Alabama - Study guides, Class notes & Summaries

Which clause allows the insured to change an existing policy to any other policy of any type as long as the new policy has a higher premium, without any proof of insurability? - correct answer Privilege of change clause The extended term nonforfeiture option provides: - correct answer Paid-up term coverage equal to that of the original policy With a collateral assignment of a life policy to a creditor: - correct answer You assign a partial amount of the policy values to the creditor An ...

Alabama Civics Test Study Guide |100% Correct Answers |Verified

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 has not been issued within 90 days, can a Binder be extended or renewed? - Yes. If a policy has not been issued within 90 days, a Binder may be extended or renewed with the approval of the Commissione...

Alabama State Licensing Exam Property and Casualty (Verified Answers) (65 qs)

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 b. nonrenewal c. separation d. exclusion Nonrenewal Which is the best example of an indirect loss ? a. sequential loss b. liability loss c. employee theft d. loss of use Loss o...

Alabama DMV permit practice tests graded A While driving at night, you must _________ when within 500 feet of an oncoming vehicle. ️Dim your high-beam lights In preparing to leave a parallel parking spot, a driver should: ️look in the rear view mirror indicate his/her intention by signaling look over his/her shoulder To handle hydroplaning, the best thing to do is: ️to take your foot off the accelerator A first conviction, for not having a mandatory liability insurance, carri...