all of the following are true of insurance except all of the following are true of insurance except

Cash values can be borrowed at any time Journalize the entry to transfer the total of all cost sheets completed from Work in Process to Finished Goods. -age 100. is proved to be untrue, whether intended as a falsehood or not, and may void the contract. A conditional or binding receipt is given when an applicant does what? insured is always the borrower & the beneficiary=lender \hline & \text { Jul 31 } & 19,500 All of the following are options for managing risk, except: means of collecting a loss payment from a liable party. c) Misrepresentation 4. If company pays dividends, then they are a? - Limited Pay Life An insurer that was incorporated in a different state that it is doing business in. D) Claims result from losses by a peril insured against in an insurance policy. (b) level-premium method The application is the basic source of information an insurer uses in the risk selection process. What is an exchange of a whole entire life policy for another? d) Tax-deductible. When a policy has reached its final destination and can be paid out in full is when the policy has ____________? D. Term life. C. Funding business continuation agreements An insurance company that was incorporated in a different state it is doing business in and pays dividends to its policyholders is known as a _________. a) Payor rider. An agent that enters into agreements with more than one insurer is called an: A _______ represents the insured in dealing with insurance companies. I. (c) The number of times the coverage can be renewed is limited. A. \hline \text { Jul 1 } & 5,500 &&\\ (c) two-income earner family. 4)underwriting is complete -But pays you interest, 1)Fixed annuity Statement of good health c) Comparisons with similar policies (b) The face amount of the policy is paid if the insured lives to age 65. Consumer report Cash value is the same as ___________ when the policy matures. a) Offering additional coverage to clients All of the following are true of negligence, except: - AZanswer (must exist at the time of application). Which of the following is NOT an allowable 1035 exchange? 2. Numerical identifiers: Each candidate list entry covers both anhydrous and hydrated forms of a substance. 1) All requirements are met James purchased yearly renewable term insurance. A. Which of the following is the basic source of information used by the company in the risk selection process? To sell variable life insurance policies, an agent must receive all of the following EXCEPT B. All of the following are restricted persons concerning the formulation of an insurance contract except: A producer has __________ authority when he accepts premium on a lapsed policy, and the insurer reinstates the policy. (c) Interest credited to a policy's cash value is taxable to the policyowner in the year credited. c. Manufacturing expense accounts and their balances for the month are as follows: DepreciationExpense-FactoryEquipment$5,770.24MiscellaneousExpense-Factory$13,780.48DepreciationExpense-Building2,822.40PayrollTaxesExpense-Factory43,736.00Heat,Light,andPowerExpense9,055.20PropertyTaxExpense-Factory6,088.32InsuranceExpense-Factory1,505.28SuppliesExpense-Factory18,063.36\begin{array}{lrlrr}\text { Depreciation Expense-Factory Equipment } & \$ 5,770.24 & \text { Miscellaneous Expense-Factory } & \$ 13,780.48 \\ \text { Depreciation Expense-Building } & 2,822.40 & \text { Payroll Taxes Expense-Factory } & 43,736.00 \\ \text { Heat, Light, and Power Expense } & 9,055.20 & \text { Property Tax Expense-Factory } & 6,088.32 \\ \text { Insurance Expense-Factory } & 1,505.28 & \text { Supplies Expense-Factory } & 18,063.36\end{array} Which of the following would provide an underwriter with information concerning an applicant's health history? If an insurer is incorporated in Rhode Island, but primarily does business in New York, what type of insurer would it be considered in New York? Out of 20 yr or 30 yr which policy is less expensive? The 7 paytest is used to determine if a policy is a _______? A state administered health insurance for the needy? b) Fiduciary responsibility. What are two reasons that people deposit money in banks? We participate at both the national and state levels as a leading advocate in the judicial, legislative, and regulatory environment to ensure that Members' concerns are heard by lawmakers on issues that impact medical professional liability. 