NC Life Insurance Study guides, Class notes & Summaries

DP-1 - Answer Basic Form Perils DP-2 - Answer Broad Perils DP-3 - Answer Special Form (All Risk Of Perils) DP Coverage A - Answer Dwellings (Direct Loss) DP Coverage B - Answer Other Structures/Appurtenants (Direct Loss) DP Coverage C - Answer Personal Property (Direct Loss) DP Coverage D - Answer Fair Rental Value (Indirect Loss) DP Coverage E - Answer Additional Living Expenses (Indirect Loss) What is the Deductible unless for Coverage D and E and Fire S...

NC Life Insurance Cash Value Money accumulation in a permanent policy which the policy owner may borrow as a policy loan or receive if the policy is surrendered before maturity. Upon maturity or endowment the cash value is paid to the policy owner. Cash value may be used as a source of supplemental income. Non- Participating Policies Insurance policies which do not pay dividends to policy owners. Participating Policies Policies that may pay annual dividends to policy owners. ...

Contract of Insurance - Answer Agreement by which the insurer is bound to pay money or its equivalent, or do some act of value to the insured upon and as an indemnity or reimbursement for the destruction, loss, or injury of something in which the party has an interest. Commissioner - Answer Commissioner of Insurance of NC or authorized designee -Heads state Department of Insurance -Responsible for fair ratemaking, injury prevention efforts, and close regulation of insurance solvency and...

The period in which illness-related disabilities are excluded from coverage. - Answer Probationary period An approach in which a certain amount of "points" are assigned to a procedure based on an amount relative to a maximum cost for similar procedures in that geographic area. - Answer Relative value approach Which type of policy allows the policyowner to renew the policy to a stated age without evidence of insurability, but allows for the insurance company to raise the premium on th...

Which of these statements concerning an individual Disability Income policy is TRUE? - Answer Normally includes an Elimination period Which health policy clause stipulates that an insurance company must attach a copy of the application to the policy to ensure that it is part of the contract? - Answer Entire contract M is insured under a basic Hospital/Surgical Expense policy. A physician performs surgery on M. What determines the claim M is eligible for? - Answer Determined by the te...

Pure Risk - Answer chance of loss or no loss but not gain insurable Speculative Risk - Answer there is possibility of loss but of gain no insurablility exposure unit - Answer subject to loss peril - Answer cause of loss life insurance - Answer death Health insurance - Answer accident and sickness hazard - Answer increases the likelihood or severity of loss Three types of hazard - Answer physical, moral, morale physical hazard - Answer arise from the inhe...

Which of the following is NOT a characteristic of universal life insurance? A Flexible death benefit B Cash account C Fixed premium D Unbundled premium - Answer C Universal life policies allow the policy owner to increase the amount of premium going into the policy and to later decrease it again. They may even skip a premium payment. The rest of the features apply to universal life policies. Which of the following would help prevent a universal life policy from lapsing? A Corridor of ...

Which of the following actions require a policyowner to provide proof of insurability in an Adjustable Life policy? - Answer ANSWER: increase face amount 2. If the Commissioner of insurance finds that a licensed person has used fraudulent, coercive, or dishonest practices or has proved to be incompetent, untrustworthy, or financially irresponsible, the law allows the Commissioner to - Answer ANSWER: suspend, revoke, or refuse to renew the agent's license 3. A Whole Life Insurance Poli...

An agent who sells an individual life insurance policy in NC MUST deliver to the policyowner - Answer A policy summary and buyer's guide All of the following actions are considered rebating EXCEPT - Answer Sharing commissions with other licensed and appointed agents What benefit does the Payor Clause on a Juvenile Life Policy provide? - Answer Premiums are waived if payor becomes disabled An agent who signs a blank contract application or policy of insurance - Answer Is guilty ...

Implied - Answer ______________ authority is established through verbalization and occurs when appropriate actions are taken to carry out the authority granted to fulfill the principal's goals. Apparant - Answer The appearance of power on behalf of the insurer through the actions or use of identifying materials by the agent, such as company advertising material, is called _____________ authority. Express - Answer ____________ authority spells out in contract form the activities that...

North Carolina Health Insurance State Exam Prep Tested Questions & Correct Answers < Already Passed!! Insured Contingent Beneficiary - ANSWER : If the insured and primary beneficiary are both killed in the same accident and it cannot be determined who died first, where are the death proceeds to be directed under the uniform Simultaneous Death Act? Reimbursement - ANSWER : Which type of policy pays benefits to a policyholder covered under a Hospital Expense policy? $25,000...