LIFE, ACCIDENT AND HEALTH OR SICKNESS EXAMINATION LATEST
2023-2024 ACTUAL EXAM TEST BANK 270 QUESTIONS AND CORREC
ANSWERS (VERIFIED ANSWERS
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1. what is meant by referring to an insurance policy as Only one par-
a unilateral contract? ty makes a
legally enforce-
able promise.
2. When must insurance records of insurance agents At all times.
and brokers be made available to the insurance com-
missioner?
3. Any situation that presents the possibility of a loss is a loss exposure.
known as?
4. Which of the following information is not required to Personal Judge-
be communicated in a Life insurance contract? ment
5. the direct distribution of insurance utilizes all of the Telephone call
following to mote the sale of insurance Except? from an agent.
6. A contract in which one party promises to indemnify an insurance poli-
another against loss that arises from an unknown cy.
event is
7. All of the occurrences listed below are examples of an insured suffers
an insurable event as defined by the California Insur- a financial loss in
ance code EXCEPT? the state lottery.
8. all of the following statements about aleatory con- the insured and
tracts are true EXCEPT? insurer contribute
equally to the con-
tract.
9. all of the following would be considered unfair trade committing any
practices EXCEPT? act of discrimina-
tion whether it be
deemed fair or un-
fair.
10.
, LIFE, ACCIDENT AND HEALTH OR SICKNESS EXAMINATION LATEST
2023-2024 ACTUAL EXAM TEST BANK 270 QUESTIONS AND CORREC
ANSWERS (VERIFIED ANSWERS
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As authorized by the California Insurance Code, the Mary Brown Insur-
Insurance Commissioner has provided standards for ance Services.
names used by life insurance agents. Under these
standards which, if any, of the following are automat-
ically acceptable for Mary Brown, a holder of the CLU
designation?
11. A contract of indemnity is one in which? one party is re-
stored to the same
financial position
the party was in
before the loss oc-
curred.
12. In insurance terminology, "indemnity means? to make whole.
13. As defined in the California insurance Code, "insur- Contract
ance" is a?
14. what would a person be guilty of who refuses to deliv- A misdemeanor.
er any books records, or assets to the commissioner
once a seizure order has been executed?
15. An agent who is acting as an insurance agent, broker, fiduciary
solicitor, life agent, accident and health, or bail agent
acts in which capacity when handling premiums or
return premiums for an insured?
16. which of the following statements regarding risk is Only pure risks
TRUE? are insurable.
17. the purchase of an insurance policy may accomplish the elimination of
all of the following Except? risk
18. Insureds are entitled to recover an amount NOT Indemnity.
greater than the amount of their loss under the prin-
ciple of
19.
, LIFE, ACCIDENT AND HEALTH OR SICKNESS EXAMINATION LATEST
2023-2024 ACTUAL EXAM TEST BANK 270 QUESTIONS AND CORREC
ANSWERS (VERIFIED ANSWERS
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What rule is used to determine the importance of a The materiality of
representation? concealment.
20. The required contents of a policy include all of the The probability of
following EXCEPT? loss
21. All of the following are characteristics of reinsurance Increases the un-
EXCEPT ? earned premium
reserve
22. According to the California code, an insurance policy the financial rating
must specify all of the Following Except? of the insurer
23. all of the following qualify as "background informa- misdemeanor
tion" as defined in section 1729.2 of the California charges filed, not
Insurance Code, Except? resulting in a
conviction.
24. Loss retention is an effective risk management tech- probability of loss
nique when all of the following conditions exist EX- is unknown.
CEPT the
25. a situation in which there is a possibility of loss or a speculative risk
gain is a
26. Why is having a large number of similar exposure the greater the
units important to insurers? number insured,
the more accu-
rately the insurer
can predict losses
and set appropri-
ate premiums.
27. all of the following are benefits of insurance Except it eliminates fraudu-
? lent losses.
28. who are members of the Medical information Bureau? Life and Health in-
surers
, LIFE, ACCIDENT AND HEALTH OR SICKNESS EXAMINATION LATEST
2023-2024 ACTUAL EXAM TEST BANK 270 QUESTIONS AND CORREC
ANSWERS (VERIFIED ANSWERS
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29. the process by which an insurer decides whether to underwriting
issue requested insurance is called?
30. Unless it is merely a statement of an expectation or a Promise
belief, a representation as to the future is considered
which of the following?
31. Upon notification of a claim, a claimant must be given by interview ap-
access to the California Fair Claims Settlement Prac- pointment with the
tices resolution by all of the following means EXCEPT agent of record.
32. what is the definition of premium? Money an insured
pays an insurer to
obtain the bene-
fits provided in the
policy.
33. what is the goal of the underwriting process? to avoid select-
ing a dispropor-
tionate number of
bad risk.
34. Insurer policy expenses include all of the following premiums
EXCEPT
35. unintentional concealment entitles the injured party rescission of the
to which course of action, if any? contract.
36. Making an insured whole by restoring them to the the principles of
same condition as before a loss is an example of indemnity.
37. Risk can be defined as all of the following EXCEPT the cause of loss
38. which of the following is a requirement of a contract there must be an
offer acceptance
of the contract
terms.
