FL HEALTH AGENT 240 QUESTIONS & ANSWERS
An organization that transacts insurance only with its own members is a(n): - Answer -
Fraternal
The ____________ has the power to issue rules and regulations to help enforce
insurance laws. - Answer -Commissioner, Superintendent, or Director
All of the following are essential elements of a legal contract, EXCEPT: - Answer -
Representation
Which of the following manufactures and sells insurance coverage in the form of
insurance policies or contracts of insurance? - Answer -Insurance companies
The contract type in which only one party is legally bound to its contractual obligations
after a premium is paid is a(n)_______ contract. - Answer -Unilateral
A(n)____________ is the person or entity that is covered by an insurance policy. -
Answer -Insured
Fraternal insurance companies are owned by: - Answer -Members
Members of the ___________ include state and territorial insurance commissioners or
regulators. - Answer -National Association of Insurance Commissioners (NAIC)
The ___________ branch writes and passes state insurance laws, or statutes, to
protect the insuring public. - Answer -Legislative
For the most part, the highest authority for insurance regulation is: - Answer -The
individual states
An insurer which is formed under the laws of another country is a(n): - Answer -Alien
insurer
The insurance industry is primarily regulated at the _________ level. - Answer -State
The State's __________ branch enforces the existing statutes that have been put in
place. - Answer -Executive
A nonprofit corporation without capital stock formed solely for the benefit of its members
is a: - Answer -Fraternal benefit society
A life insurance applicant's answers on the application indicate that they in good health.
In fact, the applicant actually has a disease that they are not aware of. The statement
on the application is considered: - Answer -A representation
, The ___________ branch is responsible for interpreting and determining the
constitutionality of the statutes. - Answer -Judicial
_________ refers to the jurisdiction where an insurer was formed or incorporated. -
Answer -Domicile
Tom submits an application and a premium check. Six days later, the insurer issues the
policy as applied for and mails it overnight to Tom's producer. Tom picks up the policy at
his producer's office the next day. When did Tom's coverage begin? - Answer -The day
Tom submitted his application
Insurance contracts are aleatory contracts. What does "aleatory" refer to? - Answer -An
unequal exchange of value
n a legal sense, premium functions as the insured's _______. - Answer -Consideration
___________ manufacture and sell insurance coverage in the form of policies or
contracts of insurance. - Answer -Insurers
Which of the following is NOT one of the essential elements of any legal contract? -
Answer -Indemnity
An insurer that is authorized to do business in this state MUST be _____. - Answer -An
admitted insurer
Insurable interest for life insurance is necessary only at the time of: - Answer -
Application
Insurers that are incorporated in another state, but doing business in this state, are
considered: - Answer -Foreign
Stock insurance companies are owned by: - Answer -Stockholders
When it comes to life insurance, insurable interest on one's own life is: - Answer -
Unlimited
Which of the following best describes a conditional contract? - Answer -Both parties
must perform specified duties in order for the contract to be enforceable
Which principle states that an insured may be reimbursed up to the amount of the actual
loss? - Answer -Indemnity
What gives an insurer the authority to operate within this state? - Answer -A Certificate
of Authority
An organization that transacts insurance only with its own members is a(n): - Answer -
Fraternal
The ____________ has the power to issue rules and regulations to help enforce
insurance laws. - Answer -Commissioner, Superintendent, or Director
All of the following are essential elements of a legal contract, EXCEPT: - Answer -
Representation
Which of the following manufactures and sells insurance coverage in the form of
insurance policies or contracts of insurance? - Answer -Insurance companies
The contract type in which only one party is legally bound to its contractual obligations
after a premium is paid is a(n)_______ contract. - Answer -Unilateral
A(n)____________ is the person or entity that is covered by an insurance policy. -
Answer -Insured
Fraternal insurance companies are owned by: - Answer -Members
Members of the ___________ include state and territorial insurance commissioners or
regulators. - Answer -National Association of Insurance Commissioners (NAIC)
The ___________ branch writes and passes state insurance laws, or statutes, to
protect the insuring public. - Answer -Legislative
For the most part, the highest authority for insurance regulation is: - Answer -The
individual states
An insurer which is formed under the laws of another country is a(n): - Answer -Alien
insurer
The insurance industry is primarily regulated at the _________ level. - Answer -State
The State's __________ branch enforces the existing statutes that have been put in
place. - Answer -Executive
A nonprofit corporation without capital stock formed solely for the benefit of its members
is a: - Answer -Fraternal benefit society
A life insurance applicant's answers on the application indicate that they in good health.
In fact, the applicant actually has a disease that they are not aware of. The statement
on the application is considered: - Answer -A representation
, The ___________ branch is responsible for interpreting and determining the
constitutionality of the statutes. - Answer -Judicial
_________ refers to the jurisdiction where an insurer was formed or incorporated. -
Answer -Domicile
Tom submits an application and a premium check. Six days later, the insurer issues the
policy as applied for and mails it overnight to Tom's producer. Tom picks up the policy at
his producer's office the next day. When did Tom's coverage begin? - Answer -The day
Tom submitted his application
Insurance contracts are aleatory contracts. What does "aleatory" refer to? - Answer -An
unequal exchange of value
n a legal sense, premium functions as the insured's _______. - Answer -Consideration
___________ manufacture and sell insurance coverage in the form of policies or
contracts of insurance. - Answer -Insurers
Which of the following is NOT one of the essential elements of any legal contract? -
Answer -Indemnity
An insurer that is authorized to do business in this state MUST be _____. - Answer -An
admitted insurer
Insurable interest for life insurance is necessary only at the time of: - Answer -
Application
Insurers that are incorporated in another state, but doing business in this state, are
considered: - Answer -Foreign
Stock insurance companies are owned by: - Answer -Stockholders
When it comes to life insurance, insurable interest on one's own life is: - Answer -
Unlimited
Which of the following best describes a conditional contract? - Answer -Both parties
must perform specified duties in order for the contract to be enforceable
Which principle states that an insured may be reimbursed up to the amount of the actual
loss? - Answer -Indemnity
What gives an insurer the authority to operate within this state? - Answer -A Certificate
of Authority
