Colorado Health Insurance
Comprehensive Resource To Help You Ace Exams Includes
Frequently Tested Questions With ELABORATED 100%
Correct COMPLETE SOLUTIONS
Guaranteed Pass First Attempt!! Current Update!!
1. Alien Insurer - CORRECT ANSWER An insurance company that is
incorporated outside the United States.
2. Annual statement - CORRECT ANSWER A detailed financial report
that an insurance company must submit every year to the insurance
department of state(s) in which it conducts business.
3. Annuity - CORRECT ANSWER a contract that provides income for a
specified period of years, or for life.
4. Apparent Authority - CORRECT ANSWER The appearance or the
assumption of authority based on the actions, words, or deeds of the
principal or because of circumstances the principal created.
5. Applicant - CORRECT ANSWER a person making application for, or
offering himself, herself or another to be insured under an insurance
contract.
6. Application - CORRECT ANSWER a document that provides
information for underwriting purposes. After the policy is issued, any
unanswered questions are considered waived by the insurer.
7. Assignment - CORRECT ANSWER the transfer of ownership rights of
a life insurance policy from one person to another.
8. Attained Age - CORRECT ANSWER The age of the insured at a
determined date.
9. Attending physician statement APS - CORRECT ANSWER A
statement usually obtained from the applicant's doctor.
,10. Accelerated benefits - CORRECT ANSWER Riders attached to
life insurance policies which allow death benefits to be used to cover
nursing or convalescent home expenses.
11. Accidental death benefits - CORRECT ANSWER 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.
12. Accidental death insurance - CORRECT ANSWER An
insurance policy that provides payment if the insured's death is the
result of an accident.
13. Accumulation Period - CORRECT ANSWER The time before
an annuitant's retirement during which the annuitant is making
payments or investments in an annuity.
14. Actual cash value ACV - CORRECT ANSWER The required
amount to pay damages or for property loss, which is calculated
based on the property's current replacement value minus
depreciation.
15. Adhesion - CORRECT ANSWER A contract offered on a take-
it-or-leave-it basis by an insurer, in which the insured's only option is
to either accept or reject the contract. Any ambiguities in the contract
will be settled in favor of the insured.
16. Adjustable Life - CORRECT ANSWER Life insurance which
permits changes in the face amount, premium amount, period of
protection, and the duration of the premium payment period.
17. Adjuster - CORRECT ANSWER A representative of an
insurance company who investigates and acts on the behalf of the
company to obtain agreements for the amount of the insurance claim.
18. Administrator - CORRECT ANSWER an individual appointed by
a court as a fiduciary to settle the financial affairs an estate of a
deceased person
, 19. Admitted (authorized) insurer - CORRECT ANSWER An
insurance company authorized and licensed to transact business in a
particular state.
20. Adverse selection - CORRECT ANSWER the tendency of risks
with higher probability of loss to purchase and maintain Insurance
more often than the risk Who present lower probability
21. Agency - CORRECT ANSWER an insurance sales office or
company
22. Agent - CORRECT ANSWER an individual who is licensed to
sell, negotiate, or affect insurance contracts on behalf of the insurer
23. Agent appointment - CORRECT ANSWER the authorization of
an agent to act for or represent an insurer
24. Agent's Authority - CORRECT ANSWER Special powers
granted to an agent by his or her agency contract.
25. Aleatory Contract - CORRECT ANSWER 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.
authorized (admitted) insurer - CORRECT ANSWER An insurance
company authorized and licensed to transact business in a particular state.
Avoidance - CORRECT ANSWER a method of dealing with Risk by
deliberately keeping away from it (E.G. if a person wanted to avoid the risk
of being killed in an airplane crash, he or she might choose to never fly in a
plane).
basic illustration - CORRECT ANSWER A ledger or proposal used in the
sale of a life insurance policy that shows both guaranteed and
nonguaranteed elements.
beneficiary - CORRECT ANSWER the person who receives the proceeds
from the policy when the insured dies.
