Florida Life and Health Insurance Questions
Well Answered and Updated
Insured (Correct Answer) - ✅✅ The person covered by the insurance policy.
Rider (Correct Answer) - ✅✅ A written modification attached to a policy that increases
or decreases coverage and/or premiums.
What is a unilateral contract? (Correct Answer) - ✅✅ A contract in which only one of
the parties is legally bound to fulfill its obligations.
What law protects consumers from the circulation of inaccurate or obsolete information?
(Correct Answer) - ✅✅ The Fair Credit Reporting Act.
What are the three types of agent authority? (Correct Answer) - ✅✅ Implied, Express,
and Apparent.
Agent (Correct Answer) - ✅✅ An individual who is licensed to sell, negotiate, or effect
insurance contracts on behalf of the insurer.
What is name of the process that insurance companies use to determine whether or not
an applicant is insurable? (Correct Answer) - ✅✅ Underwriting
The requirement that agents must account for and promptly remit all insurance funds
collected is known as what type of agent responsibility? (Correct Answer) - ✅✅
Fiduciary
,What is a third-party ownership? (Correct Answer) - ✅✅ An insurance arrangement in
which the policy owner and the insured are not the same person.
Suitability (Correct Answer) - ✅✅ Factors that determine if an insurance product is
appropriate for a particular customer.
Premium (Correct Answer) - ✅✅ A payment by the policy owner to the insurance
company to keep the policy in force.
Disclosure (Correct Answer) - ✅✅ Providing sufficient information to help someone
make informed decision.
An agent offer a client free tickets to a sporting event in exchange for the purchase of an
insurance policy. What is the agent guilty of? (Correct Answer) - ✅✅ Rebating
If an insurer meets the states financial requirements and is approved to transact business
in the state, it is considered what type of insurer? (Correct Answer) - ✅✅ Authorized
What information are the members of the medical information bureau required to
report? (Correct Answer) - ✅✅ Adverse medical information about the applicants or
insureds.
What type of beneficiary can be changed at any point by the policy owner? (Correct
Answer) - ✅✅ Revocable
, What document describes the specific information about a policy? (Correct Answer) -
✅✅ Policy Summary
What is the term for the causes of loss insured against in an insurance policy? (Correct
Answer) - ✅✅ Peril
Whom does an insurance agent represent? (Correct Answer) - ✅✅ Insurance Company
What is an unfair trade practice? (Correct Answer) - ✅✅ Any fraudulent, deceptive, or
dishonest business practice that is prohibited by statutes and regulations.
Insurer (Correct Answer) - ✅✅ The company that issues an insurance policy.
Peril (Correct Answer) - ✅✅ Cause of loss
Contract of Adhesion (Correct Answer) - ✅✅ A contract prepared by one party that
must be accepted as written or be rejected by the other party.
What are the four elements of an insurance contract? (Correct Answer) - ✅✅
Agreement (Offer and Acceptance), consideration, competent parties, and legal purpose.
Policy Provision (Correct Answer) - ✅✅ A clause that stipulates the rights and
obligations under an insurance contract.
Fiduciary (Correct Answer) - ✅✅ A producer who handles insurer's funds in a trust
capacity.
Well Answered and Updated
Insured (Correct Answer) - ✅✅ The person covered by the insurance policy.
Rider (Correct Answer) - ✅✅ A written modification attached to a policy that increases
or decreases coverage and/or premiums.
What is a unilateral contract? (Correct Answer) - ✅✅ A contract in which only one of
the parties is legally bound to fulfill its obligations.
What law protects consumers from the circulation of inaccurate or obsolete information?
(Correct Answer) - ✅✅ The Fair Credit Reporting Act.
What are the three types of agent authority? (Correct Answer) - ✅✅ Implied, Express,
and Apparent.
Agent (Correct Answer) - ✅✅ An individual who is licensed to sell, negotiate, or effect
insurance contracts on behalf of the insurer.
What is name of the process that insurance companies use to determine whether or not
an applicant is insurable? (Correct Answer) - ✅✅ Underwriting
The requirement that agents must account for and promptly remit all insurance funds
collected is known as what type of agent responsibility? (Correct Answer) - ✅✅
Fiduciary
,What is a third-party ownership? (Correct Answer) - ✅✅ An insurance arrangement in
which the policy owner and the insured are not the same person.
Suitability (Correct Answer) - ✅✅ Factors that determine if an insurance product is
appropriate for a particular customer.
Premium (Correct Answer) - ✅✅ A payment by the policy owner to the insurance
company to keep the policy in force.
Disclosure (Correct Answer) - ✅✅ Providing sufficient information to help someone
make informed decision.
An agent offer a client free tickets to a sporting event in exchange for the purchase of an
insurance policy. What is the agent guilty of? (Correct Answer) - ✅✅ Rebating
If an insurer meets the states financial requirements and is approved to transact business
in the state, it is considered what type of insurer? (Correct Answer) - ✅✅ Authorized
What information are the members of the medical information bureau required to
report? (Correct Answer) - ✅✅ Adverse medical information about the applicants or
insureds.
What type of beneficiary can be changed at any point by the policy owner? (Correct
Answer) - ✅✅ Revocable
, What document describes the specific information about a policy? (Correct Answer) -
✅✅ Policy Summary
What is the term for the causes of loss insured against in an insurance policy? (Correct
Answer) - ✅✅ Peril
Whom does an insurance agent represent? (Correct Answer) - ✅✅ Insurance Company
What is an unfair trade practice? (Correct Answer) - ✅✅ Any fraudulent, deceptive, or
dishonest business practice that is prohibited by statutes and regulations.
Insurer (Correct Answer) - ✅✅ The company that issues an insurance policy.
Peril (Correct Answer) - ✅✅ Cause of loss
Contract of Adhesion (Correct Answer) - ✅✅ A contract prepared by one party that
must be accepted as written or be rejected by the other party.
What are the four elements of an insurance contract? (Correct Answer) - ✅✅
Agreement (Offer and Acceptance), consideration, competent parties, and legal purpose.
Policy Provision (Correct Answer) - ✅✅ A clause that stipulates the rights and
obligations under an insurance contract.
Fiduciary (Correct Answer) - ✅✅ A producer who handles insurer's funds in a trust
capacity.