2)the face amount Only one party is giving a legally enforceable promise- A one-sided contract is what? Findefch a Wife,' 'Pnrple and Fine -men,'^The' Day of Temptation,' ' Of Royal Blood,' etc., etc . All of the following are true about health insurance except: Purchasing health care can help save you from medical bankruptcy. Some life insurance policies offer cash values that can be borrowed at any time and used for immediate needs. Annual income the application is used at the primary source of info. A producer wishing to appeal the final order of the commissioner would appeal to???? Which of the following statements regarding the taxation of Modified Endowment Contracts is FALSE? \hline && \text { Jul 1 } & 65,000 \\ \text { Type I } & \$ 30 & \$ 35 & - \\ Since they may receive a dividend (not guaranteed), such policies are known as participating policies. All of the following statements about term insurance are true EXCEPT. B. -sex doesn't determine eligibility. 2. An insurer or producer may NOT knowingly employ an individual to act in a fiduciary capacity if that individual has been convicted of a felony or crime of moral turpitude within the past a) An agent offers the use of his lake house to person as an inducement to buy. You should now have gotten the answer to your question "All of the following statements are true of liability insurance, EXCEPT:", which was part of Insurance MCQs & Answers. This is called. (d) The policyowner can add to a policy's cash value at any time subject to policy guidelines. Nonparticipating policy. Misappropriation or illegal withholding of the policyholder's money. \end{array} \\ Hazard An annuity whose based on the stock market index? 2)no cash-value Reinsurance has 2 types of policys, what are they? C. Conditional contract a) Types of mutual companies saalt menstrual disc how to use - evcc-estheticstraining.com The cost of insurance protection is referred to as what? PracticeTest Flashcards by Gabriel Martinez | Brainscape cheating. B) Fiduciary refers to a position of trust. All of the following statements about term insurance are true EXCEPT. Empire Company is a manufacturer of smart phones. An Insurer organized in another state than the state in which it is authorized to do business is known as which type of insurer? Whats the cheapest type of permanent insurance? States regulate the procurement of business from nonadmitted carriers by regulating the brokers who place business with these carriers. C. A husband or wife has an insurable interest in their spouse (b) tax-free exchange provision has reached its final destination and can be paid out in full. Correct: D. Department of Treasury, The Terrorism Act, which protects consumers by addressing market disruptions and ensuring the continued widespread availability and affordability of property and casualty insurance for a terrorism risk, is a administered by the Department of Treasury. 2)standard-average The penalty is 50% of the shortfall from the required annual amount. ~~~\text{Insurance expense}&\underline{8,000}&\underline{803,000}\\ (c) variable life insurance. Yes, all T-mobile insurance plans cover cracked screens.You will have to pay a deductible fee which will depend on your device model. What is the primary source of info used to determine insurability by the underwriting department? good health Premiums are taxable to the employee Benefits received are considered income taxable b. These individuals qualify for lower premiums than those in the other categories. 3. D. The face amount remains the same throughout the life of the policy. Payor benefit/Clause is always a _________. A color-coded map illustrating the current legal status of elective-specific abortion procedures in each of the individual 50 states of the United States of America; plus U.S. territories and federal district [a] As of January 31, 2023 Illegal Legally unclear or legal but no providers Legal before cardiac-cell activity [b] Legal through 15th week LMP (1st trimester) Legal through 18th week LMP . Which of the following about decreasing term insurance is true? C. Whole life (Choose from the following options) 167 views, 0 likes, 3 loves, 8 comments, 10 shares, Facebook Watch Videos from Saint Barnabas Episcopal Church Greensboro, NC: 5th Sunday after Epiphany. D) the minor in a juvenile policy. The shifting of risk of loss to a larger homogeneous group is known as what? C) purchasing family term insurance. c. Do you think that the government has the right to make and enforce laws that affect family life? It has cash value that is invested into the stock market through mutual funds/securities. (b) reduced. d) Limited pay. b) Index used by stock companies Does not