Florida Agent's Health Insurance: Field Underwriting Procedures 11% Questions & Answers

Contract Law - ANSWERSEach insurance contract must have 4 essential elements to be legally binding. Elements of a Contract - ANSWERSEach Insurance Contract must have: 1. Agreement 2. Consideration 3. Competent Parties 4. Legal Purpose Agreement: Offer - ANSWERSThe applicant makes the offer when submitting an application. Agreement: Acceptance - ANSWERSTakes place when an insurer's underwriter approves the application and issues an insurance certificate/policy. Consideration - ANSWERSEach party in the contact get something of value in return. Competent Parties - ANSWERSEach person in the contact must be deemed competent in the eyes of the law. Competent Parties are: • Of Legal Age • Mentally competent • Understand the contract • No under the influence of drugs or alcohol Legal Purpose - ANSWERSA legal contract must not go against public policy. An Insurance Contract must have BOTH: 1. Insurable Interest 2. Consent