Study sets matching "life insurance"

Study sets
Classes
Users

Study sets matching "life insurance"

51 terms
Life and Health Insurance
What are the stages of the financial l…
Actuaries
Deductible
Patient Protection and Affordable Care…
Stage 1: Securing Basics ... Stage 2: Financial Foundation ... Stag…
statisticians who specialize in estimating the probability of…
the amount that you are responsible for paying before insuran…
signed into law in 2010 and put in place comprehensive health…
What are the stages of the financial l…
Stage 1: Securing Basics ... Stage 2: Financial Foundation ... Stag…
Actuaries
statisticians who specialize in estimating the probability of…
39 terms
Life Insurance Test TIPS
No
Never
No
Yes, as a business expense
Are premiums paid on individual polices tax deductible?
When are life insurance proceeds paid to the beneficiary on a…
On a group policy, is the portion paid by the employee (the i…
On a group policy, is the portion paid by the employer (the p…
No
Are premiums paid on individual polices tax deductible?
Never
When are life insurance proceeds paid to the beneficiary on a…
110 terms
Life Insurance: Policy Flexibility
Par-contracts
Non-par contracts
Leave at Interest
Pre-pay premiums
Policies that pay dividends.
Policies that do not pay dividends.
Temporary arrangement for the insurer to hold the dividend un…
Reduce the next premium by the amount of the dividend.
Par-contracts
Policies that pay dividends.
Non-par contracts
Policies that do not pay dividends.
49 terms
Insurance Chapter 11 - Life Insurance
Premature death
Reasons that the United States has a s…
two approaches to estimate the amount…
human life value
the death of an adult family member (head of household) with…
obesity and chronic diseases associated with it; sedentary li…
the human life value approach; the needs approach
the present value of the family's share of the deceased's fut…
Premature death
the death of an adult family member (head of household) with…
Reasons that the United States has a s…
obesity and chronic diseases associated with it; sedentary li…
17 terms
life insurance basic insurance concepts
insurance
risk
person
examples of persons
transfer of financial responsibility associated with a potent…
potential of loss
a legal entity which acts on behalf of itself
individuals, associations, organizations, corporations, partn…
insurance
transfer of financial responsibility associated with a potent…
risk
potential of loss
551 terms
California Life and Health Insurance
Medical expense premiums paid by sole…
What is the Eligibility of a Qualified…
If an insurance contract has "variable…
What insurance product has a flexible…
They are fully deductible.
ERISA prescribes that all full time employees who have worked…
It is under the Federal Securities Laws. They have met the de…
A flexible premium deferred annuity.
Medical expense premiums paid by sole…
They are fully deductible.
What is the Eligibility of a Qualified…
ERISA prescribes that all full time employees who have worked…
37 terms
Uses of Life Insurance
A partnership buy-sell agreement in wh…
What is the tax advantage of key-perso…
When calculating the amount of life in…
Life insurance can be used in business…
cross purchase plan ... (Under a cross purchase plan, the partne…
Death proceeds are nontaxable
The family's financial objectives if the income earner were t…
as a profit sharing plan
A partnership buy-sell agreement in wh…
cross purchase plan ... (Under a cross purchase plan, the partne…
What is the tax advantage of key-perso…
Death proceeds are nontaxable
119 terms
Life Insurances
In group insurance the policy owner, w…
Partial surrenders are usually allowed…
In a traditional whole life policy pre…
Conversely, in a limited pay policy,
issued the master policy.
annuities, universal life and variable life policies.
the insured dies or hits age 120.
the premiums are paid for a shorter period of time.
In group insurance the policy owner, w…
issued the master policy.
Partial surrenders are usually allowed…
annuities, universal life and variable life policies.
58 terms
1_Intro to Life Insurance
the insurer that accepts the additiona…
The insurer that gives the risk to the…
Physical characteristics which raise t…
A cost-sharing mechanism between the i…
reinsurer
ceding company
physical hazard
coinsurance
the insurer that accepts the additiona…
reinsurer
The insurer that gives the risk to the…
ceding company
23 terms
Life Insurance and Auto Insurance, Life Insurance
You will pay substantially less for li…
When shopping for life insurance, you…
After being involved in a car accident…
Which of the following statements is n…
You are in good health
A company with a low premium rate and a good rating.
Ralph's monthly insurance payment will increase by $8.78.
The premium you pay guarantees that you will never have to pa…
You will pay substantially less for li…
You are in good health
When shopping for life insurance, you…
A company with a low premium rate and a good rating.
