Divisible surplus - Study guides, Class notes & Summaries

What is the primary purpose of a rating service company such as A.M Best? - Ans: Determine financial strength of an insurance company What is considered to be the primary reason for buying life insurance? - Ans: Provide death benefits Which of the following is NOT considered advertising? - Ans: A rating from a rating service company, such as A.M. Best A plan in which an employer pays insurance benefits from a fund derived from the employer's current revenues is called - Ans: A self-f...

To determine financial strength of an insurance company - Primary purpose for a rating service company such as A.M best? Provide death benefits - Primary reason for buying life insurance? Liquidity - What is described as an insurers ability to make unpredictable payouts to its policy owners? Self-Funded Plan - What is described as a plan in which an employer pays insurance benefits from a fund derived from the employers current revenue? Nonparticipating policy -Which policy will not pay d...

a nonparticipating company is sometimes called a - Answer-stock insurer Fraternal Benefit Society has each other the following characteristics except - Answer-exist for profit The Fair Credit and Reporting Act's main purpose is to - Answer-protect consumers with guidelines regarding credit reporting and distribution A life insurance company has transferred some of its risk to another insurer. The insurer assuming the risk is called the - Answer-reinsurer What kind of life insurance ...

Which of the following describes a participating life insurance policy? - Ans: A participating life policy is one in which the policyowner receives dividends deriving from the company's divisible surplus What type of reinsurance contract between two insurers involves an automatic sharing of the risks assumed? - Ans: Under treaty reinsurance, each party automatically accepts specific percentages of the insurer's business. At what point must a life insurance applicant be informed of th...

Excel Solutions Chapter 1 Exam- Basic Principles of Life and Health Insurance and Annuities Practice Questions and Answers Graded A+ Fraternal Benefit Society has each of the following characteristics EXCEPT? Incorporated Without capital stock Exists for profit Exists for the benefit of its members - Correct Answer ️️ -Exists for profit(Fraternal benefit societies are not-for-profit entities which exist for the benefit of their members) The Fair Credit and Reporting Act's main purp...

XCEL SOLUTIONS: Georgia Life-Only Pre-Licensing Questions and Answers 100% Pass When a policy pays dividends to its policyholders, it is said to be -profitable -mutual -nonparticipating -participating - Correct Answer ️️ --Participating A participating policy is one in which insurance policies pay out dividends to the policyholders. A nonprofit incorporated society that does not have capital stock and operates for the sole benefit of its members is known as: -a fraternal benefit s...

XCEL SOLUTIONS: Georgia Life-Only Pre-Licensing Questions and Answers 100% Pass When a policy pays dividends to its policyholders, it is said to be -profitable -mutual -nonparticipating -participating - Correct Answer ️️ --Participating A participating policy is one in which insurance policies pay out dividends to the policyholders. A nonprofit incorporated society that does not have capital stock and operates for the sole benefit of its members is known as: -a fraternal benefit s...

NJ Health Insurance Exam (XCEL Solutions) Questions and Answers Graded A+ Why are dividends from a mutual insurer not subject to taxation? - Correct Answer ️️ - because dividends are considered to be a return of premium ABC insurance company transfers part of their risk to XYZ insurance company. This situation is called - Correct Answer ️️ -reinsurance A nonparticipating company is sometimes called a(n) - Correct Answer ️️ -stock insurer What is considered to be the primary r...

a nonparticipating company is sometimes called a - stock insurer Fraternal Benefit Society has each other the following characteristics except - exist for profit The Fair Credit and Reporting Act's main purpose is to - protect consumers with guidelines regarding credit reporting and distribution A life insurance company has transferred some of its risk to another insurer. The insurer assuming the risk is called the - reinsurer What kind of life insurance policy issued by a mutual insurer ...

ARKANSAS LIFE INSURANCE EXAM QUESTIONS AND ANSWERS 100% PASS J is a producer who has induced an insured through misrepresentation to surrender an existing insurance policy. What is J guilty of? - Correct Answer ️️ -Twisting What is implied authority defined as? - Correct Answer ️️ -Authority that is not specifically given to an agent contract, but that an agent can reasonably assume to carry out his/her duties A person who is a nonsmoker, average weight, excellent health would fal...