ALABAMA INSURANCE EXAM BUNDLE 2024

Peril Types associated with accident and health insurance - correct answer sickness accidental injury sickness - correct answer first deems itself when policy is in force accidental injury - correct answer Unforeseen and unintended injury that resulted from an accident rather than a sickness ...

Pure - correct answer Insurance is defined as the transfer of ______________ risk to the insurance company in consideration for a premium. Pure Risk - correct answer The chance of loss without any chance of gain is called ___________ Speculative Risk - correct answer has the possibility for ga...

Insurance is defined as the transfer of ______________ risk to the insurance company in consideration for a premium. - correct answer Pure The chance of loss without any chance of gain is called ___________ - correct answer Pure Risk has the possibility for gain or loss and is not insurable. -...

Which welfare program provides assistance to the needy? - correct answerMedicaid Barbara has the right to change the beneficiary designation on her life insurance policy. Barbara's beneficiary is a(n): - correct answerrevocable beneficiary Within how many calendar days must all clean electron...

An incorporated insurance company which is run by a board of directors is known as - correct answer a capital-stock company Which of the following statements is true regarding a binder? a. a binder guarantees that a policy will be issued by the insurance company. b. a binder guarantees coverage...

What is a Mutual Company? - correct answer A mutual insurance company is an insurance company owned entirely by its policyholders. Any profits earned by a mutual insurance company are either retained within the company or rebated to policyholders in the form of dividend distributions or reduced futu...

Which of the following would be considered a speculative risk? - correct answer The possibility the painting you bought might be a long-lost masterpiece A speculative risk is one in which there is a chance for either loss or gain. Example: Gambling, Casino's, Lottery, etc. All of the other choic...

If a company cancels an auto policy mid term, the refund will be made on a. pro rata basis b. short rate basis c. retroactive basis d. coinsurance basis - correct answerPro Rata Basis What is the term used to describe terminating the insurance relationship at the end of the policy period ?...

If a company cancels an auto policy mid term, the refund will be made on a. pro rata basis b. short rate basis c. retroactive basis d. coinsurance basis - correct answer Pro Rata Basis What is the term used to describe terminating the insurance relationship at the end of the policy period ...

What is a hazard? Answer - an increase in the possibility that a loss might occur transfer risk from a person or business to an insurance company that agrees to to pay for losses in exchange for a premium. Answer - insurance The type of insurance company in which the policyholder is considered...