Illinois State Health Exam

What phase begins after a new policy is delivered? - Answer- Free-Look Period. This period allows the insured to review the policy and return it for a refund of the premium within a certain time interval. Which of the following protects consumers against the circulation of inaccurate or obsolete personal or financial information? - Answer- The Fair Credit Reporting Act Ensures that consumer reporting agencies are fair and equitable in their treatment of consumers. Which of the following can legally bind coverage? - Answer- Insurer Only insurers, not agents, can bind coverage Which of the following is a statement that is guaranteed to be true, and if untrue, may breach an insurance contract? - Answer- Warranty A WARRANTY IS GUARANTEED TO BE TRUE. Which of the following reports will provide the underwriter with the information about an insurance applicant's credit? - Answer- Consumer Report Consumer reports include info about credit, character, reputation, or other habits collected by a reporting agency The insurance policy, together with the policy application and any added riders from what is known as - Answer- Entire Contract When a policy is issued, a copy of the application, any riders and amendments are attached to the back of the policy and become part of the entire contract To comply with Fair Credit Reporting Act, when must a producer notify an applicant that a credit report may be requested? - Answer- At the time of the application A notice to the applicant must be issued to all applicants for health insurance coverage If a consumer requests additional information concerning an investigative consumer report, how long does the insurer or reporting agency have to comply? - Answer- 5 days Consumers must be advised that they have the right to request additional information concerning investigative consumer reports, and the insurer or reporting agency has 5 days to provide