ALABAMA LIFE AND HEALTH INSURANCE
LATEST EXAM 2025 WITH MULTIPLE CHOICE
OF QUESTIONS AND DETAILED CORRECT
ANSWERS ALREADY GRADED A+ AND 100%
GUARANTEE PASS (BRAND NEW!!!!!!)
Misrepresentation is: - CORRECT ANSWER-A written or oral
statement which is false
The chance that a person who anticipates a loss will purchase
insurance is: - CORRECT ANSWER-Adverse Selection
Assuming a deductible with your insurance policy is which type
of risk management technique? - CORRECT ANSWER-Assumption of
risk
In the Health-Disability area we use what type data to produce
rates? - CORRECT ANSWER-Morbidity tables
A company that is licensed to sell insurance in a particular state
is: - CORRECT ANSWER-An authorized company
he most effective way to ensure that the applicant will accept
the policy when it is issued is: - CORRECT ANSWER-To have the
applicant pay the initial premium at the time of application
,Which is the proper term for a company owned by its policy
owner? - CORRECT ANSWER-A mutual insurance company
The punishment for fraud or making false statements may
include: - CORRECT ANSWER-Fines, imprisonment or both
A producer who is acting as an agent is representing: - CORRECT
ANSWER-Always the insurer
The premium paid and the statements on the application to the
insurance company is called - CORRECT ANSWER-consideration
In life insurance the insurable interest requirements is
generally satisfied if: - CORRECT ANSWER-the policy owner must
expect to suffer a loss if the insured dies.
Each of the following would be an element in the definition of
fraud - CORRECT ANSWER-1. Statements relied upon by a second
party who then suffers a loss
2. Intent to gain advantage
3. An intentional misrepresentation made by the applicant
Risk may be defined as: - CORRECT ANSWER-The uncertainty of loss
A father did not reveal that his daughter suffers from asthma on
the application for a health policy. In order to avoid paying a
,claim the insurer must - CORRECT ANSWER-prove this was both
intentional and material
In order to be valid, a contract must be between individuals
considered legally able to enter into an agreement. This
principle is known as: - CORRECT ANSWER-competent parties
When signing the application form, the proposed insured is: -
CORRECT ANSWER-Making a formal request to the company for an
insurance policy.
What constitutes an entire insurance contract? - CORRECT ANSWER-
The policy, its endorsements, and any attached papers
T/F Misrepresentations on the part of an applicant as to the
health or other conditions of the applicant must be deliberate
and material for an insurer to avoid coverage. - CORRECT ANSWER-
True
T/F Misrepresentation is a deliberate false representation on
the part of the agent or insurer as to the terms and conditions of
the policy its terms and benefits. - CORRECT ANSWER-True
T/F Warranties are not used in the life-health-disability area. -
CORRECT ANSWER-True
A pure risk - CORRECT ANSWER-generally presents no possibility of
financial gain.
, Which of the following would be considered a speculative risk? -
CORRECT ANSWER-The possibility the painting you bought might be
a long lost masterpiece
To what does the statement spreading the result of financial
loss created by an individual's death among many persons, so
the cost for each individual is small refer? - CORRECT ANSWER-The
principle of life insurance
Select the correct statement. - CORRECT ANSWER-A producer is
never permitted to make a change in policy wording
The policy conditions represent the obligations of: - CORRECT
ANSWER-Both the insured and the insurer
Mortality figures are normally developed by studying and
interpreting statistics: - CORRECT ANSWER-Developed from the
deaths of millions of persons over long periods of time.
To be able to start operations, a mutual company must have all
of the following - CORRECT ANSWER-1. The advanced premium
payment for each application
2. Minimum number of applications for insurance
3. A surplus as specified by the state
Lloyd's of London is involved - CORRECT ANSWER-1. in marine
insurance
2. in insuring famous people
3. in the reinsurance business
LATEST EXAM 2025 WITH MULTIPLE CHOICE
OF QUESTIONS AND DETAILED CORRECT
ANSWERS ALREADY GRADED A+ AND 100%
GUARANTEE PASS (BRAND NEW!!!!!!)
Misrepresentation is: - CORRECT ANSWER-A written or oral
statement which is false
The chance that a person who anticipates a loss will purchase
insurance is: - CORRECT ANSWER-Adverse Selection
Assuming a deductible with your insurance policy is which type
of risk management technique? - CORRECT ANSWER-Assumption of
risk
In the Health-Disability area we use what type data to produce
rates? - CORRECT ANSWER-Morbidity tables
A company that is licensed to sell insurance in a particular state
is: - CORRECT ANSWER-An authorized company
he most effective way to ensure that the applicant will accept
the policy when it is issued is: - CORRECT ANSWER-To have the
applicant pay the initial premium at the time of application
,Which is the proper term for a company owned by its policy
owner? - CORRECT ANSWER-A mutual insurance company
The punishment for fraud or making false statements may
include: - CORRECT ANSWER-Fines, imprisonment or both
A producer who is acting as an agent is representing: - CORRECT
ANSWER-Always the insurer
The premium paid and the statements on the application to the
insurance company is called - CORRECT ANSWER-consideration
In life insurance the insurable interest requirements is
generally satisfied if: - CORRECT ANSWER-the policy owner must
expect to suffer a loss if the insured dies.
Each of the following would be an element in the definition of
fraud - CORRECT ANSWER-1. Statements relied upon by a second
party who then suffers a loss
2. Intent to gain advantage
3. An intentional misrepresentation made by the applicant
Risk may be defined as: - CORRECT ANSWER-The uncertainty of loss
A father did not reveal that his daughter suffers from asthma on
the application for a health policy. In order to avoid paying a
,claim the insurer must - CORRECT ANSWER-prove this was both
intentional and material
In order to be valid, a contract must be between individuals
considered legally able to enter into an agreement. This
principle is known as: - CORRECT ANSWER-competent parties
When signing the application form, the proposed insured is: -
CORRECT ANSWER-Making a formal request to the company for an
insurance policy.
What constitutes an entire insurance contract? - CORRECT ANSWER-
The policy, its endorsements, and any attached papers
T/F Misrepresentations on the part of an applicant as to the
health or other conditions of the applicant must be deliberate
and material for an insurer to avoid coverage. - CORRECT ANSWER-
True
T/F Misrepresentation is a deliberate false representation on
the part of the agent or insurer as to the terms and conditions of
the policy its terms and benefits. - CORRECT ANSWER-True
T/F Warranties are not used in the life-health-disability area. -
CORRECT ANSWER-True
A pure risk - CORRECT ANSWER-generally presents no possibility of
financial gain.
, Which of the following would be considered a speculative risk? -
CORRECT ANSWER-The possibility the painting you bought might be
a long lost masterpiece
To what does the statement spreading the result of financial
loss created by an individual's death among many persons, so
the cost for each individual is small refer? - CORRECT ANSWER-The
principle of life insurance
Select the correct statement. - CORRECT ANSWER-A producer is
never permitted to make a change in policy wording
The policy conditions represent the obligations of: - CORRECT
ANSWER-Both the insured and the insurer
Mortality figures are normally developed by studying and
interpreting statistics: - CORRECT ANSWER-Developed from the
deaths of millions of persons over long periods of time.
To be able to start operations, a mutual company must have all
of the following - CORRECT ANSWER-1. The advanced premium
payment for each application
2. Minimum number of applications for insurance
3. A surplus as specified by the state
Lloyd's of London is involved - CORRECT ANSWER-1. in marine
insurance
2. in insuring famous people
3. in the reinsurance business
