West Virginia Life Insurance Licensing
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1. What is policy replacement? A new policy is issued while an ex-
isting policy is terminated or reis-
sued with a reduction in cash val-
ue
2. Who must have insurable interest in the insured? Policyowner
3. When must in insurable interest exist in a life At the time of application
insurance policy?
4. What law protects consumers from the circula- Fair Credit Reporting Act
tion of inaccurate or obsolete information?
5. When a change needs to be made on the applica- Complete a new application or ask
tion for insurance, which is the best method for the applicant to initial the correc-
correcting the information? tion on the original application
6. An insurance when is the offer usually made on When the insurance application is
a contract? submitted
7. What is the purpose of the agents report during The agent's report discusses
the application process? the agent's personal observations
about the proposed insured that
may help in the underwriting
process
8. What report is used to assess risk associated Investigative consumer report
with the health insurance applicants lifestyle and
character?
9. When would a misrepresentation on insurance If it is intentional and material
application be considered fraud?
10. Insurable interest and consent
, West Virginia Life Insurance Licensing
Study online at https://quizlet.com/_fx9ske
What two elements are necessary for a life insur-
ance contract to have a legal purpose?
11. How is the information obtained for an investiga- Through interviews with the ap-
tive consumer report? plicant's associates, friends and
neighbors
12. Insurance is a contract that protects the insured loss
from what?
13. What entities make up the medical information Insurers
bureau?
14. Who is a field underwriter? Agent/Producer
15. What are the three main instances when insur- Insuring your own life, the life of
able interest exist in life insurance? a family member, or the life of
a business partners or someone
who has a financial obligation to
the policy owner
16. If an applicant for a life insurance policy and the The existence of insurable interest
potential insured are two different people, what between the applicant and the in-
would be the underwriters main concern? sured
17. At what point does the coverage begin when an Either on the date of the appli-
agent issues a conditional receipt for a life insur- cation or the date of the medical
ance policy? exam (whichever occurs last)
18. What do individuals use to transfer their risk of insurance
loss to a larger group?
19. Health insurance contracts are unilateral. What only one party makes a legally en-
does that mean? forceable promise
, West Virginia Life Insurance Licensing
Study online at https://quizlet.com/_fx9ske
20. Health contracts are prepared by insurers and contract of adhesion
must be accepted by the insured on an 'as is'
basis. This describes what aspect of a health in-
surance contract?
21. What risk classification would typically qualify for preferred risk
lower premiums?
22. During which stage in the insurance process to Underwriting
ensures evaluate information that identifies ad-
verse selection risks?
23. If an agent fails to obtain the applicant signature Send the application back to the
on the insurance application, what must the in- applicant for signature
sured do?
24. What is insurance underwriting? The process of risk selection and
classification
25. What is the name of the process that insurance Underwriting
companies used to determine whether or not an
applicant is insurable?
26. When does an insurance policy go into effect? When the policy is delivered and
the premium is paid
27. What are the four elements of an insurance con- Agreement (offer and accep-
tract? tance), consideration, competent
parties, and legal purpose
28. In health insurance contracts, the insured is not Unilateral
legally bound to any particular action however,
the insurer obligated to pay for losses covered
Study online at https://quizlet.com/_fx9ske
1. What is policy replacement? A new policy is issued while an ex-
isting policy is terminated or reis-
sued with a reduction in cash val-
ue
2. Who must have insurable interest in the insured? Policyowner
3. When must in insurable interest exist in a life At the time of application
insurance policy?
4. What law protects consumers from the circula- Fair Credit Reporting Act
tion of inaccurate or obsolete information?
5. When a change needs to be made on the applica- Complete a new application or ask
tion for insurance, which is the best method for the applicant to initial the correc-
correcting the information? tion on the original application
6. An insurance when is the offer usually made on When the insurance application is
a contract? submitted
7. What is the purpose of the agents report during The agent's report discusses
the application process? the agent's personal observations
about the proposed insured that
may help in the underwriting
process
8. What report is used to assess risk associated Investigative consumer report
with the health insurance applicants lifestyle and
character?
9. When would a misrepresentation on insurance If it is intentional and material
application be considered fraud?
10. Insurable interest and consent
, West Virginia Life Insurance Licensing
Study online at https://quizlet.com/_fx9ske
What two elements are necessary for a life insur-
ance contract to have a legal purpose?
11. How is the information obtained for an investiga- Through interviews with the ap-
tive consumer report? plicant's associates, friends and
neighbors
12. Insurance is a contract that protects the insured loss
from what?
13. What entities make up the medical information Insurers
bureau?
14. Who is a field underwriter? Agent/Producer
15. What are the three main instances when insur- Insuring your own life, the life of
able interest exist in life insurance? a family member, or the life of
a business partners or someone
who has a financial obligation to
the policy owner
16. If an applicant for a life insurance policy and the The existence of insurable interest
potential insured are two different people, what between the applicant and the in-
would be the underwriters main concern? sured
17. At what point does the coverage begin when an Either on the date of the appli-
agent issues a conditional receipt for a life insur- cation or the date of the medical
ance policy? exam (whichever occurs last)
18. What do individuals use to transfer their risk of insurance
loss to a larger group?
19. Health insurance contracts are unilateral. What only one party makes a legally en-
does that mean? forceable promise
, West Virginia Life Insurance Licensing
Study online at https://quizlet.com/_fx9ske
20. Health contracts are prepared by insurers and contract of adhesion
must be accepted by the insured on an 'as is'
basis. This describes what aspect of a health in-
surance contract?
21. What risk classification would typically qualify for preferred risk
lower premiums?
22. During which stage in the insurance process to Underwriting
ensures evaluate information that identifies ad-
verse selection risks?
23. If an agent fails to obtain the applicant signature Send the application back to the
on the insurance application, what must the in- applicant for signature
sured do?
24. What is insurance underwriting? The process of risk selection and
classification
25. What is the name of the process that insurance Underwriting
companies used to determine whether or not an
applicant is insurable?
26. When does an insurance policy go into effect? When the policy is delivered and
the premium is paid
27. What are the four elements of an insurance con- Agreement (offer and accep-
tract? tance), consideration, competent
parties, and legal purpose
28. In health insurance contracts, the insured is not Unilateral
legally bound to any particular action however,
the insurer obligated to pay for losses covered
