Exam 32: Insurance

Which of the following is NOT a type of coverage in automobile insurance?

Insurance contracts are not required to be in writing because they can be fulfilled in less than one year but some states require they be in writing.

A person always has an insurable interest in his own life.

April purchased a life insurance policy on herself.On her death,the proceeds of the insurance were to be paid to her minor child,Ryan.Ryan is the beneficiary.

Health insurance plans that specify that the patient can be treated only by doctors in the organization are called:

Abraham has just purchased his first car.His bank,First State Bank,loaned him the money to buy the car and has required him to purchase insurance to protect the car as the collateral for the loan.Which basic types of coverage should Abraham buy to satisfy the bank requirement and to protect himself from the risks of operating an automobile?

Universal life insurance is the same thing as whole life insurance.

A policy that makes payments to the owner monthly for her entire life is called:

In purchasing life insurance,Kelsey concealed the fact that she has a muscular disease.The insurance company can void the policy if the muscular disease is found to be a material fact.

Term life insurance premiums are paid only for a certain length of time,or "term' but the coverage lasts for the insured's entire life.

Crown Bakeries,Inc.has an insurable interest in Brian,its head pastry chef.

Discuss the rules for insurable interests.

Bob issued a "binder" on behalf of his company,All Faith Insurance Co.,to Ian to insure his house.This binder constitutes final acceptance of Ian's application.