Webce Life and Health Insurance Exam Questions With Complete Solutions Risk - Correct Answers ✅Chance of loss Loss - Correct Answers ✅Unplanned reduction of economic value Peril - Correct Answers ✅cause of loss Hazard - Correct Answers ✅a condition that increases the chance of peril Risk Transfer - Correct Answers ✅buying insurance to shift the risk to insurance company Underwriting - Correct Answers ✅assessing applicant to determine insurability Adverse Selection - Correct Answers ✅people with greater risk of loss trying to buy insurance Mutual Companies - Correct Answers ✅owned by policyholders and issue participating polices dividends which aren't guaranteed or taxable 1 / 3
Webce Life and Health Insurance Exam Questions With Complete Solutions Stock Companies - Correct Answers ✅Owned by stockholders whose stock can be publicly traded and pay dividends that are taxable Federal Insurance Programs - Correct Answers ✅Medicare and Social Security State Insurance Programs - Correct Answers ✅Medicaid and Workers' comp Producers Authority - Correct Answers ✅Expressed Implied Apparent Required Disclosures - Correct Answers ✅Buyer's guide and policy summary Offer - Correct Answers ✅signed application and initial premium Acceptance - Correct Answers ✅issuing of policy as applied for by insurer 2 / 3
Webce Life and Health Insurance Exam Questions With Complete Solutions Contract of Adhesion - Correct Answers ✅ambiguities in the contract that are interpreted to the benefit of the policyowner Representations - Correct Answers ✅applicants truthful statements on application Ways to manage risk - Correct Answers ✅Transfer Avoid Retain Reduce Share with others Speculative Risk - Correct Answers ✅result in loss or gain, noninsurable Moral Hazard - Correct Answers ✅character weakness like habits or lifestyle Morale Hazard - Correct Answers ✅State of mind or carless attitude Physical Hazard - Correct Answers ✅physical condition that increases ones less like heavy drinking or smoking
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