39. Moral hazard can be defined as the increase
2023-2024 ACTUAL EXAM TEST BANK 270 QUESTIONS AND CORREC
ANSWERS (VERIFIED ANSWERS
Study online at https://quizlet.com/_fwho2k
1. what is meant by referring to an insurance policy as Only one par-
a unilateral contract? ty makes a
legally enforce-
able promise.
2. When must insurance records of insurance agents At all times.
and brokers be made available to the insurance com-
missioner?
3. Any situation that presents the possibility of a loss is a loss exposure.
known as?
4. Which of the following information is not required to Personal Judge-
be communicated in a Life insurance contract? ment
5. the direct distribution of insurance utilizes all of the Telephone call
following to mote the sale of insurance Except? from an agent.
6. A contract in which one party promises to indemnify an insurance poli-
another against loss that arises from an unknown cy.
event is
7. All of the occurrences listed below are examples of an insured suffers
an insurable event as defined by the California Insur- a financial loss in
ance code EXCEPT? the state lottery.
8. all of the following statements about aleatory con- the insured and
tracts are true EXCEPT? insurer contribute
equally to the con-
tract.
9. all of the following would be considered unfair trade committing any
practices EXCEPT? act of discrimina-
tion whether it be
deemed fair or un-
fair.
10.
, LIFE, ACCIDENT AND HEALTH OR SICKNESS EXAMINATION LATEST
2023-2024 ACTUAL EXAM TEST BANK 270 QUESTIONS AND CORREC
ANSWERS (VERIFIED ANSWERS
Study online at https://quizlet.com/_fwho2k
As authorized by the California Insurance Code, the Mary Brown Insur-
Insurance Commissioner has provided standards for ance Services.
names used by life insurance agents. Under these
standards which, if any, of the following are automat-
ically acceptable for Mary Brown, a holder of the CLU
designation?
11. A contract of indemnity is one in which? one party is re-
stored to the same
financial position
the party was in
before the loss oc-
curred.
12. In insurance terminology, "indemnity means? to make whole.
13. As defined in the California insurance Code, "insur- Contract
ance" is a?
14. what would a person be guilty of who refuses to deliv- A misdemeanor.
er any books records, or assets to the commissioner
once a seizure order has been executed?
15. An agent who is acting as an insurance agent, broker, fiduciary
solicitor, life agent, accident and health, or bail agent
acts in which capacity when handling premiums or
return premiums for an insured?
16. which of the following statements regarding risk is Only pure risks
TRUE? are insurable.
17. the purchase of an insurance policy may accomplish the elimination of
all of the following Except? risk
18. Insureds are entitled to recover an amount NOT Indemnity.
greater than the amount of their loss under the prin-
ciple of
19.
, LIFE, ACCIDENT AND HEALTH OR SICKNESS EXAMINATION LATEST
2023-2024 ACTUAL EXAM TEST BANK 270 QUESTIONS AND CORREC
ANSWERS (VERIFIED ANSWERS
Study online at https://quizlet.com/_fwho2k
What rule is used to determine the importance of a The materiality of
representation? concealment.
20. The required contents of a policy include all of the The probability of
following EXCEPT? loss
21. All of the following are characteristics of reinsurance Increases the un-
EXCEPT ? earned premium
reserve
22. According to the California code, an insurance policy the financial rating
must specify all of the Following Except? of the insurer
23. all of the following qualify as "background informa- misdemeanor
tion" as defined in section 1729.2 of the California charges filed, not
Insurance Code, Except? resulting in a
conviction.
24. Loss retention is an effective risk management tech- probability of loss
nique when all of the following conditions exist EX- is unknown.
CEPT the
25. a situation in which there is a possibility of loss or a speculative risk
gain is a
26. Why is having a large number of similar exposure the greater the
units important to insurers? number insured,
the more accu-
rately the insurer
can predict losses
and set appropri-
ate premiums.
27. all of the following are benefits of insurance Except it eliminates fraudu-
? lent losses.
28. who are members of the Medical information Bureau? Life and Health in-
surers
, LIFE, ACCIDENT AND HEALTH OR SICKNESS EXAMINATION LATEST
2023-2024 ACTUAL EXAM TEST BANK 270 QUESTIONS AND CORREC
ANSWERS (VERIFIED ANSWERS
Study online at https://quizlet.com/_fwho2k
29. the process by which an insurer decides whether to underwriting
issue requested insurance is called?
30. Unless it is merely a statement of an expectation or a Promise
belief, a representation as to the future is considered
which of the following?
31. Upon notification of a claim, a claimant must be given by interview ap-
access to the California Fair Claims Settlement Prac- pointment with the
tices resolution by all of the following means EXCEPT agent of record.
32. what is the definition of premium? Money an insured
pays an insurer to
obtain the bene-
fits provided in the
policy.
33. what is the goal of the underwriting process? to avoid select-
ing a dispropor-
tionate number of
bad risk.
34. Insurer policy expenses include all of the following premiums
EXCEPT
35. unintentional concealment entitles the injured party rescission of the
to which course of action, if any? contract.
36. Making an insured whole by restoring them to the the principles of
same condition as before a loss is an example of indemnity.
37. Risk can be defined as all of the following EXCEPT the cause of loss
38. which of the following is a requirement of a contract there must be an
offer acceptance
of the contract
terms.
39. Moral hazard can be defined as the increase
