Ohio Life, Accident & Health Insurance Exam (Series 11-35), Life Insurance Basics correct 100%(GRADED A+)
What type of report provides information about an applicant's hobbies, habits, and financial status? - ANSWER Investigative consumer report
What are the three factors that determine the premium for a particular life insurance policy? - ANSWER Mortality, interest, expense
How does the premium mode affect the total premium paid for insurance for the year? - ANSWER Higher frequency of payments will result in higher overall premium
Can insurers advertise the existence of the guaranty association during solicitation and sale of insurance policies? - ANSWER No, advertising the existence of the guaranty association for the purposes of solicitation and sale of insurance policies by the insurer is an illegal business practice
What is the term that describes the frequency and amount of the premium payment - ANSWER Premium mode
If an applicant for a life insurance policy and the potential insured are two different people, what would be the underwriter's main concern? - ANSWER The existence of insurable interest
A business is the owner and beneficiary of a key-person life policy. When the business collects the policy benefit, how is it taxed? - ANSWER The benefit is received tax free
What document describes the specific information about a policy? - ANSWER Policy summary
Mortality tables are used by insurance companies to predict what? - ANSWER Life expectancy and death rates for specific groups of individuals
What are illustrations in a life insurance policy? - ANSWER Presentations of non guaranteed elements in the policy
All other factors being equal, which premium payment mode would require a higher overall premium: monthly or annual? - ANSWER Monthly
What type of report provides information about an applicant's hobbies, habits, and financial status? - ANSWER Investigative consumer report
What are the three factors that determine the premium for a particular life insurance policy? - ANSWER Mortality, interest, expense
How does the premium mode affect the total premium paid for insurance for the year? - ANSWER Higher frequency of payments will result in higher overall premium
Can insurers advertise the existence of the guaranty association during solicitation and sale of insurance policies? - ANSWER No, advertising the existence of the guaranty association for the purposes of solicitation and sale of insurance policies by the insurer is an illegal business practice
What is the term that describes the frequency and amount of the premium payment - ANSWER Premium mode
If an applicant for a life insurance policy and the potential insured are two different people, what would be the underwriter's main concern? - ANSWER The existence of insurable interest
A business is the owner and beneficiary of a key-person life policy. When the business collects the policy benefit, how is it taxed? - ANSWER The benefit is received tax free
What document describes the specific information about a policy? - ANSWER Policy summary
Mortality tables are used by insurance companies to predict what? - ANSWER Life expectancy and death rates for specific groups of individuals
What are illustrations in a life insurance policy? - ANSWER Presentations of non guaranteed elements in the policy
All other factors being equal, which premium payment mode would require a higher overall premium: monthly or annual? - ANSWER Monthly
