Michigan Life Insurance State Study guides, Class notes & Summaries

Twisting - Answer The act of using misrepresentation to induce an insured person to terminate an existing policy and purchase a new policy is referred to as twisting subrogation a life settlement coercion Misrepresentation - Answer Providing incorrect, misleading, incomplete, or materially untrue information in the license application is forgery coercion embezzlement misrepresentation additional premiums - Answer In the Michigan Insurance Code, Chapter 45, insuran...

What amount will be paid under a policy where the insured misstated his/her age? - Answer an amount the premium would have purchased at the correct age the acceptance of a credit life application requires the submission of a certificate of insurance to the insured within_____ days - Answer 30 days which of these is considered to be a Living benefit option in a life insurance policy - Answer Accelerated death benefit loans obtained by a policy owner against the cash value of a life...

defamation - Answer Making a statement that is false or maliciously critical of the financial condition of an insurer is known as Business overhead expense policy - Answer Which type of business insurance is meant to cover the costs of continuing to do business while the owner is disabled? the protection ends - Answer Dorian exercised a nonforfeiture option by using his life policy's cash value to purchase an extended term insurance option. When the term insurance expires, must h...

30 - Answer The acceptance of a credit life application requires the submission of a certificate of insurance to the insured within ___ days. 10 20 30 40 $10,000 - Answer Karen is a producer who has obtained personal information about a client without having a legitimate reason to do so. Under the McCarran-Ferguson Act, what is the minimum penalty for this? $0 $5,000 $10,000 $15,000 Personal income - Answer Which of these factors is NOT taken into considera...

Adhesion - Answer A contract is prepared by only the insurer. or take it or leave it basis Unilateral - Answer only one of the parties to the contract is legally bound to do anything Warranty - Answer in insurance is a statement guaranteed to be true Representation - Answer are statements that are true to the best of the applicants knowledge Liquidity - Answer refers to the availability of cash to the insured through cash values Legitimate need based expenses - Answer ...

Which of the following is NOT true regarding a Certificate of Authority? a)It may be necessary for transacting business in a specific state. b)It is equivalent to an insurance license. c)It is issued by the state department of insurance. d)It is issued to group insurance participants. - Answer d) It is issued to group insurance participants. Before insurers may transact business in a specific state, they must apply for a license or Certificate of Authority from the state department of...

A policyowner may change two policy features on what type of life insurance? - Answer Adjustable life The legal action provision in a health contract is limited to no more than ___ years. - Answer 5 Long-Term Care policies may provide coverage for claims arising from - Answer Senile dementia In group health care, what is the purpose of the coordination of benefits provision? - Answer Determines what is paid by the primary and secondary insures in the event of a claim All of t...

The Commissioner of Insurance is appointed by the Governor for a term of - Answer 4 years All of the following are examples of insurance transactions except: A. soliciting applications for insurance B. delivering policies C. licensing of producers D. collecting premiums - Answer Correct answer: C - licensing of producers A temporary license issued to close the affairs of a deceased producer may be issued for up to _____ days at the discretion of the Commissioner - Answer 180 day...

FIO - Answer (Federal Insurance Office) Monitors insurance industry and identifies issues and gaps in the state regulation of insurers. It also monitors access to affordable insurance by underserved communities and consumers. Insurance Regulation at State Level - Answer Insurance industry is regulated primarily at the state level. Legislature writes and passes laws, judicial branch interprets them. Surplus and Excess Insurance - Answer Insurance available when coverage cannot be obta...

Other names for pure life settlement - Answer -life income -life annuity What annuity settlement option produces the largest monthly income guaranteed for life? - Answer pure life settlement option second life contingency option - Answer life with period certain (ie. 10 years) so even if the annuitant does or does not die within that timeframe, insurer guarantees to continue the annuity payments to a named beneficiary for the balance of the certain period. third life contingency ...