TEXAS GENERAL LINES LIFE, ACCIDENT AND
HEALTH INSURANCE 2 LATEST VERSIONS
ACTUAL EXAM COMPLETE 500 QUESTIONS
AND CORRECT DETAILED ANSWERS
(VERIFIED ANSWERS) |ALREADY GRADED A+
Group Insurance ...Answer Is...- the employer is the owner and receives the
master contract
- the employees are certificate holders which
outlines the details of it
- underwriting is much more liberal because its a
large group and probably wont have adverse
selection
- if you want to get in at another time, employee
has to show insurability
What do you need to get Social Secutiry ...Answer Is...- You have to work for 40 qtrs or 10 years
Insurance Definition ...Answer Is...- Transfer of risk from 1 party to another
- To provide funds for medical expenses due to
sickness or injury and to cover loss of income
during a disability
Indemnity ...Answer Is...- To restore or make whole again
- To bring back to the same condition they had
prior to loss
,Risk ...Answer Is...- the uncertainty or chance of loss
Mortality ...Answer Is...- The number of deaths
- helps determing premium
Morbidity ...Answer Is...-The number of disabled due to accident or
sickness
Pure Risk ...Answer Is...- Chance of loss without any chance of gain
- only pure risk is insurable
Speculative Risk ...Answer Is...- Chance of loss or gain
What kind of Risks are insurable ...Answer Is...- loss must be accidental
- loss must be definite (or measurable)
- must not be catastrophic
- must be great enough to create economic
hardship
- premiums must be reasonable
Retention ...Answer Is...-The personal acceptance of the loss
Peril ...Answer Is...- The cause or source of a loss
Hazard ...Answer Is...- increases the chance of a loss
What are the 3 types of Hazards ...Answer Is...- Physical
- Moral (dishonesty)
- Morale (carelessness)
, Underwriting department ...Answer Is...- Responsible for the selection of risks to insure
and determines the rate to be charged for
coverage
Types of Insurance Companies ...Answer Is...- Stock Companies (non-participating)
- Mutual Companies (participating)
- Fraternal Organization
- Reciprocals and Assessment Insurers
- Self-Insurers
Domestic Insurance Co ...Answer Is...- located in the state it's doing business in
Foreign Insurance Co ...Answer Is...- allowed to do business in a state other than their
home state
Alien Insurance Co ...Answer Is...- authorized to conduct business in any of the 50
states but who has its home office in another
country
Cerrtificate of Authority ...Answer Is...- What an insurance company needs to have in
order to operate in a state
Fraternal Organization ...Answer Is...- A non profit association and only can provide
insurance to its members.
Reciprocal Organization ...Answer Is...- A type of cooperative insurance. Each
policyholder is insured by all other policyholders.
HEALTH INSURANCE 2 LATEST VERSIONS
ACTUAL EXAM COMPLETE 500 QUESTIONS
AND CORRECT DETAILED ANSWERS
(VERIFIED ANSWERS) |ALREADY GRADED A+
Group Insurance ...Answer Is...- the employer is the owner and receives the
master contract
- the employees are certificate holders which
outlines the details of it
- underwriting is much more liberal because its a
large group and probably wont have adverse
selection
- if you want to get in at another time, employee
has to show insurability
What do you need to get Social Secutiry ...Answer Is...- You have to work for 40 qtrs or 10 years
Insurance Definition ...Answer Is...- Transfer of risk from 1 party to another
- To provide funds for medical expenses due to
sickness or injury and to cover loss of income
during a disability
Indemnity ...Answer Is...- To restore or make whole again
- To bring back to the same condition they had
prior to loss
,Risk ...Answer Is...- the uncertainty or chance of loss
Mortality ...Answer Is...- The number of deaths
- helps determing premium
Morbidity ...Answer Is...-The number of disabled due to accident or
sickness
Pure Risk ...Answer Is...- Chance of loss without any chance of gain
- only pure risk is insurable
Speculative Risk ...Answer Is...- Chance of loss or gain
What kind of Risks are insurable ...Answer Is...- loss must be accidental
- loss must be definite (or measurable)
- must not be catastrophic
- must be great enough to create economic
hardship
- premiums must be reasonable
Retention ...Answer Is...-The personal acceptance of the loss
Peril ...Answer Is...- The cause or source of a loss
Hazard ...Answer Is...- increases the chance of a loss
What are the 3 types of Hazards ...Answer Is...- Physical
- Moral (dishonesty)
- Morale (carelessness)
, Underwriting department ...Answer Is...- Responsible for the selection of risks to insure
and determines the rate to be charged for
coverage
Types of Insurance Companies ...Answer Is...- Stock Companies (non-participating)
- Mutual Companies (participating)
- Fraternal Organization
- Reciprocals and Assessment Insurers
- Self-Insurers
Domestic Insurance Co ...Answer Is...- located in the state it's doing business in
Foreign Insurance Co ...Answer Is...- allowed to do business in a state other than their
home state
Alien Insurance Co ...Answer Is...- authorized to conduct business in any of the 50
states but who has its home office in another
country
Cerrtificate of Authority ...Answer Is...- What an insurance company needs to have in
order to operate in a state
Fraternal Organization ...Answer Is...- A non profit association and only can provide
insurance to its members.
Reciprocal Organization ...Answer Is...- A type of cooperative insurance. Each
policyholder is insured by all other policyholders.
