Chapter Exam - Life Underwriting Questions and Answers 100% Verified

A life insurance application may be rejected on the basis of all these factors EXCEPT - Gender A Medical Information Report (MIB) report may disclose which of the following: - Prior use of marijuana A statement made by an insured in an insurance application that must be true to the best of one's knowledge and which becomes a part of the contract is known as: - A representative A student pilot can pay regular premium costs for her life insurance policy with the addition of which of the following? - Aviation exclusion An incomplete life insurance application submitted to an insurer will result in which of these actions? - Application will be returned to the writing agent Any changes made on an insurance application requires the initials of whom? - Applicant At what time must a policy owner have insurable interest on the insured in order for the life policy to be valid? - At the time of application From what authority derives the requirement that an insurance application contains a disclosure stating that an investigation consumer report may be obtained on an applicant? - Fair Credit Reporting Act K is an agent who takes an application for individual life insurance and accepts a check from the client. He submit the application and check to the insurance company, however the check was never signed by the application. If the application is approved, when will coverage ve effective? - The date the agent delivered the policy, collected the initial premium, and obtained a good health statement from the insured.T applies for a life insurance policy and is told by the producer that the insurer is bound to the coverage as of the date of the application or medical examination, whichever is later. Assuming that T is an acceptable risk, what item is given to T? - Conditional receipt What is the initial source of underwriting for an insurance policy? - Application containing statements from the insured What is the purpose of a policy Summary? - It highlights the critical parts of the policy issued When a policy owner cash surrenders a Universal Life Insurance policy in it's early years, this may be considered a red flag for a(n): - Anti-Money Laundering violation Which of these factors do NOT play a role in the underwriting of a life insurance policy? - Marital status Why is an application signature required on a life insurance application? - To attest that the statements on the application are accurate to the best of the applicant's knowledge