7/23/25, 9:25 AM Exam Fx Ca life and Health EXAM Questions and Answers (A+ Solution guide) (2025) Questions And Answers Solved 100% Corre…
Exam Fx Ca life and Health EXAM Questions and
Answers (A+ Solution guide) (2025) Questions
And Answers Solved 100% Correct!!
Save
Terms in this set (361)
Contract whereby one undertakes to indemnify
Insurance another against loss, damage, or liabilty arising from a
unknown event.
Any person capable of making a contract; subject to
Insurer
restrictions imposed by the CA insurance code.
Chance of loss and potential for gain. This risk is not
Speculative risk
insurable.
Hazard Increase the risk.
The more similar risks the better they can guess
Law of Large numbers approx. how many losses they have in a given time
period.
Loss exposure Situation the presents the possibility of a loss
Doctrine of upmost good That all parities to the contract can rely upon
faith states statements of other parties.
Policy Written instrument in witch a contract is set forth
Premium Amount insured paid to the insurer for coverage.
Rate Price of insurance for each exposure unit
Rate Cost per exposure unit
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How to determine the Multiply the rate by the number of exposure units
amount the insured will purchased.
pay
Statement of fact in a policy of a matter relating to the
express warranty
person/thing insured
Warranty May be expressed or applied
Implied warranty Representation in an insurance contract
May be oral /written may be made @ time of/before
Representation pt1
the insurance policy
Representation is false Facts fail to correspond with its stipulations
when
False representation on a May subject the insured to perjury
signed claim
Party fails to communicate that witch a party knows
Concealment and ought to communicate so the other party can
make a sound decision
Concealment intentional / Entitles the injured party to rescind the contract.
unintentional
Void or cancel policy flat by returning all premiums to
Rescind a policy the insured. It is as if the policy never existed no
coverage applies.
Insurance applicant Individual who is applying to purchase insurance
Immediate estate upon death of insured in that the
Life insurance creates a
death benefit will be paid to the beneficiary
Insurable Interest Must exist @ time if application
Is used by a business to protect itself on case a
Key person life insurance valued employee dies. Death Benefit is paid to the
company to hire and train replacement.
Key person life insurance Deductible but benefits are not taxable
is tax
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,7/23/25, 9:25 AM Exam Fx Ca life and Health EXAM Questions and Answers (A+ Solution guide) (2025) Questions And Answers Solved 100% Corre…
Purchasing life insurance Is a business use not personal use
to fund a buy/sell
agreement
Under CIC all ads, policies Term life insurance monetary value index
for certificates of term life
sold to those 55 yrs + must
include a
In event of an adverse Provide a individual with the specific reason for the
underwriting decision the decision and a summary of his/her rights.
insurer or agent must
Preferred Risk Exceptional body no health issues. Lowest risk
Preferred risk provides the As they pose the least risk to insurer
lowest premium
Is a source that gives past medical history of clients as
MIB (medical info bureau)
reference to agent/underwriter
Medical info bureau Medical impairments found during underwriting
required to report process
National standards for the use and disclosure of
HIPPA rules establish
protected health information
Life insurance policies do Pre existing conditions
not contain a probationary
period for
Applicant reveals medical attending physician report
conditions that require
more info insurer will
require
Must have signed Request attending physician report
authorization to
Comes from the insurer expenses portion of premium
Agents commission
charges
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, 7/23/25, 9:25 AM Exam Fx Ca life and Health EXAM Questions and Answers (A+ Solution guide) (2025) Questions And Answers Solved 100% Corre…
Employees covered by Receive certificates of insurance as their proff of
group policy coverage
WET Whole , endowment , term insurance
Whole Life Insurance aka Continuous premium whole life insurance
A life insurance policy that allows the policy owner to
Variable life
self direct cash values into different sub accounts
Regulated by the state department of insurance and (
Variable life SEC) securities and exchange commission since they
meet the definition of a securities product
Variable / universal life No fixed guaranteed rate of return
Provides life insurance for an entire family and allows
Family life policy the children to convert from term to whole life w/out
a physical
Consists of whole life coverage on one spouse and
Family life insurance
level convertible term on other spouse and children
Is added to a juvenile life policy it will waive the
Payor benefit rider premium if guardian dies until a certain age ( usually
21)
Covers multiple lives and pays out when the first
Joint life policy
insured dies
Offers premiums that are quite low compared to
separate policies; well situated to meet the need for
Survivorship life insurance
cash to cover estate taxes; face amounts are usually
more then 1 million
Annually renewable term Has level face amount but and increasing premium
Used to pay off and outstanding Mortgage upon
Decreasing life insurance
death of borrower
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Exam Fx Ca life and Health EXAM Questions and
Answers (A+ Solution guide) (2025) Questions
And Answers Solved 100% Correct!!
