Idaho Life Insurance Exam questions with answers

Idaho Life Insurance Exam questions
with answers

Accelerated Benefits - CORRECT ANSWERS ✔✔Riders |\ |\ |\ |\ |\ |\



attached to life insurance policies that allow death
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benefits to be used to cover nursing or convalescent
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home expenses.
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Accidental Death Benefits - CORRECT ANSWERS ✔✔A
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policy rider that states that the cause of death will be
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analyzed to determine if it complies with the policy
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description of accidental death. |\ |\ |\




Accidental Death Insurance - CORRECT ANSWERS ✔✔An
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insurance policy that provides payment if the insured's
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death is the result of the accident.
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Accumulation Period - CORRECT ANSWERS ✔✔The time |\ |\ |\ |\ |\ |\ |\



before an annuitant's retirement during which the
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annuitant is making payments or investments in an
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annuity.


Acquired Immunodeficiency Syndrome (AIDS) - CORRECT
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ANSWERS ✔✔An infections and incurable disease caused
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by the human immunodeficiency virus (HIV).
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,Actual Cash Value (ACV) - CORRECT ANSWERS ✔✔The
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required amount to pay damages or for property loss.
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This amount is calculated based on the property's current
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replacement value minus depreciation.
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Adhesion - CORRECT ANSWERS ✔✔A contract offered on a
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"take-it-or-leave-it" basis by an insurer, in which the
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insured's only option is to either accept or reject the
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contract. Any ambiguities in the contract will be settled in
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favor of the insured.
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Adjustable Life - CORRECT ANSWERS ✔✔Life insurance |\ |\ |\ |\ |\ |\ |\



that permits changed in the face amount, premium
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amount, period of protection, and the duration of the
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premium payment period. |\ |\




Adjuster - CORRECT ANSWERS ✔✔A representative of an
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insurance company who investigates and acts on behalf
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of the company to obtain agreements for the amount of
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the insurance claim.
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Administrator - CORRECT ANSWERS ✔✔An individual |\ |\ |\ |\ |\ |\



appointed by a court as a fiduciary to settle the financial
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affairs and estate of a deceased person.
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,Admitted (Authorized) Insurer - CORRECT ANSWERS
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✔✔An insurance company authorized and licensed to
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transact business in a particular state.
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Adult Day Care - CORRECT ANSWERS ✔✔A program for
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impaired adults that attempts to meet their health, social,
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and functional needs in a setting away from their homes.
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Adverse Selection - CORRECT ANSWERS ✔✔The tendency
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of risks with higher probability of loss to purchase and
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maintain insurance more often than the risks who present
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lower probability.
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Agency - CORRECT ANSWERS ✔✔An insurance sales
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office or company.
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Agent - CORRECT ANSWERS ✔✔An individual who is
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licensed to sell, negotiate, or effect insurance contracts
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on behalf of the insurer.
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Agent Appointment - CORRECT ANSWERS ✔✔The
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authorization of an agent to act for or represent an |\ |\ |\ |\ |\ |\ |\ |\ |\ |\



insurer.

, Agent's Authority - CORRECT ANSWERS ✔✔Special
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powers granted to an agent by his or her agency
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contract.


Aleatory - CORRECT ANSWERS ✔✔A contract in which
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participating parties exchange unequal amounts. |\ |\ |\ |\ |\



Insurance contracts are aleatory in that the amount the
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insured will pay in premiums is unequal the the amount
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the insurer will pay in the event of a loss.
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Alien Insurer - CORRECT ANSWERS ✔✔An insurance
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company that is incorporated outside the United States.
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Annual Statement - CORRECT ANSWERS ✔✔A detailed
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financial report that an insurance company must submit
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every year to the insurance department of state in which
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it conducts business.
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Annuity - CORRECT ANSWERS ✔✔A contract that provides
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income for a specified period of years, or for life.
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Apparent Authority - CORRECT ANSWERS ✔✔The |\ |\ |\ |\ |\ |\



appearance of the assumption of authority based on the |\ |\ |\ |\ |\ |\ |\ |\ |\



actions, words, or deeds of the principal or because of
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circumstances of the principal created. |\ |\ |\ |\