39 terms
Group Life Insurance
A method of marketing group benefits t…
Under a group life policy, the insurer…
What are blanket life policies?... Polici…
Which of the following makes a group l…
MET ... (A method of marketing group benefits to employers who h…
certificate
Policies that cover a group of people exposed to a common haz…
Lower premiums ... (The primary reason for a group life plan hav…
A method of marketing group benefits t…
MET ... (A method of marketing group benefits to employers who h…
Under a group life policy, the insurer…
certificate
Life Insurance Exam (Texas)
Insurance ... (General concept)
insurable interest ... (General Concept)
Solicitation and sales presentation
Underwriting (Field underwriting (by a…
- transfers the risk of loss from an individual to an insurer…
- must exist at the time of the application ... - insuring one's…
- illustration- presentation of nonguaranteed elements... - buye…
- application completed and signed ... - agent's report: agent's…
Insurance ... (General concept)
- transfers the risk of loss from an individual to an insurer…
insurable interest ... (General Concept)
- must exist at the time of the application ... - insuring one's…
122 terms
Texas Life Insurance exam
Who is considered a field underwriter?
When must insurable interest exist in…
If no receipt is issued at the time of…
The Medical Information Bureau is?(MIB)
An agent
Application or issue date
Policy delivery
a source of medical information to alert insurers to adverse…
Who is considered a field underwriter?
An agent
When must insurable interest exist in…
Application or issue date
171 terms
Life, Accident, Health & Disability Insurance
Insurance
Insurance Interest
Foreign Insurance Company
Renewable Term Insurance
Transfers risk of loss from the insured to the company
Financial interest in having the life of the insured continued
An insurance company that is incorporated outside the state w…
Term insurance where the insured has the option of continuing…
Insurance
Transfers risk of loss from the insured to the company
Insurance Interest
Financial interest in having the life of the insured continued
45 terms
Life Insurance: Insurance Principles and Basic Law
Law of Large Numbers
Underwriter
Actuary
Adverse Selection
A mathematical principle that makes it possible to predict fu…
Their job is to protect against adverse selection; selects an…
The person who calculates the rates.
Waiting until you absolutely need something to purchase it.
Law of Large Numbers
A mathematical principle that makes it possible to predict fu…
Underwriter
Their job is to protect against adverse selection; selects an…
33 terms
Life Insurance Premiums, Proceeds and Beneficiaries
Over the course of a year, which premi…
Sharon is the policyowner of a $50,000…
Level premium term life insurance poli…
Which settlement option involves havin…
Monthly
Irrevocable
have premiums that are averaged over the policy period
interest only
Over the course of a year, which premi…
Monthly
Sharon is the policyowner of a $50,000…
Irrevocable
101 terms
Life Insurance Terms and Questions
term life insurance
level term life insurance
increasing term policy
face value
temporary protection that lasts only for a specified period o…
premiums remain the same thoughout the life of the policy
level premium, as do all policies, but the face amount increa…
death benefit
term life insurance
temporary protection that lasts only for a specified period o…
level term life insurance
premiums remain the same thoughout the life of the policy
117 terms
Life Insurance General Knowledge
Medical Information Bureau (MIB)
Fair Credit Reporting Act (FCRA)
Attending Physician Statement (APS)
Insurable Interest
nonprofit organization... shares information between insurance c…
*"Federal law requiring an individual to be informed if he or…
Statement from physician that is required during the underwri…
Requirement of insurance contracts that loss must be sustaine…
Medical Information Bureau (MIB)
nonprofit organization... shares information between insurance c…
Fair Credit Reporting Act (FCRA)
*"Federal law requiring an individual to be informed if he or…
89 terms
Primerica-Life Insurance
Stranger-oriented life insurance polic…
Which is generally true regarding insu…
All of the following statements concer…
An insured receives a monthly summary…
d. insurable interest-STOLI purchaser doesn't know the insure…
b. their premiums are lower- the insured is in excellent phys…
c. the policy is owned by the company.
a. variable- life policies vary in value, as the name suggest…
Stranger-oriented life insurance polic…
d. insurable interest-STOLI purchaser doesn't know the insure…
Which is generally true regarding insu…
b. their premiums are lower- the insured is in excellent phys…
12 terms
Chapter 35 - Life and Health Insurance
life insurance
proceeds
beneficiary
cash-value insurance
Insurance that is paid to a person or people designated to re…
The value of an insurance policy (life insurance).
A survivor who receives part or all of the proceeds.
This type of permanent insurance provides both savings and de…
life insurance
Insurance that is paid to a person or people designated to re…
proceeds
The value of an insurance policy (life insurance).
