Which of the following is not a true description of non medical life insurance?
Asked by: Chadrick Mosciski | Last update: February 11, 2022Score: 4.2/5 (47 votes)
Which of the following is NOT a true description of non-medical life insurance? ... variable life. A life insurance policy that pays the face amount if the insured survives to a specified period of time is called. endowment insurance.
Which type of insurance guarantees the right to renew the policy each year regardless of health but an increased premium?
Types of Term Insurance
Renewable term plans give you the right to renew for another period when a term ends, regardless of the state of your health. With each new term the premium is increased. The right to renew the policy without evidence of insurability is an important advantage to you.
What type of insurance is usually purchased in connection with a mortgage loan quizlet?
Mortgage redemption insurance is a decreasing term life policy taken by a debtor to repay the balance on a mortgage loan if he or she dies before repayment. a joint life policy covers two or more people and pays the face amount at the first insured's death.
Which of the following life insurance policy that does not require a physical exam?
Which of the following is a life insurance policy that does NOT require a physical exam? ... Modified premium, Ordinary life & Single premium.
What type of life insurance are normally used for key employee indemnification?
The types of life insurance generally used to cover key employee indemnification are term, whole, and universal life insurance. Universal life is subject to a contract interest rate or a current annual interest rate.
Types of no exam life insurance
Which of the following is not an example of a business use of life insurance?
Which of the following is NOT an example of a business use of Life Insurance? Workers Compensation is a benefit payable when a worker is injured by a work-related injury, regardless of fault or negligence. It is not considered a business use of insurance.
Which of these is not an element of life insurance?
Explanation : Subsidy is not an element of the life insurance business. A subsidy or government incentive is a form of financial aid or support extended to an economic sector generally with the aim of promoting economic and social policy.
Which of the following is not true about a family life insurance policy when the family policy covers children?
Which of the following is NOT true regarding a family policy that covers children? ... Conversion of child's coverage to permanent insurance does NOT require evidence of insurability. A life insurance policy where the insured can choose where the cash value can be invested is called. variable life.
Which of the following is not a component of an insurance policy premium?
Which of the following is NOT a component of determining policy premiums? Dividends are not a component when determining policy premiums.
What is non medical life insurance?
No medical exam life insurance is a type of policy that does not require a medical exam and can offer fast approvals. Plans are typically expensive, but it can give certain groups of people quality coverage and peace of mind that they can't find anywhere else.
What is mortgage redemption insurance?
Definition. Mortgage Redemption Insurance — a monthly reducing (decreasing term) life and/or disability insurance policy purchased by a mortgage lender or title holder to repay the balance on a mortgage in the event the borrower dies or is disabled before full repayment of the mortgage.
What test defines an MEC?
The seven-pay test helps the IRS determine whether your life insurance policy will be converted into an MEC. It compares the total premiums you paid in the first seven years of the policy with what you'd need to pay it in full. If your payments exceed what's needed, your policy becomes recognized as an MEC.
Which of the following types of insurance policies provides temporary coverage for a set period quizlet?
Term Insurance: Provide temporary insurance protection for a specified period of time, also called the policy term (for example, the term may be 1 year, 5 years, 10 years, 30 years, or to a specified age such as 65).
What statement is not true regarding a straight life policy?
Which statement is NOT true regarding a Straight Life policy? Its premium steadily decreases over time, in response to its growing cash value. Which Universal Life option has a gradually increasing cash value and a level death benefit? Which of the following best defines target premium in a universal life policy?
What is an accurate description of the premium in a graded premium life insurance policy?
The face amount is determined by the outstanding loan balance. Which is an accurate description of the premium in a graded premium life insurance policy? Annual increase in premium for a stated number of year then level off for the remainder of the contract.
What does the insured have to do to renew a renewable term policy?
A renewable term life insurance policy can be renewed after the term expires. The term may be as short as one year. Typically, you can renew your policy without a repeat of a medical exam or requalification. However, the premium may go up every year or every few years as you age.
Which of the following is not an element of an insurable risk?
Which of the following is not an element of insurable risks? Loss must be predictable. Loss is not catastrophic.
Which of the non life insurance policies are taken for individuals?
- Marine insurance.
- Home insurance.
- Travel insurance.
- Health insurance.
- Motor insurance.
- Commercial insurance.
Which of the following types of information is not required for a life insurance application?
Which of the following types of information is NOT required for a life insurance application? Ethnicity is not required information needed for a life insurance policy. ... Life and health insurers are members of the Medical Information Bureau.
Which of the following is not a component of an insurance policy premium quizlet?
Which of the following is NOT a component of determining policy premiums? Dividends are not a component when determining policy premiums. Pam is the primary beneficiary of a life insurance policy and wants to let the death benefit accumulate and receive only the monthly investment proceeds.
Which of the following is true about the credit life insurance?
All of the following are true regarding credit life insurance, EXCEPT: As the debt is paid off, the face amount decreases to match the amount of the debt. At any time, the face amount of the policy cannot be greater than the amount of the debt. Credit life policies may be issued individually or through a group policy.
Which of the following is not a group typically recognized as eligible for group insurance?
Which of the following is NOT an eligible group to obtain group life insurance? Group life insurance is limited to employer groups, multiple employer trusts, labor unions, group credit life insurance, and association plans.
Which of the following is not an insurance concept?
Insurance does not involve lending of funds; lending is a function of commercial banks. Hence, the correct answer is Assist in capital formation.
Which is not a type of general insurance?
There is a distinction between the types of insurance one is life insurance and other is non-life or general insurance. As an individual, you will be covered under the Life insurance policy. The reimbursement under the policy can be withdrawn on the event of death or maturity of the policy.
What is not an essential element of an insurance contract?
In order for insurance contracts to be legally binding, they must have four essential elements: agreement (offer and acceptance), ... and legal purpose. Counteroffer is not required.