Florida Life Insurance All Possible Questions and Answers with complete solution

Mutual Insurance Companies - organized and incorporated under state laws. No stockholders. Mutual companies - Participating, they pay dividends. Stock company - Owns Stock. Nonparticipating (no dividends) Risk Retention Group - Mutual company formed to insure ppl in the same business, occupation, profession (pharmacists, dentists, engineers) Fraternal Benefit Societies - Non profit organization, lodge system that includes ritualistic work, and maintain a rep form of gov with elected officers. FICA - Made up of Social Security and Medicare Variable Product - Dual license. One license issued by FINRA & the other Life & Annuity (issued by the state) Fair Credit Reporting Act - Consumers have the right to question what is on their credit report Domestic insurer - company doing business in the state in which it is incorporated Foreign insurer - company licensed & doing business in states other than the one in which it is incorporated Buyers Guides - generic (explain various types of life insurance products, including variable annuities)Policy Summaries - Specific to the Policy - ids the agent, insurer, policy, each rider, and includes info about premiums, dividends, benefit amounts, cash surrender values, policy loan interest rates, and life insurance cost indexes of the specific policy being considered National Association of Ins Commissioners (NAIC) - Encourage Uniformity, Assist in admin of laws & regs, Protect interest of policy owners, Preserve state regulation Warranty - a statement guaranteed to be true