North Carolina XCEL Testing Life & Health Insurance Exam Study 2023/2024

North Carolina XCEL Testing Life & Health Insurance Exam Study 2023/2024 Which of the following requires insurers to disclose when an applicant's consumer or credit history is being investigated: - ANSWER-1970 - Fair Credit Reporting Act What type of reinsurance contract involves two companies automatically sharing their risk exposure? - ANSWER-Treaty What is the name of the law that requires insurers to disclose information gathering practices and where the information was obtained? - ANSWER-Fair Credit Reporting Act Who elects the governing body of a mutual insurance company? - ANSWER-policyholders The stated amount or percent of liquid assets that an insurer must have on hand that will satisfy future obligations to its policyholders is called: - ANSWER-reserves A group-owned insurance company that is formed to assume and spread the liability risks of its members is known as a: - ANSWER-risk retention group What year was the McCarran-Ferguson Act enacted? - ANSWER-1945 Which of these describe a participating life insurance policy? - ANSWER-Policyowners are entitled to receive dividends At what point must a life insurance applicant be informed of their rights that fall under the Fair Credit Reporting Act? - ANSWER-Upon completion of the application A nonprofit incorporated society that does not have capital stock and operates for the sole benefit of its members is known as: - ANSWER-a fraternal benefit society