NC HEALTH INSURANCE EXAM PEARSON VUE Exam | Questions & 100% Correct Answers (Verified) | Latest Update | Grade A+

Pure Risk Correct Answer: chance of loss or no loss but not gain insurable Speculative Risk Correct Answer: there is possibility of loss but of gain no insurablility exposure unit Correct Answer: subject to loss peril Correct Answer: cause of loss life insurance Correct Answer: death 2 Health insurance Correct Answer: accident and sickness hazard Correct Answer: increases the likelihood or severity of loss Three types of hazard Correct Answer: physical, moral, morale physical hazard Correct Answer: arise from the inherent characteristic of the exposure unit Moral Hazard Correct Answer: lifestyle of the insured person Morale hazard Correct Answer: arise more from an outlook on life risk avoidance Correct Answer: eliminating all risk altogether risk retention Correct Answer: manage risk Deduction 3 self-insurance Correct Answer: instead of buying health insurance and saving $ in the bank Pure risk that are not insurable Correct Answer: Flood, War, Catastrophic losses Intentional losses Correct Answer: not insurable Adverse selection Correct Answer: bad for insurance insurance actuary Correct Answer: a specially trained mathematician who calculates premiums underwriter Correct Answer: checks out the medical history of the proposed insured and other factors to eliminate adverse selection against the insurance company, issue policy premium restrictions Days for applicant to requests an explanantion Correct Answer: 90 days 4 Days insurance company must furnish an explanation Correct Answer: 21 days A dispute must begin within in Correct Answer: 30 days Law of Large numbers Correct Answer: the larger the number the easier it is to predict losses