2024 ALABAMA PROPERTY AND CASUALTY INSURANCE EXAMS BUNDLE PACK GRADED A .

if lousie allows her whole life policy to lapse which nonforfeiture option shoild she elect to obtain the most life insurance protection? - Answer Extended term option If administrative action is taken against you, or you are criminally prosecuted in another jurisdiction, you have how long to s...

An applicant who fails two examinations for the same line of authority must wait how long to take another examination for that line of authority -Answer 3 months Payments for losses that cannot be precisely measured, such as the loss of companionship of spouse from another, are called ____. -A...

The business is always the owner and beneficiary of key employee insurance. - Answer Which of the following statements about key employee life insurance is true? COBRA provides a coverage bridge, HIPPA addresses coverages under plans for new entrants. - Answer COBRA and HIPPA both address p...

The portion of covered loss that is not paid by the insurance company is called?: (a) A deductible (b) Facultative reinsurance (c) Treaty reinsurance (d) Limit of liability - Answer A deductible The best example of risk retention is: (a) Deductibles (b) Coinsurance (c) Rei...

Insurance -Answer Financial tool that protects individuals and organizations from unforeseen and extraordinary financial losses by transferring risk to another party Principle of Indemnity -Answer Restoration to approximate previous financial condition; no more no less To prevent an in...

Which of the following can be insured under an unendorsed Homeowners policy? a. Farm b. Mobile Home c. Dwelling that the owner rents to his cousin d. Private residence in which the owner occupant also maintains an office for her accounting business. -Answer d The primary purpose of the Bu...

Dishonesty - Answer Deceit, misrepresentation, untruthfulness, falsification Insurers - Answer insurance companies or carriers who manufacture and sell insurance coverage by way of policies or contracts. Insurance Agencies - Answer independent organizations that recruit, contract with...

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? - Answer Privilege of change clause The extended term nonforfeiture option provides: - Answer Paid-up term coverage e...

In Alabama, all health maintenance organizations must: - Answer Have a complaint system to resolve written complaints from enrollees. An insurance producer who offers a potential client something of value as an incentive to purchase insurance is engaging in: - Answer Rebating Medicare supp...

Property - Answer Tangible items that you can possess your stuff. Ex. House, car, dog, furniture or your business stuff, Building, inventory, desks, computers, and equipment its all property. Property Insurance - Answer A contract whereby an insurance company agrees to pay for the loss of, o...

When the insurance company terminates your policy at the end of the policy period, this is called: - Answer Nonrenewal A covered peril causes the insured premises to become uninhabitable until repairs can be made. What type of loss does this describe? - Answer Indirect Loss The primary ins...

Loss Sustained Form - Answer Form that covers losses actually sustained during the policy period and discovered no later than one year after policy expiration. Fiduciary Responsibility - Answer The legal duty of a representative to manage property in the interest of the owner. Directors ...

Insurance Commissioner - Answer appointed by the governor To be an authorized company - Answer the applicant must have Alabama certificate of authority Minimum Age for Licensure - Answer 18 License Requirements - Answer 18 years old, affirm you've committed no acts, complete prelic...

Which of the following is a requirement that must be satisfied before an applicant can receive an insurance producer license in Alabama? - Answer Complete pre-licensing classroom instruction, unless otherwise exempt by the Commissioner In addition to obtaining an insurance producer license, a ...

Insurance is a ________ regulated industry. - Answer State In Alabama, the ___________ _______________ __ _____________ is charged with the responsibility of enforcing the insurance laws passed by the Alabama Legislature. - Answer Alabama Department of Insurance The Alabama Department of I...

The ________________ condition states that an act/neglect by any individual, other than the insured, beyond the insured's control will not affect insurance. - Answer control of property T/F: If an insured breaches a condition with regard to a specific location, all locations are affected. - An...