pay dividends to policyowners; however, taxable dividends are paid to stockholder. C. Unilateral contract 4)Based on principle sum(rider) & capital sum(insurer) 50%, 3rd party ownership insurers issues policy to a lending institution 3) policy builds cash-value All renewable term policies are accepted without__________ and only with_____ collected. A buy-sell agreement is simply a contract that establishes what will be done with a business in the event that an owner dies. d. 10 payment whole life, Chapter 12 - Life Insurance Contractual Provi, Chapter 15 - Individual Health Insurance Cove, Fundamentals of Financial Management, Concise Edition, Marketing Essentials: The Deca Connection, Carl A. Woloszyk, Grady Kimbrell, Lois Schneider Farese. 2)premium gets lower. d) 15 years. A company that does business in another state than incorporated who is owned by policyholders who received dividends when declared and voting rights. Because the insurance company must pay claims and the insured must comply with the policy terms, the insurance contract is considered which of the following types of contracts? 3)defined benefit plans The ___________ controls all rights of the contract. Which of the families below is likely to have the least need for a large life insurance policy? -below market interest rates on borrowing Investors become more risk averse. d) Blackout approach. D) When immediate annuities are used to pay IRA benefits, distributions must begin no later than age 70 in order for the annuitant to avoid penalties. Premiums are not tax deductible as a business expense Life insurance is unique from other types of insurance in that it could perform the function of cash accumulation. Which of the following is usually true of a participating life insurance policy? Which of the following about a VUL insurance policy is (are) true? d) Graded Premium. Correct: B. Home Office- what do the underwriters do. they evaluate 4 things- what are they(4)??? (a) Interest is credited monthly to a policy's cash value. They keep a high percentage of any interest earned on their policies When a insurance company(insurer) has too many risks exposed to loss it seek another company(reinsurers) to insure them. A) loss reserves 2. -pays an additional death benefit if the insured dies from an accident (b) Any withdrawal of cash value reduces the death benefit. d) Living need rider. As her friend, you have been asked to review the income statement and make necessary corrections. When an agent collects the initial premium from the applicant, the agent should issue the applicant a. The corporation also helps detect and prevent insurer impairments. C. Domestic \text{Dividend}& 19,000& \text { Net Inc } & 65,000 \\ \end{aligned} ~~~\text{Raw materials purchases}&\$264,000\\ c) Needs approach The insurance contract is a _________ because the court will usually interpret in favor of the insured when an insurance policy is not clear. Its controller resigned in October 2017. A. b) Fixed income Most insurance policies contain a specific limit that an insurer will pay for a single claim. II. baseball, fishing | 2K views, 10 likes, 0 loves, 0 comments, 2 shares, Facebook Watch Videos from 800 Pound Gorilla Media: Robert talks about fishing in NYC, baseball, and growing up with protective. (b) current assumption whole life. A key person insurance policy can pay for which of the following? $ cant exceed indebtness. Premiums are not tax deductible as a business expense. b) Universal Life Correct: D. Represent the insured's interest, All of the following statements regarding financial rating services are correct, except. Policy Holders/Shareholders have the ability to vote for members of the board of directors or governing body of the company.. this is called their____________? Statements in the application that are guaranteed true but later found to be false may result in what? C. Premiums are tax deductible by the key employee C. Concealment What is used for the underwriting department to determine insurability? \end{array} C) A licensee cannot knowingly employ an individual who has been convicted of a felony or crime of moral turpitude within the past 10 years to act in a fiduciary capacity. Final practice questions Flashcards | Chegg.com C. Buy-Sell agreements are normally funded with a life insurance policy Everything else equal, how would the factor below affect the market value of a stock? B) The parent is responsible for the premium. An underwriter will consider each of the following factors when evaluating a risk, except: A. c) Guides describing company financial integrity A) the agent. c) An agent offers tickets to a baseball game as an inducement to buy insurance. Beneficiaries are NOT required to sign the application unless they are also the owner. 