Exam 43: Insurance, wills, and Trusts

To probate a will means to release it to the media

Without an insurable interest,there is no enforceable insurance contract.

The words used in an insurance contract are given their ordinary meanings in light of the nature of the coverage involved.

Maya dies without a will. The distribution of Maya's estate is prescribed by

There is little state regulation of the insurance industry.

Alain and Bette are partners who own and operate Cakes n' Pies,a chain of dessert restaurants. Their partnership obtains insurance on Alain and Bette's lives. This is

Cooks Delight Corporation makes and sells kitchen appliances. To cover injuries to consumers if the appliances prove defective,Cooks should obtain

For Melinda's will to be valid,she must be mentally competent at the time of

Per capita is a method of dividing an intestate share of an estate.

One who dies after having made a valid will is said to have died intestate.

A will can be partially revoked.

Jackie's will states,"I leave my red Corvette to Angela." This is

Donovan obtains from Equity Insurance Company a policy that provides that if the parties cannot agree on the amount of a loss covered by the policy,an estimate of the value by an impartial third party can be demanded. This is

Insurance coverage is always effective the moment an insurance broker accepts the applicant's first payment toward the premium.

Property insurance cannot be canceled for nonpayment of premiums.

An insurance company may cancel an insured's policy for any reason and at any time.

An incorrect statement as to the age of the insured provides an insurance company with an excuse to avoid payment on the insured's death.

An absolute defense against payment exists if the insurer can show that the insured lacked an insurable interest.

Under a multiple insurance clause,a homeowner who insures a home for 80 percent of its value can recover only 80 percent of the cost for damage to it.

Ginny obtains a health-insurance policy for her family from Hope Insurance Company. The policy includes an incontestability clause. Under such a clause,after a policy has been in force for a specified period or time,such as two or three years