Save
Terms in this set (361)
Contract whereby one undertakes to indemnify
Insurance another against loss, damage, or liabilty arising from a
unknown event.
Any person capable of making a contract; subject to
Insurer
restrictions imposed by the CA insurance code.
Chance of loss and potential for gain. This risk is not
Speculative risk
insurable.
Hazard Increase the risk.
The more similar risks the better they can guess
Law of Large numbers approx. how many losses they have in a given time
period.
Loss exposure Situation the presents the possibility of a loss
Doctrine of upmost good That all parities to the contract can rely upon
faith states statements of other parties.
Policy Written instrument in witch a contract is set forth
Premium Amount insured paid to the insurer for coverage.
Rate Price of insurance for each exposure unit
Rate Cost per exposure unit
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,7/23/25, 9:25 AM Exam Fx Ca life and Health EXAM Questions and Answers (A+ Solution guide) (2025) Questions And Answers Solved 100% Corre…
How to determine the Multiply the rate by the number of exposure units
amount the insured will purchased.
pay
Statement of fact in a policy of a matter relating to the
express warranty
person/thing insured
Warranty May be expressed or applied
Implied warranty Representation in an insurance contract
May be oral /written may be made @ time of/before
Representation pt1
the insurance policy
Representation is false Facts fail to correspond with its stipulations
when
False representation on a May subject the insured to perjury
signed claim
Party fails to communicate that witch a party knows
Concealment and ought to communicate so the other party can
make a sound decision
Concealment intentional / Entitles the injured party to rescind the contract.
unintentional
Void or cancel policy flat by returning all premiums to
Rescind a policy the insured. It is as if the policy never existed no
coverage applies.
Insurance applicant Individual who is applying to purchase insurance
Immediate estate upon death of insured in that the
Life insurance creates a
death benefit will be paid to the beneficiary
Insurable Interest Must exist @ time if application
Is used by a business to protect itself on case a
Key person life insurance valued employee dies. Death Benefit is paid to the
company to hire and train replacement.
Key person life insurance Deductible but benefits are not taxable
is tax
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,7/23/25, 9:25 AM Exam Fx Ca life and Health EXAM Questions and Answers (A+ Solution guide) (2025) Questions And Answers Solved 100% Corre…
Purchasing life insurance Is a business use not personal use
to fund a buy/sell
agreement
Under CIC all ads, policies Term life insurance monetary value index
for certificates of term life
sold to those 55 yrs + must
include a
In event of an adverse Provide a individual with the specific reason for the
underwriting decision the decision and a summary of his/her rights.
insurer or agent must
Preferred Risk Exceptional body no health issues. Lowest risk
Preferred risk provides the As they pose the least risk to insurer
lowest premium
Is a source that gives past medical history of clients as
MIB (medical info bureau)
reference to agent/underwriter
Medical info bureau Medical impairments found during underwriting
required to report process
National standards for the use and disclosure of
HIPPA rules establish
protected health information
Life insurance policies do Pre existing conditions
not contain a probationary
period for
Applicant reveals medical attending physician report
conditions that require
more info insurer will
require
Must have signed Request attending physician report
authorization to
Comes from the insurer expenses portion of premium
Agents commission
charges
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, 7/23/25, 9:25 AM Exam Fx Ca life and Health EXAM Questions and Answers (A+ Solution guide) (2025) Questions And Answers Solved 100% Corre…
Employees covered by Receive certificates of insurance as their proff of
group policy coverage
WET Whole , endowment , term insurance
Whole Life Insurance aka Continuous premium whole life insurance
A life insurance policy that allows the policy owner to
Variable life
self direct cash values into different sub accounts
Regulated by the state department of insurance and (
Variable life SEC) securities and exchange commission since they
meet the definition of a securities product
Variable / universal life No fixed guaranteed rate of return
Provides life insurance for an entire family and allows
Family life policy the children to convert from term to whole life w/out
a physical
Consists of whole life coverage on one spouse and
Family life insurance
level convertible term on other spouse and children
Is added to a juvenile life policy it will waive the
Payor benefit rider premium if guardian dies until a certain age ( usually
21)
Covers multiple lives and pays out when the first
Joint life policy
insured dies
Offers premiums that are quite low compared to
separate policies; well situated to meet the need for
Survivorship life insurance
cash to cover estate taxes; face amounts are usually
more then 1 million
Annually renewable term Has level face amount but and increasing premium
Used to pay off and outstanding Mortgage upon
Decreasing life insurance
death of borrower
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