16 terms
Life Insurance Contracts
The Three Parties of a Contract
1) Ownership Clause
2) Entire Contract Clause
3) Incontestibility Clause
Insured Life, Policy Owner, Beneficiary
States beneficiaries, surrendering policy and settlement opti…
States specific policy and contract between parties involved
Insurer cannont contest policy after it is in effect for two…
The Three Parties of a Contract
Insured Life, Policy Owner, Beneficiary
1) Ownership Clause
States beneficiaries, surrendering policy and settlement opti…
21 terms
Risk and Insurance: Life insurance basics
Term insurance
whole life insurance
variable life
tax treatment
temporary, no cash value, death protection only, expires at s…
never expires/lifetime protection, cash value, level premium
a form of permanent, values fluctuate based on investment per…
premium- not deductible... death benefit- income tax free... cash v…
Term insurance
temporary, no cash value, death protection only, expires at s…
whole life insurance
never expires/lifetime protection, cash value, level premium
112 terms
Life and Health Insurance Glossary
Absolute Assignment
Accumulation at Interest Option
Actuary
ADB
Assignment by the policy owner of all control and rights to a…
A dividend or settlement option under which the policyholder…
One concerned with the application of probability and statist…
Accidental Death Benefit, also known as Double or Triple Inde…
Absolute Assignment
Assignment by the policy owner of all control and rights to a…
Accumulation at Interest Option
A dividend or settlement option under which the policyholder…
61 terms
Introduction to Life Insurance & Annuities
List family risk exposures related to…
List four closely held business risk e…
What is the general purpose of a buy-s…
What are the advantages and disadvanta…
- final expenses... - contingent liabilities... - dependent income…
- death of a partner or co-shareholder... - death of a key emplo…
A buy-sell agreement is often used to transfer the ownership…
List family risk exposures related to…
- final expenses... - contingent liabilities... - dependent income…
List four closely held business risk e…
- death of a partner or co-shareholder... - death of a key emplo…
Whole life insurance
Permanent
Whole life insurance
Basic forms of whole life
Ordinary straight life
A general term for various life policies that build cash valu…
Provides a lifetime protection with a cash value element that…
1. Straight life... 2. Limited-pay... 3. Single premium ... Combinati…
Policyowner pays premium from the time is issued until death…
Permanent
A general term for various life policies that build cash valu…
Whole life insurance
Provides a lifetime protection with a cash value element that…
436 terms
Insurance - Wisconsin Health and Life
Accident
Accident Insurance
Accidental Bodily Injury
Accidental Death and Dismemberment
An unplanned, unforeseen event which occurs suddenly and at a…
A type of insurance that protects the insured against loss du…
Unplanned, unforeseen traumatic injury to the body.
An insurance policy which pays a specified amount or a specif…
Accident
An unplanned, unforeseen event which occurs suddenly and at a…
Accident Insurance
A type of insurance that protects the insured against loss du…
41 terms
Types of Individual Life Insurance
Another name for Term Life insurance i…
Another name for Death Benefit is...
What are the basic types of Term Life…
What are the basic types of Level Term…
Pure Death Protection
Face Value
1. Level... 2. Decreasing... 3. Increasing
1. Level Premium... 2. Annual Renewable Term
Another name for Term Life insurance i…
Pure Death Protection
Another name for Death Benefit is...
