% Guaranteed
Success.
Rules of Construction - correct answer. Help to identify and establish the intent of
the parties to the contract
Utmost good faith - correct answer. 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.
Aleatory Contract - correct answer. A contract under which one party's performance
is contingent on an uncertain event.
property and casualty agent - correct answer. has the power to bind the insurer
Adhesion Contract - correct answer. Insurance company drafts contract and the
insured adheres to it. Any ambiguity resolved in favor of the insured.
,Unilateral contract - correct answer. 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.
Conditional contract - correct answer. This type of contract is conditional because
the company only pays on condition of a loss.
Personal Contract - correct answer. The contract is between the insured and the
insurer
warranty - correct answer. guarantee; assurance by seller. Any breach provides
grounds for voiding the contract.
representation - correct answer. a statement believed to be true to the best of one's
knowledge.
false pretenses - correct answer. When an uninsurable individual applying for
insurance may ask another person to substitute for him to take the physical
examination.
Misrepresentation - correct answer. A false statement or lie that can render the
contract void.
concealment (n) - correct answer. The failure to disclose material facts. Grounds for
recission by either party.
Material Information or facts - correct answer. Something crucial to acceptance of
the risk.
fraud (n) - correct answer. An intentional act designed to deceive and induce
another party to part with something of value.
Parol Evidence Rule - correct answer. Rule of law disallowing oral evidence which
disputes a written agreement.
Voidable Contract - correct answer. A contract that may be legally avoided at the
option of one or both of the parties.
Void Contract - correct answer. an agreement of no legal effect.
Implied Authority - correct answer. Authority that is given not in writing but that is
necessary for the agent to transact insurance.
Apparent Authority - correct answer. A third party's reasonable belief that an agent
has authority to act on the principal's behalf.
, Express Authority - correct answer. the authority of an agent, stated in the document
or agreement creating the agency.
Lingering implied authority - correct answer. means that the agent carries "signs or
evidences of authority.
Estoppel - correct answer. A legal impediment to denying a fact or restoring a right
that has been previously waived.
Valid Contract (Legal Contract) - correct answer. one that meets all of the
requirements of a binding contract. Competent parties, legal purpose, and
consideration, not an actual written document.
Policyfolder - correct answer. Important documents with a custom folder.
Plan Sponsors - correct answer. Policyholder responsible for administering pan and
making premiums to insurance company.
Employee or individual employer group - correct answer. Employer is the policy-
owner and establishes eligible class of employees to be covered under group policy.
Multiple employer group - correct answer. Several employers forming a trust to
combine their workers for life insurance eligibility.
Multiple Employer Trust (MET) - correct answer. A legal entity of small business
owners grouped together to buy life insurance.
Taft-Hartley Act - correct answer. a law that restricted the power of labor unions
Taft Hartley Trust - correct answer. multi-employers funds, Taft-Hartley trusts, joint
trusts, jointly trusted plans, ERISA trust funds and labor-management employees
benefit plans
Association or labor group - correct answer. Group insurance for labor
organizations. Must Have a constitution and bylaws, organized and maintain good faith,
cover members for their employer benefit.
credit insurance - correct answer. covers the life of a debtor if death or disabled.
Creditor - correct answer. Policyowner
Debtors - correct answer. People who owe money insured.
Contributory Plan - correct answer. Insured contributes money toward the premium.
75% of employees must participate.
