The Application and Underwriting

Which of the following is an applicant’s written request to an insurer asking the company to issue a policy or contract of insurance on the basis of information provided in the application? Page 430

Which of the following best describes the importance of an insurance application? Page 431

Any changes made on an insurance application: Page 431

A misrepresentation to an insurance company with the intent to deceive and to gain something is: Page 432

What type of misrepresentation is a critical factor in an insurance company’s decision to issue or not issue a policy? Page 432

When is an intentional misrepresentation considered fraud? Page 432

All of the following are correct statements about conditional receipts except: Page 434

When an agent does not put the interest of his clients above those of his own, which of the following is likely to be a errors and omissions liability? Page 434

Which of the following would not be an agent’s responsibility with respect to protecting an insurer against bad risks? Page 434

Which of the following should an agent obtain when delivering an insurance policy? Page 435

Which of the following is a correct statement about requiring physical examinations of insurance applicants? Page 436

Which of the following is not a correct statement about the Medical Information Bureau? Page 436

All of the following are correct statements about information and privacy protection acts except: Page 437-438

Which of the following underwriting factors help insurance companies to determine risk classifications? Page 438

Which of the following is not one of the major types of risk an insurance company considers when deciding whether to issue a policy? Page 439

Which of the following does not contribute to an insurance applicant’s physical risk? Page 439

Which of the following does not contribute to an insurance applicant’s moral risk? Page 439

With respect to risk, if an insured has more than one occupation, Page 440

Which of the following is not an option when an insurance company is presented with a substandard risk? Page 443

When does a health insurance policy go into force? Page 445

What is the best answer to a client’s question, “When is my policy effective?” Page 446

Which of the following factors are considerations when establishing health insurance premiums? Page 447