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Delaware Life Insurance Exam Terms
Questions and Correct Answers/ Latest
Update / Already Graded
Accelerated Benefits
Ans: Riders attached to life insurance policies which allow
death benefits to be used to cover nursing home expenses or
convalescent home expenses
Accidental Death Benefits
Ans: A policy rider that states that the cause of death will be
analyzed to determine if it complies with the policy description
of accidental death
Accidental Death Insurance
Ans: An insurance policy that provides payment if the insured's
death is the result of an accident.
Accumilation Period
Ans: The time before any annuitant's retirement during which
the annuitant is making payment or investments in an annuity.
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Acquired Immunodeficiency Syndrome (AIDS)
Ans: An infectious and incurable disease caused by the human
immunodeficiency virus (HIV).
Actual Cash Value (ACV)
Ans: The required amount to pay damages or for property loss,
which is calculated based on the property's current replacement
value minus depreciation.
Actuary
Ans: A person trained in the technical aspects of insurance and
related fields, particularly in the mathematics of insurance; a
person who, on behalf of the company, determines the
mathematical probability of loss.
Adhesion
Ans: A contract offered on a "take-it-or-leave-it" basis by an
insurer, in which the insured's only option is either to accept or
reject the contract. Any ambiguities in the contract will be
settled in favor of the insured.
Adjustable Life
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Ans: Life insurance which permits changes in the face amount,
premium amount, period of protection, and the duration of the
premium payment period.
Adjuster
Ans: A representative of an insurance company who
investigates and acts on the behalf of the company t o obtain
agreements for the amount of the insurance claim.
Administrator
Ans: An individual appointed by a court as a fiduciary to settle
the financial affairs and estate of a deceased person
Admitted (Authorized) Insurer
Ans: An insurance company authorized and licensed to transact
business in a particular state.
Adult Day Care
Ans: A program for impaired adults that attempts to meet their
health, social, and functional needs in a setting away from their
homes.
All rights reserved © 2025/ 2026 |
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Adverse Selection
Ans: The tendency of risks with higher probability of loss to
purchase and maintain insurance more often than the risks who
present lower probability.
Agency
Ans: An insurance sales office or company.
Agent
Ans: An individual who is licensed to sell, negotiate, or effect
insurance contracts on behalf of the insurer
Agent's Authority
Ans: Special powers granted to an agent by his or her agency
contract.
Aleatory
Ans: A contract in which participating parties exchange
unequal amounts. Insurance contracts are aleatory in that the
amount the insured will pay in premiums is unequal to the
amount the insurer will pay in the event of a loss.
All rights reserved © 2025/ 2026 |
Delaware Life Insurance Exam Terms
Questions and Correct Answers/ Latest
Update / Already Graded
Accelerated Benefits
Ans: Riders attached to life insurance policies which allow
death benefits to be used to cover nursing home expenses or
convalescent home expenses
Accidental Death Benefits
Ans: A policy rider that states that the cause of death will be
analyzed to determine if it complies with the policy description
of accidental death
Accidental Death Insurance
Ans: An insurance policy that provides payment if the insured's
death is the result of an accident.
Accumilation Period
Ans: The time before any annuitant's retirement during which
the annuitant is making payment or investments in an annuity.
All rights reserved © 2025/ 2026 |
, Page |2
Acquired Immunodeficiency Syndrome (AIDS)
Ans: An infectious and incurable disease caused by the human
immunodeficiency virus (HIV).
Actual Cash Value (ACV)
Ans: The required amount to pay damages or for property loss,
which is calculated based on the property's current replacement
value minus depreciation.
Actuary
Ans: A person trained in the technical aspects of insurance and
related fields, particularly in the mathematics of insurance; a
person who, on behalf of the company, determines the
mathematical probability of loss.
Adhesion
Ans: A contract offered on a "take-it-or-leave-it" basis by an
insurer, in which the insured's only option is either to accept or
reject the contract. Any ambiguities in the contract will be
settled in favor of the insured.
Adjustable Life
All rights reserved © 2025/ 2026 |
, Page |3
Ans: Life insurance which permits changes in the face amount,
premium amount, period of protection, and the duration of the
premium payment period.
Adjuster
Ans: A representative of an insurance company who
investigates and acts on the behalf of the company t o obtain
agreements for the amount of the insurance claim.
Administrator
Ans: An individual appointed by a court as a fiduciary to settle
the financial affairs and estate of a deceased person
Admitted (Authorized) Insurer
Ans: An insurance company authorized and licensed to transact
business in a particular state.
Adult Day Care
Ans: A program for impaired adults that attempts to meet their
health, social, and functional needs in a setting away from their
homes.
All rights reserved © 2025/ 2026 |
, Page |4
Adverse Selection
Ans: The tendency of risks with higher probability of loss to
purchase and maintain insurance more often than the risks who
present lower probability.
Agency
Ans: An insurance sales office or company.
Agent
Ans: An individual who is licensed to sell, negotiate, or effect
insurance contracts on behalf of the insurer
Agent's Authority
Ans: Special powers granted to an agent by his or her agency
contract.
Aleatory
Ans: A contract in which participating parties exchange
unequal amounts. Insurance contracts are aleatory in that the
amount the insured will pay in premiums is unequal to the
amount the insurer will pay in the event of a loss.
All rights reserved © 2025/ 2026 |
