Which of the following insureds has a right to cancel an individual life policy within 30 days?
insureds 60 years of age or older
For insurance contract to be valid in the State of California, when must insurable interest exist?
at the time of application for a policy on the insured
According to the CIC, when an insured has functionally identical coverages that overlap or duplicate benefits to the extent that the coverage is not cost-effective, this represents
Overloading
which of the following best describes the insurer's liability for losses arising from military service?
The insurer's liability may be reduced or exluded
Tom purchased a variable life insurance contract and instructed the insurance company to invest the premium into stocks right away. Twenty five days later he decided to return the policy. What will Tom receive as a refund from the insurance company?
The policy's account value at the time the policy is returned
Which of the following must be disclosed in all advertisements and policies of term life insurance for individuals 55 years of age or older?
Insurance monetary value index
The notice to senior consumers regarding their right to cancel a policy must be printed on the cover or policy jacket in at least what type of print?
12- point bold print
An insurer has been found guilty of a code violation regarding replacement. The insurer then repeats the violation. What will be the minimum penalty?
$30,000
The attempt to "save" an original policy from replacement ir lapse is called
Conservation
Which of the following is true regarding a policy with a face value less than $10,000?
If it's returned during the free look period, the agreement will be void
Every policy of individual life insurance must include a notice of right to cancel the policy, stating the specific time frame for the free-look period. Once the insured has cancelled the policy, within how many days must the insurer refund all premiums a
30 days
replacement of life insurance and annuities policies requires for the replacing and existing insurers to retain evidence of all signed applications and disclosures for now less than
3 years
An insured has the right to cancel policy by written notification to the insurer. This notification may be mailed to the insurer or returned to the original agent who made the sale. Upon receipt of the cancellation request, the insurer will
refund any premiums and policy fees within 30 days of notice if the policy is within the cancellation period specified by the insurer1
Every policy of individual life insurance must include a notice of right to cancel the policy, stating the specific time frame for the free-look period. Once the insured has cancelled the policy, within how many days must the insurer refund all premiums a
30 days
The right of the applicant to rescind the policy for a full refund of all premiums
Must be clearly stated in the policy's text
Signing and dating a delivery receipt for a life insurance policy helps to establish what?
The right of rescission, the incontestability period, and the free-look period
What is the maximum amount of coverage that may be extended to the insured's dependents under a group life insurance policy?
100% of the insurance on the life of the insured employee
For an insurance contract to be valid in the State of California, when must insurable interest exist?
At the time of application for a policy on the insured
Where replacement of existing coverage is involved, in addition to providing the proper notices to the applicant, the agent must
List any existing life insurance or annuities to be replaced on the application
The right of the applicant to rescind the policy for a full refund of all premiums`
Must be clearly stated in the policy's text
Any insurer who engages in the insurance business and violates the Code with respect to insurance replacement shall on the first violation
Be fined a sum of $10,000
The attempt to "save" an original policy from replacement or lapse is called
Conversation
Life agents must tell applicants when their coverage will start or the conditions required for their coverage to start either at the time of application or
When the first premium is received
All life and disability policies issued to individuals who are age 65 or older must offer a right-to-return period of at least how long?
30 days
During the cancellation period, an insurer must refund any premiums and policy fees within how many days of written cancellation notice by the insured?
30
In 2010, a law firm purchased a buy-sell agreement policy on each of its partners. In 2015, one partner left to start a new practice; however, the firm continued to pay the premiums on the policy. In 2017, the former partner died. The partners of the firm
will pay the death claim to the beneficiary for this policy as written since insurable interest existed at the time of application
When replacement of existing coverage is involved, extra requirements apply. The agent must
present to the applicant a "Notice Regarding Replacement of Life Insurance" as described by the code, Have the applicant sign a copy of the "Notice Regarding Replacement of Life Insurance" as described by the code, sign a copy of the "Notice Regarding Rep
Which of the following best describes the insurer's liability for losses arising from military service?
The insurer's liability may be reduced or ecluded
Within how many days of termination of employment must an employer give notice of the employee's right to convert the group policy to an individual policy?
15 days