Face Value
22 terms
Life Insurance Policies - LIFE
Term insurance
3 basic term coverage available
Level Term Insurance
Annually renewable term
temporary protection bc it only provides coverage for a speci…
Level, Increasing and Decreasing
death benefit does not change through the life of the policy
death benefit remains level; guaranteed to renew without proo…
Term insurance
temporary protection bc it only provides coverage for a speci…
3 basic term coverage available
Level, Increasing and Decreasing
Classification of Life Insurance: Term Insurance
Term Insurance
Basic characteristics
Basic Types: Expiration Protection
Basic Types: Variability of face amount
Covers you for a limited time
Temporary... No cash values
•Straight, renewable, convertible, reentry
•Level, decreasing, increasing (return of premium)... •Ex. Face…
Term Insurance
Covers you for a limited time
Basic characteristics
Temporary... No cash values
10 terms
Types of Life Insurance
Group
Individual
Ordinary
Industrial
1. One Master Policy... 2. Policy Owned by Organization... 3. Indiv…
1. Single owner owns the policy on the insured and possibly a…
1. Individual coverage in a variety of term or permanent plan…
1. Industrial coverage in small amounts... 2. No medical exam to…
Group
1. One Master Policy... 2. Policy Owned by Organization... 3. Indiv…
Individual
1. Single owner owns the policy on the insured and possibly a…
Unit 7: Life Insurance
Actuaries
Annuities
Beneficiaries
Cash Value
Mathematicians employed by insurers to collect and analyze ri…
A contract which protects against the risk of living longer t…
The named individuals or entities designated by the policyown…
A type of life insurance policy that pays out upon the policy…
Actuaries
Mathematicians employed by insurers to collect and analyze ri…
Annuities
A contract which protects against the risk of living longer t…
23 terms
Whole Life Insurance
whole life insurance
two features
various types differ
ordinary (straight) life insurance
In contrast to term insurance, with its three basic forms, th…
It provides guaranteed death benefit protection for the insur…
While all forms of whole life have these two guaranteed featu…
The most basic type of whole life insurance is called either…
whole life insurance
In contrast to term insurance, with its three basic forms, th…
two features
It provides guaranteed death benefit protection for the insur…
102 terms
Life Insurance Vocabulary
Morbidity Table (發病率表)
Insurable Interest (可保利益)
Contract (合同)
Valid Contract(有效合同)
The table that shows the average number of sickness or accide…
Financial interest in having the life of the insured continue…
An agreement that outlines the rights and responsibilities of…
A insurance contract has 4 requirements(保險合同有4個要求):... i. mutual…
Morbidity Table (發病率表)
The table that shows the average number of sickness or accide…
Insurable Interest (可保利益)
Financial interest in having the life of the insured continue…
61 terms
Introduction to Life Insurance & Annuities
List family risk exposures related to…
List four closely held business risk e…
What is the general purpose of a buy-s…
What are the advantages and disadvanta…
- final expenses... - contingent liabilities... - dependent income…
- death of a partner or co-shareholder... - death of a key emplo…
A buy-sell agreement is often used to transfer the ownership…
List family risk exposures related to…
- final expenses... - contingent liabilities... - dependent income…
List four closely held business risk e…
- death of a partner or co-shareholder... - death of a key emplo…
19 terms
Life insurance (Term Life)
What is Term Life Insurance?
Term LI Premium
What does Term Life Ins. create when u…
Life Insurance Advantages
Death Benefit if insured dies during term period... Pure Life In…
Initial Term premium much less than permanent LI premium
Instant Estate such as family income for spouse/children, deb…
Face amount paid immediately at death... Death benefit is income…
What is Term Life Insurance?
Death Benefit if insured dies during term period... Pure Life In…
Term LI Premium
Initial Term premium much less than permanent LI premium
12 terms
Life insurance vocab
Health Insurance
Coverage
Insured
Premium
A type of insurance coverage that pays for medical and surgic…
specific services paid for by the insurance company
Person (or persons) whose costs are covered by an insurance p…
amount paid for insurance coverage (not for any specific medi…
Health Insurance
A type of insurance coverage that pays for medical and surgic…
Coverage
specific services paid for by the insurance company
14 terms
Life Insurance (Whole Life)
What is Whole Life Insurance?
DB and Level Annual Premium
When is Whole Life best?
Whole Life CV
Aka Ordinary Life... Protection for Life... Level Premiums... Level DB…
DB for life... Premiums reflect current mortality, expense and i…
Long term needs for death protection (Funeral, probate, & est…
Tax deferred... No market risk (Current Interest paid on current…
What is Whole Life Insurance?
Aka Ordinary Life... Protection for Life... Level Premiums... Level DB…
DB and Level Annual Premium
DB for life... Premiums reflect current mortality, expense and i…
LIFE INSURE
1. After a group life master policy ha…
2. If each partner purchases policies…
3. When does a tertiary beneficiary co…
4. The primary insurance amount (PIA)…
A. AIt may cancel the insurance of any group members who have…
A. Entity plan... B. Cross purchase plan... C. Partnership plan... D.…
A. When the primary beneficiary dies... B. When the secondary be…
A. 1/2 worker's retirement at 62... B. 1/2 worker's retirement a…
1. After a group life master policy ha…
A. AIt may cancel the insurance of any group members who have…
2. If each partner purchases policies…
A. Entity plan... B. Cross purchase plan... C. Partnership plan... D.…
198 terms
Indiana Life Insurance Exam
Which of the following is NOT a charac…
Under a Whole Life Policy, what might…
All of the following policies provide…
All of the following are true statemen…
D. It provides for a tax-free death benefit.
The insured's suicide during the suicide period as designated…
D. Term Life
A. Policy loans are taxed as ordinary income
Which of the following is NOT a charac…
D. It provides for a tax-free death benefit.
Under a Whole Life Policy, what might…
The insured's suicide during the suicide period as designated…
14 terms
Life insurers
What is disintermediation
What is the variable universal model
What are life insurers viewed as?
