Exam (elaborations)
EXAM FX - WISCONSIN LIFE EXAM 2024/2025 WITH 100% ACCURATE SOLUTIONS
- Course
- Institution
EXAM FX - WISCONSIN LIFE EXAM 2024/2025 WITH 100% ACCURATE SOLUTIONS
[Show more]
Content preview
EXAM FX - WISCONSIN LIFE EXAM 2024/2025 WITH 100% ACCURATE SOLUTIONSagent/producer - Precise Answer ✔✔legal representative of insurance
company
Applicant or proposed insured - Precise Answer ✔✔a person applying
for insurance
beneficiary - Precise Answer ✔✔one who receives benefits of insurance
policy
Death Benefit - Precise Answer ✔✔The amount payable upon the death
of the person whose life is insured.
insurance policy - Precise Answer ✔✔a written contract between the
insured and an insurance company that promises to pay for all or part of
a loss
Insured - Precise Answer ✔✔the person or business for which the
insurer assumes the risk
Insurer (principal) - Precise Answer ✔✔the company who issues an
insurance policy
,life insurace - Precise Answer ✔✔coverage that pays the amount of
money to the business in the case of the owners death
Policyowner - Precise Answer ✔✔the person entitled to exercise the
rights and privileges in the policy
Premium - Precise Answer ✔✔A specific sum of money paid by the
insured to the insurance company in exchange for financial protection
against loss.
Reciprocity - Precise Answer ✔✔a mutual interchange of rights and
privileges
insurance is a _________ of risk - Precise Answer ✔✔transfer
risk - Precise Answer ✔✔The chance of loss from an event that cannot
be entirely controlled
Pure Risk - Precise Answer ✔✔A situation in which there are only the
possibilities of loss or no loss
Speculative Risk - Precise Answer ✔✔Chance of loss or gain
only _________ risks are insurable - Precise Answer ✔✔pure
,exposure - Precise Answer ✔✔A unit of measure used to determine
rates charged for insurance coverage.
4 factors considered in determining rates - Precise Answer ✔✔age of
insured, medical history, occupation, sex
homogeneous - Precise Answer ✔✔a large number of units having the
same or similar exposure to loss
Hazards - Precise Answer ✔✔Conditions or situations that increase the
probability of an insured loss occurring.
Physical Hazard - Precise Answer ✔✔individual characteristics that
increase the chances of the cause of loss (physical conditions - past
medical history, condition at birth etc)
Moral Hazard - Precise Answer ✔✔the tendency for people to behave in
a riskier way or to renege on contracts when they do not face the full
consequences of their actions. Involves evaluating the character and
reputation of the proposed insured
Morale Hazard - Precise Answer ✔✔A condition of carelessness or
indifference that increases the frequency or severity of loss.
peril - Precise Answer ✔✔causes of loss insured against in an insurance
policy
, health insurance - Precise Answer ✔✔Insurance that covers medical
illness or injury.
Property Insurance - Precise Answer ✔✔insures against the loss of
physical property or the loss of its income-producing abilities
Casualty Insurance - Precise Answer ✔✔Insurance that provides
monetary benefits to a business that has experienced an unforeseen peril
such as flood, fire, etc.
loss - Precise Answer ✔✔The reduction, decrease, or disappearance of
value of the person or property insured in a policy, by a named peril
insured against.
a ___________ is a chance that a loss will occur, a ________ increases
the probability od a loss, a ______ is the cause of a loss - Precise
Answer ✔✔risk, hazard, peril
Avoidance - Precise Answer ✔✔eliminating exposure to a loss
retention - Precise Answer ✔✔Planned assumption of risk by an insured
through the use of deductibles, co-payments, or self-insurance.
Purpose of retention - Precise Answer ✔✔1) reduce expenses
2) increase control of claim reserving hand claims settlements
The benefits of buying summaries with Stuvia:
Guaranteed quality through customer reviews
Stuvia customers have reviewed more than 700,000 summaries. This how you know that you are buying the best documents.
Quick and easy check-out
You can quickly pay through credit card or Stuvia-credit for the summaries. There is no membership needed.
Focus on what matters
Your fellow students write the study notes themselves, which is why the documents are always reliable and up-to-date. This ensures you quickly get to the core!
Frequently asked questions
What do I get when I buy this document?
You get a PDF, available immediately after your purchase. The purchased document is accessible anytime, anywhere and indefinitely through your profile.
Satisfaction guarantee: how does it work?
Our satisfaction guarantee ensures that you always find a study document that suits you well. You fill out a form, and our customer service team takes care of the rest.
Who am I buying these notes from?
Stuvia is a marketplace, so you are not buying this document from us, but from seller YANCHY. Stuvia facilitates payment to the seller.
Will I be stuck with a subscription?
No, you only buy these notes for $16.49. You're not tied to anything after your purchase.
Can Stuvia be trusted?
4.6 stars on Google & Trustpilot (+1000 reviews)
78252 documents were sold in the last 30 days
Founded in 2010, the go-to place to buy study notes for 14 years now