issuing policy

Question 1

policy summary

Answer 1

specific info about policy, provided prior to/ at policy delivery, includes agents name/info/insurer’s name

Question 2

field underwriter responsibilities include

Answer 2

proper solicitation of applicants, prevent adverse selection, completing application, collecting initial premium/ issuing receipt, delivering policy

Question 3

buyer’s guide

Answer 3

generic info about policy, compares policies, provided at time of application

Question 4

specific information about policy

Answer 4

policy summary

Question 5

underwriting

Answer 5

risk selection and classification process

Question 6

parts of application

Answer 6

general information, medical information, agent’s report

Question 7

field underwriters =

Answer 7

insurance agents

Question 8

underwriting determines

Answer 8

insurable and what premium to charge

Question 9

observations for underwriter to get a more proper understanding of the insured

Answer 9

agents report

Question 10

if insurable and what premium to charge is determined by

Answer 10

underwriting

Question 11

insuring of risks that are more prone to losses than the average risk

Answer 11

adverse selection

Question 12

compares policies

Answer 12

buyers guide

Question 13

provided at the time of application

Answer 13

buyers guide

Question 14

insurance agents =

Answer 14

field underwriters

Question 15

process of issuing policy

Answer 15

solicitation/ sales presentation, field underwriting, premium determination, policy issue/ delivery

Question 16

includes agents name, address, and insurer’s info

Answer 16

policy summary

Question 17

solicitation

Answer 17

act of asking for something

Question 18

insurers protect themselves against adverse selection by

Answer 18

refusing/ restricting coverage for bad risks or charging a higher rate

Question 19

generic information about policy

Answer 19

buyer’s guide

Question 20

spreading risk among a large pool of people with similar exposure to loss

Answer 20

law of large numbers

Question 21

hypthetical

Answer 21

policy summary

Question 22

law of large numbers

Answer 22

spreading risk among a large pool of people with similar exposure to loss

Question 23

agents report

Answer 23

observations for the underwriter to get a more proper understanding of the insured

Question 24

adverse selection

Answer 24

insuring of risks that are more prone to losses than the average risk

Question 25

act of asking for something/ obtaining something

Answer 25

solicitation

Question 26

primary criteria for underwriting includes

Answer 26

health occupation lifestyle hobbies habits

Question 27

delivers the policy to insured

Answer 27

field underwriter

Question 28

prevents adverse selection

Answer 28

field underwriter

Question 29

provided prior to/ at policy delivery

Answer 29

policy summary

Question 30

applications that are signed \_\_\_\_

Answer 30

cannot be changed without initials from applicant

Question 31

required signatures on application

Answer 31

agent, applicant, owner (if not applicant)

Question 32

proper solicitation of applicants is done by

Answer 32

field underwriter

Question 33

collects initial premium/ issues receipt

Answer 33

field underwriter

Question 34

incomplete applications

Answer 34

will never be accepted; full disclosure upfront is mandatory

Question 35

risk selection and classification process

Answer 35

underwriting

Question 36

illustration

Answer 36

policy summary