MS LIFE AND HEALTH 2026 REVISION PAPER
QUESTIONS AND ANSWERS SURE A+
✔✔Experience rating - ✔✔Review of the previous year's claims experience for a group
insurance contract in order to
establish premiums for the next period.
✔✔Express authority - ✔✔The specific authority given in writing to the agent in the
contract of agency
✔✔Extended term insurance - ✔✔Nonforfeiture option providing for the cash surrender
value of a policy to be used as a
net single premium at the insured's attained age to purchase term insurance for the face
amount of the policy, less
indebtedness, for as long a period as possible, but no longer than the term of the
original policy.
✔✔Extra percentage tables - ✔✔Mortality or morbidity tables indicating the percentage
amount increase of premium for
certain impaired health conditions.
✔✔Face amount C - ✔✔Commonly used to refer to the principal sum involved in the
contract. The actual amount
payable may be decreased by loans or increased by additional benefits payable under
specified conditions or stated
in a rider
✔✔Facility-of-payment provision - ✔✔Clause permitted under a uniform health
insurance policy provision allowing the
company to pay up to $ of benefits or proceeds to any relative appearing entitled to it if
there is no beneficiary or if
the insured or beneficiary is a minor or legally incompetent
, ✔✔Fair Credit Reporting Ad - ✔✔Federal law requiring an individual to be informed if
she is being investigated
by an inspection company.
✔✔Family plan policy - ✔✔Entire-family plan of protection, usually with permanent
insurance on the primary wage
earnerslife and with spouse and children automatically covered for lesser amounts of
protection, usually term, all
included for one premium.
✔✔FICA - ✔✔Contributions made by employees and employers to fund Social Security
benefits (OASDI).
✔✔Fiduciary - ✔✔Person in a position of special trust and confidence (e.g., in handling
or supervising affairs or funds of
another).
✔✔Final expense fund - ✔✔Basic use for life insurance; reserve to cover costs of last
illness, burial, legal and
administrative expenses, miscellaneous outstanding bills, and so on. Also called
cleanup fund.
✔✔Fixed-amount settlement option - ✔✔A life insurance settlement option whereby the
beneficiary instructs that
proceeds be paid in regular installments of a fixed dollar amount. The number of
payment periods is determined
by the policy'sface amount, the amount of each payment, and the interest earned.
✔✔Fixed annuity - ✔✔A type of annuity that provides a guaranteed fixed benefit
amount, payable for the life of the
annuitant.
✔✔Fixed-period settlement option - ✔✔A life insurance settlement option in which the
number of payments is
fixed by the payee, with the amount of each payment determined by the amount of
proceeds.
✔✔Flat deductible - ✔✔Amount of covered expenses payable by the insured before
medical benefits are payable.
✔✔Foreign insurer - ✔✔Company operating in a state in which it is not chartered and in
which its home office is not
located.
QUESTIONS AND ANSWERS SURE A+
✔✔Experience rating - ✔✔Review of the previous year's claims experience for a group
insurance contract in order to
establish premiums for the next period.
✔✔Express authority - ✔✔The specific authority given in writing to the agent in the
contract of agency
✔✔Extended term insurance - ✔✔Nonforfeiture option providing for the cash surrender
value of a policy to be used as a
net single premium at the insured's attained age to purchase term insurance for the face
amount of the policy, less
indebtedness, for as long a period as possible, but no longer than the term of the
original policy.
✔✔Extra percentage tables - ✔✔Mortality or morbidity tables indicating the percentage
amount increase of premium for
certain impaired health conditions.
✔✔Face amount C - ✔✔Commonly used to refer to the principal sum involved in the
contract. The actual amount
payable may be decreased by loans or increased by additional benefits payable under
specified conditions or stated
in a rider
✔✔Facility-of-payment provision - ✔✔Clause permitted under a uniform health
insurance policy provision allowing the
company to pay up to $ of benefits or proceeds to any relative appearing entitled to it if
there is no beneficiary or if
the insured or beneficiary is a minor or legally incompetent
, ✔✔Fair Credit Reporting Ad - ✔✔Federal law requiring an individual to be informed if
she is being investigated
by an inspection company.
✔✔Family plan policy - ✔✔Entire-family plan of protection, usually with permanent
insurance on the primary wage
earnerslife and with spouse and children automatically covered for lesser amounts of
protection, usually term, all
included for one premium.
✔✔FICA - ✔✔Contributions made by employees and employers to fund Social Security
benefits (OASDI).
✔✔Fiduciary - ✔✔Person in a position of special trust and confidence (e.g., in handling
or supervising affairs or funds of
another).
✔✔Final expense fund - ✔✔Basic use for life insurance; reserve to cover costs of last
illness, burial, legal and
administrative expenses, miscellaneous outstanding bills, and so on. Also called
cleanup fund.
✔✔Fixed-amount settlement option - ✔✔A life insurance settlement option whereby the
beneficiary instructs that
proceeds be paid in regular installments of a fixed dollar amount. The number of
payment periods is determined
by the policy'sface amount, the amount of each payment, and the interest earned.
✔✔Fixed annuity - ✔✔A type of annuity that provides a guaranteed fixed benefit
amount, payable for the life of the
annuitant.
✔✔Fixed-period settlement option - ✔✔A life insurance settlement option in which the
number of payments is
fixed by the payee, with the amount of each payment determined by the amount of
proceeds.
✔✔Flat deductible - ✔✔Amount of covered expenses payable by the insured before
medical benefits are payable.
✔✔Foreign insurer - ✔✔Company operating in a state in which it is not chartered and in
which its home office is not
located.