Comprehensive Resource To Help You Ace Exams Includes
Frequently Tested Questions With ELABORATED 100%
Correct COMPLETE SOLUTIONS
Guaranteed Pass First Attempt!! Current Update!!
1. Alien Insurer - CORRECT ANSWER An insurance company that is
incorporated outside the United States.
2. Annual statement - CORRECT ANSWER A detailed financial report
that an insurance company must submit every year to the insurance
department of state(s) in which it conducts business.
3. Annuity - CORRECT ANSWER a contract that provides income for a
specified period of years, or for life.
4. Apparent Authority - CORRECT ANSWER The appearance or the
assumption of authority based on the actions, words, or deeds of the
principal or because of circumstances the principal created.
5. Applicant - CORRECT ANSWER a person making application for, or
offering himself, herself or another to be insured under an insurance
contract.
6. Application - CORRECT ANSWER a document that provides
information for underwriting purposes. After the policy is issued, any
unanswered questions are considered waived by the insurer.
7. Assignment - CORRECT ANSWER the transfer of ownership rights of
a life insurance policy from one person to another.
8. Attained Age - CORRECT ANSWER The age of the insured at a
determined date.
9. Attending physician statement APS - CORRECT ANSWER A
statement usually obtained from the applicant's doctor.
,10. Accelerated benefits - CORRECT ANSWER Riders attached to
life insurance policies which allow death benefits to be used to cover
nursing or convalescent home expenses.
11. Accidental death benefits - CORRECT ANSWER 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.
12. Accidental death insurance - CORRECT ANSWER An
insurance policy that provides payment if the insured's death is the
result of an accident.
13. Accumulation Period - CORRECT ANSWER The time before
an annuitant's retirement during which the annuitant is making
payments or investments in an annuity.
14. Actual cash value ACV - CORRECT ANSWER The required
amount to pay damages or for property loss, which is calculated
based on the property's current replacement value minus
depreciation.
15. Adhesion - CORRECT ANSWER A contract offered on a take-
it-or-leave-it basis by an insurer, in which the insured's only option is
to either accept or reject the contract. Any ambiguities in the contract
will be settled in favor of the insured.
16. Adjustable Life - CORRECT ANSWER Life insurance which
permits changes in the face amount, premium amount, period of
protection, and the duration of the premium payment period.
17. Adjuster - CORRECT ANSWER A representative of an
insurance company who investigates and acts on the behalf of the
company to obtain agreements for the amount of the insurance claim.
18. Administrator - CORRECT ANSWER an individual appointed by
a court as a fiduciary to settle the financial affairs an estate of a
deceased person
, 19. Admitted (authorized) insurer - CORRECT ANSWER An
insurance company authorized and licensed to transact business in a
particular state.
20. Adverse selection - CORRECT ANSWER the tendency of risks
with higher probability of loss to purchase and maintain Insurance
more often than the risk Who present lower probability
21. Agency - CORRECT ANSWER an insurance sales office or
company
22. Agent - CORRECT ANSWER an individual who is licensed to
sell, negotiate, or affect insurance contracts on behalf of the insurer
23. Agent appointment - CORRECT ANSWER the authorization of
an agent to act for or represent an insurer
24. Agent's Authority - CORRECT ANSWER Special powers
granted to an agent by his or her agency contract.
25. Aleatory Contract - CORRECT ANSWER 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.
authorized (admitted) insurer - CORRECT ANSWER An insurance
company authorized and licensed to transact business in a particular state.
Avoidance - CORRECT ANSWER a method of dealing with Risk by
deliberately keeping away from it (E.G. if a person wanted to avoid the risk
of being killed in an airplane crash, he or she might choose to never fly in a
plane).
basic illustration - CORRECT ANSWER A ledger or proposal used in the
sale of a life insurance policy that shows both guaranteed and
nonguaranteed elements.
beneficiary - CORRECT ANSWER the person who receives the proceeds
from the policy when the insured dies.
