Alabama Insurance COMPILED PACKAGE DEAL EXAMS GRADED A+

a predetermined limit. - Insurance is a method risk is transferred to an insurer for consideration up to 1. spouses in each other 2. parents in their children 3. creditors in their debtors - Which of the following would be considered proper establishment of insurable interest in the life insura...

Which welfare program provides assistance to the needy? - Medicaid Barbara has the right to change the beneficiary designation on her life insurance policy. Barbara's beneficiary is a(n): - revocable beneficiary Within how many calendar days must all clean electronic health insurance claims be p...

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 - Pro Rata Basis What is the term used to describe terminating the insurance relationship at the end of the policy period ? a. cancellation ...

Binders (27-14-18) - A binder is an instrument designed to provide immediate, temporary insurance coverage. Binders can be either written or oral. In the state of Alabama, how long are binders valid? - 90 days or until a policy is issued. Whichever is less In the state of Alabama, if a policy ha...

Insurance - The transfer of risk through a legal contract Property - Covers real property and personal property against damage or loss resulting from covered causes of loss called perils. Casualty - Covers non-property loss (by a 3rd party) Personal Lines - Insurance coverages intended to protec...

Abandonment - an attempt by an insured to receive full value for a partially damaged item by offering the damaged property to the insurance company. The company is under no obligation to pay for abandoned property. Absolute Liability - A tort law concept in which an individual can be found legall...

2 reasons - No Flood - Catastophic, adverse selection Watercraft Policy - Open cockpit, 26 feet or less in length Absolute Liabilty - Strong Liklihood of harming others Intervening Cause - Disruption in chain of events Negligence - LBPD - Legal Duty Owed, Breach of Legal Duty, Proximate Cause, a...

An incorporated insurance company which is run by a board of directors is known as - 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 and that a poli...

Which of the following would be considered a speculative risk? - 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 choices describe pur...

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