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NYS Life Insurance License 2024/2025 A+ score assured (100% verified)
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NYS Life Insurance License 2024/2025 A+ score assured (100% verified)
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NYS Life Insurance LicenseInsurance - ANSA contract whereby one party (insurer) agrees to indemnify or guarantee
another party (insured) against a loss by a specified future contingency or peril in return for
payment of a premium.
Risk - ANSUncertainty as to the outcome of an event whentwo or more possibilities exist
Three types of hazards - ANSPhysical, Moral, Morale
peril - ANSthe cause of a possible loss
Elements of insurable risk - ANSLoss must be (1) due to chance, (2) definite and
measurable, (3) statistically predictable, (4) not catastrophic, (5) with large loss exposure,
and (6) insurance cannot be mandatory
The difference between an authorized/admitted and unauthorized/non-admitted insurer -
ANSAnd admitted or authorizing insurer is qualified and receives a certificate of authority
from the Department of insurance to transact insurance in the state. A nonadmitted or an
authorized insurer is an insurance company that has not applied for or has been denied a
certificate of authority and may not transact insurance
The difference between domestic, foreign and alien insurance companies - ANSDomestic
insurer is incorporated in this state. A foreign insurer is incorporated in another state. A alien
insurer is incorporated outside of the United States
Three types of agent authority - ANSExpress, a parent, and implied
Four elements of an insurance contract - ANSAgreement - offer and acceptance,
consideration, competent parties, and legal purpose
indemnify - ANSTo "restore" an insured to the same financial status as before the loss
Representation and how it differs from a warranty - ANSRepresentations are statements
believed to be true to the best of one's knowledge. A warranty is an absolutely true
statement upon which the validity of the insurance policy depends.
Insurable interest - when it should exist - ANSInsurable interest must exist between the
policy owner and the insured at the time of application (or the time of policy issue), but not at
the time of loss
Common personal uses of life insurance - ANSSurvivor protection, estate creation and
conservation, cash accumulation, and liquidity
, Needs approach - ANSThe needs approach is based on the predicted needs of the family
after the premature death of the insured
The purpose of key person insurance - ANSTo minimize the risk of a financial loss because
of premature death of a key employee that has specialize knowledge, skills, or business
contacts
Insurance solicitation - ANSSolicitation of insurance means an attempt to persuade a person
to buy an insurance policy, and can be done verbally or in writing
The person responsible for all written and distributed insurance advertisements - ANSThe
insurer whose policies are advertise is responsible for all of its advertisements, regardless of
who wrote, creative, presented, or distributed them.
The steps a producer must complete when replacing an existing policy - ANSGive applicant
a notice regarding replacement, obtain a list of all existing life insurance policies to be
replaced, give the applicant the original or a copy of written or printed communications used
for presentation to the applicant, and submit to the replacing insurance company, with the
application, a copy of replacement notice
Underwriting - ANSrisk selection and classification process
Information gathered in parts one and two of the application - ANSPart one of the application
includes general questions about the applicant, including name, age, address, birthdate,
gender, income, marital status, and occupation. Part two includes medical information about
prospective insured
The purpose of an agents report - ANSThe agents/producers report is used by the agent to
discuss his or her personal observations concerning the proposed insured.
Who is required to sign an application for life insurance? - ANSBoth the agent and the
proposed insured (usually the applicant) must sign the application
When does an insurance policy go in effect? - ANSThe policy will go into effect when the first
premium is paid and the policy has been delivered
How can an insurance company use the information in obtains from the MIB? - ANSIt can
use MIB information to conduct further investigations into an applicants current insurability.
How does a substandard risk policy differ from a standard risk? - ANSSubstandard risk
applicants are not acceptable at standard rates because of physical conditions, personal or
family history of disease, occupation, or dangerous habits. These policies could be used with
the premium rated-up.
What are the three factors that determine the premium for a particular policy? - ANSMorality,
interest earnings, and expenses
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