What is the level of risk tolerance of…
When rates go higher than credited rates and participants tak…
1) Response to disintermediation... 2) Allows the combination of…
Quasi Trust Funds
Low
What is disintermediation
When rates go higher than credited rates and participants tak…
What is the variable universal model
1) Response to disintermediation... 2) Allows the combination of…
34 terms
LIFE INSURANCE POLICIES
Life insurers issue three basic kinds
Ordinary Insurance
Industrial Insurance
Group Insurance
1. Ordinary... 2. Group... 3. Industrial
Ordinary Insurance includes all types of temporary or term in…
Industrial Insurance is marketed today in rather small face a…
Group provides insurance for a number of individuals under on…
Life insurers issue three basic kinds
1. Ordinary... 2. Group... 3. Industrial
Ordinary Insurance
Ordinary Insurance includes all types of temporary or term in…
71 terms
Intro to Insurance, Legal Nature of Insurance, & Life Insurance
Deductible
Exclusions
Riders & Endorsements
Risk Management Process (6 steps)
A stated amount of money the insured is required to pay on a…
- Outline the perils that are not covered in a policy... - Examp…
- Used interchangeably... - Describe written additions to an ins…
1. Determine the objectives of the risk mgmt process... 2. Ident…
Deductible
A stated amount of money the insured is required to pay on a…
Exclusions
- Outline the perils that are not covered in a policy... - Examp…
Life insurance ch 4
Term Life
Term life
Term Life
Permanent Life insurance
Type of life insurance that is temporary
provides "pure death protection"
Type of life insurance that carries no cash value or other li…
Life insurance that builds cash value and remain in effect fo…
Term Life
Type of life insurance that is temporary
Term life
provides "pure death protection"
10 terms
Term Life Insurance
Term Insurance
Pure Death Protection
Types of Term Coverage
Level Term Insurance
-Defined as temporary protection, because it only provides co…
-if the insured dies during this term, the policy pays the de…
1. Level... 2. Increasing... 3. Decreasing... -no matter which type i…
-most common type of temporary protection purchased... -"level"…
Term Insurance
-Defined as temporary protection, because it only provides co…
Pure Death Protection
-if the insured dies during this term, the policy pays the de…
Life Insurance Terms
Life Insurance
Permanent life
Term life
Supplemental Insurance
helps protect your family against the loss of your income whe…
insurance provides coverage throughout the insured's lifetime…
insurance provides coverage only for a specified period of ti…
Insurance policies may also include additional coverages, or…
Life Insurance
helps protect your family against the loss of your income whe…
Permanent life
insurance provides coverage throughout the insured's lifetime…
79 terms
Amount of Life Insurance to Own
Human Life Value Approach
Human Life Value Calculations
Advantage of Human Life Value
Limitations of Human Life Value
Human life value can be defined as the present value of the f…
1. Estimate average annual earnings over an individual's prod…
Crudely measures the economic value of a human life
1. Other sources of income are ignored (Social Security survi…
Human Life Value Approach
Human life value can be defined as the present value of the f…
Human Life Value Calculations
1. Estimate average annual earnings over an individual's prod…
Life Insurance: Annuities
True or False: most annuities have an…
True or False: an annuity contract tha…
True or False: an annuity contract whe…
Does a fixed annuity have a guaranteed…
True
False
False
Yes
True or False: most annuities have an…
True
True or False: an annuity contract tha…
False
Life Insurance Test 2
Unbundled
Flexible Premium
Adjustable death benefit
Death Benefit Option A - Level death b…
policy cash value and pure insurance protection costs are sho…
-the policyowner is permitted to select whatever premium he/s…
-permits the policyowner to raise or lower death benefirt... -in…
the death benefit increases during the later years of the pol…
Unbundled
policy cash value and pure insurance protection costs are sho…
Flexible Premium
-the policyowner is permitted to select whatever premium he/s…
Life and Health Insurance and Annuities
Who elects the governing body of a mut…
Which of these describe a participatin…
The stated amount or percent of liquid…
An insurance applicant MUST be informe…
Policyholders
Policyowners are entitled to receive dividends"
reserves
Fair Credit Reporting Act
Who elects the governing body of a mut…
Policyholders
Which of these describe a participatin…
Policyowners are entitled to receive dividends"
6 of 10