NC ACCIDENT AND HEALTH LICENSING 112 Questions with 100% Correct Answers | Updated 2024 | Guaranteed A+

Insurance - ️️a plan of spreading the risk of possible loss over a large number of people Representation - ️️information believed to be true to the best of one's knowledge Agents - ️️Representatives of the INSURER - represents single insurer Brokers - ️️Representatives of the INSURED - represents multiple firms Unilateral Contract - ️️Type of contract that is an exchange of an act for a promise - i.e. - the INSURED may discontinue coverage at any time and the INSURER can not enforce the continuation of the policy Adhesion Contract - ️️Type of contract that is take it or leave it - i.e. - The insurer writes the insurance contract and the insured is "stuck" with that wording. Aleatory Contract - ️️Type of contract that features an unequal exchange of value between the parties - i.e. - a policy owner may have submitted only one premium payment with the insured dies and the policy's full amount would be payable. Insuring Agreement - ️️The heart of the contract that states the perils (accidents or sickness) that are covered by the policy and establishes the insurer's commitment to pay the death benefit. Conditions - ️️Provisions and stipulations of the policy Exclusions / Waivers - ️️States what perils or losses are NOT covered