MICHIGAN LIFE INSURANCE STATE
UPDATED ACTUAL QUESTIONS AND
CORRECT ANSWERS
⩥ Adjuster.
Answer: This is the person who investigates claims and arranges for
them to be settled or denied
⩥ Alien insurer.
Answer: In the United States, this is an insurer, whose principal office
and domicile location is outside this country
⩥ Admitted insurer.
Answer: This is an insurer who has received a certificate of authority
from a state department of insurance which authorizes them to conduct
insurance business in that state
⩥ Agent.
Answer: This is an individual or organization that's authorized to solicit,
cell, and transact (bind) coverage for specific insurance providers under
the terms of one or more agent contracts
⩥ Authorized insurer.
,Answer: This is an admitted insurer
⩥ Broker.
Answer: This is a person who represents himself and the insured (I.e. the
client or customer) a broker cannot bind coverage on behalf of an
insurance carrier because a broker is not appointed as an agent
⩥ Captive insurer.
Answer: This is an insurer that's established and owned by a parent firm
for the purpose of ensuring the parent firms loss exposure
⩥ Certificate of authority.
Answer: This is a licensed that's issued to an insurer by an insurance
department (or equivalent state agency) that authorizes that company to
conduct insurance business in that particular state
⩥ Claims department.
Answer: This is the department that's responsible for processing,
investigating, and paying claims
⩥ Divisible surplus.
Answer: This is the amount of earnings that are paid to policy owners as
dividends after the insurance company sets. Aside funds required to
cover reserves, operating expenses, and general business purposes.
,⩥ Domestic insurer.
Answer: This is an insurer with its principal or home office in the state
in which its authorized
⩥ Foreign insurer.
Answer: This is the insurer whose principal office or domicile location is
an estate that's different from the state in which it's transacting insurance
business
⩥ Insurance.
Answer: This is the transfer of risks through the pooling or accumulation
of funds
⩥ Insured.
Answer: This is the customer who receives insurance protection under
an insurance policy
⩥ Insurer.
Answer: This is an insurance company
⩥ Lloyds of London.
Answer: This is not an insurer, but a group of individuals and companies
that underwrite unusual insurance policies
, ⩥ Marketing division.
Answer: This is the division responsible for acquiring applicants through
various advertising media
⩥ Monoline insurance.
Answer: This is an insurance care that only sells one line of insurance
⩥ Multi line insurer.
Answer: This is an insurance company or independent agent that
provides a "one stop shop" for businesses or individuals who are seeking
coverage for all of their insurance needs. For example, Minnie, large
insurer, offer individual policies for automobile, homeowner, long-term
care, life, and health insurance needs.
⩥ Mutual insurance company.
Answer: This is an insurance company this characterized by having no
Stock, being owned by their policy owners, and typically issuing
participating insurance
⩥ Non-admitted (unauthorized) insurer.
Answer: This is a policy that's typically issued by stock companies. This
type of policy doesn't allow policy owners to participate in dividends or
to elect the board of directors.
UPDATED ACTUAL QUESTIONS AND
CORRECT ANSWERS
⩥ Adjuster.
Answer: This is the person who investigates claims and arranges for
them to be settled or denied
⩥ Alien insurer.
Answer: In the United States, this is an insurer, whose principal office
and domicile location is outside this country
⩥ Admitted insurer.
Answer: This is an insurer who has received a certificate of authority
from a state department of insurance which authorizes them to conduct
insurance business in that state
⩥ Agent.
Answer: This is an individual or organization that's authorized to solicit,
cell, and transact (bind) coverage for specific insurance providers under
the terms of one or more agent contracts
⩥ Authorized insurer.
,Answer: This is an admitted insurer
⩥ Broker.
Answer: This is a person who represents himself and the insured (I.e. the
client or customer) a broker cannot bind coverage on behalf of an
insurance carrier because a broker is not appointed as an agent
⩥ Captive insurer.
Answer: This is an insurer that's established and owned by a parent firm
for the purpose of ensuring the parent firms loss exposure
⩥ Certificate of authority.
Answer: This is a licensed that's issued to an insurer by an insurance
department (or equivalent state agency) that authorizes that company to
conduct insurance business in that particular state
⩥ Claims department.
Answer: This is the department that's responsible for processing,
investigating, and paying claims
⩥ Divisible surplus.
Answer: This is the amount of earnings that are paid to policy owners as
dividends after the insurance company sets. Aside funds required to
cover reserves, operating expenses, and general business purposes.
,⩥ Domestic insurer.
Answer: This is an insurer with its principal or home office in the state
in which its authorized
⩥ Foreign insurer.
Answer: This is the insurer whose principal office or domicile location is
an estate that's different from the state in which it's transacting insurance
business
⩥ Insurance.
Answer: This is the transfer of risks through the pooling or accumulation
of funds
⩥ Insured.
Answer: This is the customer who receives insurance protection under
an insurance policy
⩥ Insurer.
Answer: This is an insurance company
⩥ Lloyds of London.
Answer: This is not an insurer, but a group of individuals and companies
that underwrite unusual insurance policies
, ⩥ Marketing division.
Answer: This is the division responsible for acquiring applicants through
various advertising media
⩥ Monoline insurance.
Answer: This is an insurance care that only sells one line of insurance
⩥ Multi line insurer.
Answer: This is an insurance company or independent agent that
provides a "one stop shop" for businesses or individuals who are seeking
coverage for all of their insurance needs. For example, Minnie, large
insurer, offer individual policies for automobile, homeowner, long-term
care, life, and health insurance needs.
⩥ Mutual insurance company.
Answer: This is an insurance company this characterized by having no
Stock, being owned by their policy owners, and typically issuing
participating insurance
⩥ Non-admitted (unauthorized) insurer.
Answer: This is a policy that's typically issued by stock companies. This
type of policy doesn't allow policy owners to participate in dividends or
to elect the board of directors.
