FX Insurance Study guides, Class notes & Summaries

To be considered an insurable risk, a loss may NOT be : catastrophic Which of the following persons would be required to hold a producer license? : a nonresident agent who negotiates insurance contracts Which of the following is the oldest known type of insurance? : ocean marine The contents coverage on a homeowners policy would pay how much after the loss of one of a pair of golden candlesticks? : the difference in the actual cash value as a pair and as a single Which of the following...

The causes of loss insured against in an insurance policy are known as : Perils Before an insurer will pay any loss under a policy, what is usually required from the insured? : Proof of loss An insured works outside the home. The insured's sister lives with him and cares for his four children. When the insured's home is severely damaged by fire, the family moves into an apartment while repairs are being made. The largest apartment available in the area has two bedrooms, so the insu...

What phase begins after a new policy is delivered? : Free look period In insurance policies, the insured is not legally bound to any particular action in the insurance contract, but the insurer is legally obligated to pay losses covered by the policy. What contract element does this describe? : Unilateral What is the term used for an applicant's written request to an insurer for the company to issue a contract, based on the information provided? : application Whose responsibility is...

The causes of loss insured against in an insurance policy are known as : Perils Before an insurer will pay any loss under a policy, what is usually required from the insured? : Proof of loss An insured works outside the home. The insured's sister lives with him and cares for his four children. When the insured's home is severely damaged by fire, the family moves into an apartment while repairs are being made. The largest apartment available in the area has two bedrooms, so the insu...

A business owner was trying to obtain a bank loan to fund the purchase of a new business facility, but the bank required proof of additional assets to secure the loan. The business owner then decided to use her $250,000 life insurance policy to secure the loan. Which provision makes this possible? - ans-Collateral Assignment Which of the following would be considered a nonmedical insurance application? - ans-An application on which the medical information is completed by the applicant and...

What phase begins after a new policy is delivered? - ans-Free look period In insurance policies, the insured is not legally bound to any particular action in the insurance contract, but the insurer is legally obligated to pay losses covered by the policy. What contract element does this describe? - ans-Unilateral What is the term used for an applicant's written request to an insurer for the company to issue a contract, based on the information provided? - ans-application Whose...

Agent/Producer - ans-A legal representative of an insurance company Broker - ans-An insurance producer not appointed by an insurer and whom represents the client Insured - ans-A person covered by an insurance policy Insurance policy - ans-A legal contract between a policyowner (and/or insured) and an insurance company which agrees to pay the insured/beneficiary for losses caused by specific events Principal - ans-Insurer, company who issues insurance policies Policyowner...

The causes of loss insured against in an insurance policy are known as - ans-Perils Before an insurer will pay any loss under a policy, what is usually required from the insured? - ans-Proof of loss An insured works outside the home. The insured's sister lives with him and cares for his four children. When the insured's home is severely damaged by fire, the family moves into an apartment while repairs are being made. The largest apartment available in the area has two bedrooms, so ...

What phase begins after a new policy is delivered? - ans-Free look period In insurance policies, the insured is not legally bound to any particular action in the insurance contract, but the insurer is legally obligated to pay losses covered by the policy. What contract element does this describe? - ans-Unilateral What is the term used for an applicant's written request to an insurer for the company to issue a contract, based on the information provided? - ans-application Whose...