Texas Life and Health Insurance Exam Questions and Answers Guide (Guaranteed Succes) Latest 2025 What type of reinsurance contract involves two companies automatically sharing their risk exposure? - Correct Answers ✅Treaty The stated amount or percent of liquid assets that an insurer must have on hand that will satisfy future obligations to its policyholders is called - Correct Answers ✅reserves When third-party ownership is involved, applicants who also happen to be the stated primary beneficiary are required to have - Correct Answers ✅insurable interest Statements made on an insurance application that are believed to be true to the best of the applicant's knowledge are called - Correct Answers ✅representations The part of a life insurance policy guaranteed to be true is called a(n) - Correct Answers ✅warranty Which of these is NOT a type of agent authority?Express Implied Principal Apparent - Correct Answers ✅Principal 1 / 3
Texas Life and Health Insurance Exam Questions and Answers Guide (Guaranteed Succes) Latest 2025 The Consideration clause of an insurance contract includes - Correct Answers ✅the schedule and amount of premium payments E and F are business partners. Each takes out a $500,000 life insurance policy on the other, naming himself as primary beneficiary. E and F eventually terminate their business, and four months later E dies. Although E was married with three children at the time of death, the primary beneficiary is still F.However, an insurable interest no longer exists. Where will the proceeds from E's life insurance policy be directed to? - Correct Answers ✅In this situation, the proceeds from E's life insurance policy will go to F.Which term defines the legally enforceable promise in an insurance contract by the insurer? - Correct Answers ✅Unilateral Insurance contracts are known as ____ because certain future conditions or acts must occur before any claims can be paid. - Correct Answers ✅conditional Which of these require an offer, acceptance, and consideration? - Correct Answers ✅Contract 2 / 3
Texas Life and Health Insurance Exam Questions and Answers Guide (Guaranteed Succes) Latest 2025 Which of these is NOT considered to be an element of an insurance contract?the offer acceptance negotiating consideration - Correct Answers ✅negotiating An agent is an individual that represents whom? - Correct Answers ✅Insurer Which policy requires an agent to register with the National Association of Securities Dealers (NASD) before selling? - Correct Answers ✅Variable Life Which of the following actions require a policy owner to provide proof of insurability in an Adjustable Life policy? - Correct Answers ✅increase face amount When a policy owner exchanges a term policy for a whole life policy without providing proof of good health, which of these apply? - Correct Answers ✅Conversion provision What type of life insurance are credit policies issued as? - Correct Answers ✅Term
- / 3