1) cash value earns interest \text{Inventory} & 201 & 505 & 905 & 52 \\ ____________ insurer is not a type of insurer. &\begin{array}{lr|rr} b) The policy will not be affected. Jul3125,500\begin{aligned} If an insurer finds that an applicant has committed fraud, it can void the contract, provided that the discovery occurs within the first two years of the effective policy date. Who gets $$money when the policy holder dies? \underline{\hspace{40pt}}. D. Speculative Risk d) The Guaranty Corporation. Applicant pays premium to make agreement. 2)Straight Life Steven prints a pamphlet to advertise his life insurance business. -Not invested in stock market O c. The policyowner has the option of investing the cash value in several investment accounts. \end{aligned} An__________ represents the insurer. d) Policy dividends. 1)Domestic Insurer 14,500 \\ B. Twisting 5)Survivorship Life Policy (policy holder pays themselves). 1)increase cash value \\ d) The insurer will sue the insured for committing fraud. 2. A life insurance license. Company A carries 1/3 of the total coverage ($20,000 + $40,000 = $60,000). An agent tells an insured that if he replaces his current insurance policy with a newer one, his dividends will be higher and his premium will be slightly lower. The correct answer is: Premiums are typically paid by the lender. &\text { Retained Earnings }\\ Daycare is considered to be among these expenses. 3)2 Death benefits-(level/increasing) What is the difference between renewable policy holder & Insurer? Weiss and Fitch are two of these services, although there are more. The cash value of availability to the policyowner Study with Quizlet and memorize flashcards containing terms like All of the following are personal uses of life insurance EXCEPT A. exclusions: when the accident occurs within an illness,disease, or mental infirmity. C. Medical Background What are (4) ways annuities are classified? d) The policy can be reinstated by paying back all policy loans and premiums. C. Hazards a) To limit the insurer's liability after the 2 year waiting period The cost of a living rider is calculated by what? C. State Education Waiver \textbf{EMPIRE COMPANY}\\ There is no limitation on the number of key employee plans in force at any one time B. Executive office Any profit realized in the operation will be used to provide dividends to stockholders as well as surplus funds that may be used as a buffer for future adverse experience. What constitutes the acceptance of an offer? Observers and analysts have attributed the reasons for the 2001-2006 housing bubble and its 2007-10 collapse in the United States to "everyone from home buyers to Wall Street, mortgage brokers to Alan Greenspan". d. _____________ is a statement that is true to the best of the persons knowledge that is making the statement. C. it is often experience-rated, with premrums based on expected losses. An insured is driving her automobile and strikes a large pothole that . C) Completing pre-licensing training. Which of the following is TRUE regarding assignment rights for . Correct: C. Concealment, A. 2)Variable annuity -the insurer sets the terms of the contract and the applicant must adhere to them. For this amount of production, total factory overhead is estimated to be $396,000.00. Insurance companies can charge an interest rate based on the policyowner's credit report. a) Consumer Privacy Act 3)substandard risk. a) Aleatory A _______ __ is the additional premium needed to get covered with high or substandard risk. \end{aligned} The following are all causes for the Insurance Commissioner to suspend or impose conditions upon the continuance of a producer's license EXCEPT 1. EMPIRECOMPANYIncomeStatementFortheMonthEndedOctober31,2017, Salesrevenue$780,000Less:OperatingexpensesRawmaterialspurchases$264,000Directlaborcost190,000Advertisingexpense90,000Sellingandadministrativesalaries75,000Rentonfactoryfacilities60,000Depreciationonsalesequipment45,000Depreciationonfactoryequipment31,000Indirectlaborcost28,000Utilitiesexpense12,000Insuranceexpense8,000803,000Netloss$(23,000)\begin{array}{lcc} All of the following are true of insurance EXCEPT It transfers risk. Why?". the underwriting process is approved for: \hline \text { Jul 31 } & 25,500 It is used to pay off the balance on the mortgage. 2)attorneys All The statements made on the application are called ______? 1) mentally incompetent persons