Exam (elaborations)
AD Banker Comprehensive Exam Questions And Correct Answers
- Course
- Institution
AD Banker Comprehensive Exam Questions And Correct Answers ...
[Show more]
Content preview
AD Banker Comprehensive Exam Questions AndCorrect Answers 2025-2026
A producer who is acting as an agent is representing:
A
The insured, the applicant and the beneficiary
B
Always the insured
C
The insured and the insurer
D
Always the insurer - ANSWER D
For a contract to be valid, it must be between individuals considered legally able to
enter into an agreement. This is referred to as:
A
Restricted persons
B
Considerations
C
Competent parties
D
Agreement - ANSWER C
An insurance company that is licensed to sell insurance in a particular state is:
A
,A domiciled company
B
A nonadmitted company
C
An admitted company
D
A foreign company
An insurance company that is licensed to sell insurance in a particular state is: -
ANSWER C
An insurance contract is an aleatory contract. This means:
A
The contract need not have equal value be given by both parties to the contract
B
The contract must be for a legal purpose
C
Parties to the contract must have the legal capacity to enter into the contract
D
Statements in the application are warranted to be true in every respect - ANSWER A
Which of the following would be a speculative risk?
A
The chance your car is totaled in an auto accident
B
The chance the painting you purchased could be a long lost masterpiece
C
The chance you will die on the job at a young age
,D
The chance you will become disabled - ANSWER B
Which of the following is the correct term for an insurance company that is owned by its
policyowners?
A
A charitable insurance company
B
A reciprocal insurance company
C
A domestic insurance company
D
A mutual insurance company - ANSWER D
All of the following are elements of a contract, except:
A
Offer and acceptance
B
Legal purpose
C
Authority
D
Consideration - ANSWER C
Each of the following would be an element in the definition of fraud, except:
A
A false statement on the application that is material to the acceptance of the risk
, B
Withholding of known material facts
C
Intentional material misrepresentation with the intent of causing injury to another party
D
An applicant guarantees a fact stated on the application - ANSWER D
From the legal point of view, an agent has a __________ responsibility when handling life
insurance premiums and applications for an insurance company.
A
Fiduciary
B
Undisputed
C
Negotiated
D
Professional - ANSWER A
_________ is the state where an insurance company was established or incorporated.
A
Licensed
B
Approved
C
Domicile
D
Admitted - ANSWER C
To offset adverse selection what may an insurer legally do?
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 Easton. Stuvia facilitates payment to the seller.
Will I be stuck with a subscription?
No, you only buy these notes for $12.99. You're not tied to anything after your purchase.
Can Stuvia be trusted?
4.6 stars on Google & Trustpilot (+1000 reviews)
50843 documents were sold in the last 30 days
Founded in 2010, the go-to place to buy study notes for 14 years now