About This Chapter
Insurance Applications & Underwriting - Chapter Summary
Simplify the process of understanding insurance applications and underwriting with fun-to-review lessons you can access anytime and from any computer or mobile device. Delve into key topics that include insurance policy delivery, insurable interest and the insurance underwriting process. In no time, you will be able to:
- Explain the process of completing an insurance application
- Share details about the USA PATRIOT Act
- Describe the initial premium payment in the insurance application
- Detail the process of delivering insurance policies
- Define and describe the insurance underwriting process
- Provide the definition of insurable interest, and discuss eligibility qualifications
- Discuss the meaning of stranger-owned and investor-owned life insurance
- List common sources of insurability information
Each lesson in this chapter is accompanied by a short quiz designed to assess your comprehension of insurance applications and underwriting. Take these quizzes as many times as needed to confirm your understanding. This chapter also offers a practice exam you can use to review all lessons in this chapter. Any questions you have about lesson concepts can be submitted to our experts.
1. Completing an Insurance Application
In this lesson, the process of completing an insurance application from beginning to end will be analyzed. The lesson will also provide details as to what is needed to complete the application along with consequences for an incomplete insurance application and disclosures.
2. USA PATRIOT Act: Anti-Money Laundering Provisions
The USA Patriot Act, which was passed in 2001, has anti-money laundering provisions that are designed to uncover and prevent the financing of terrorist activities. This lesson will examine these provisions and related programs set up to enforce them.
3. Initial Premium Payment in the Insurance Application
In this lesson we look at the importance of the initial premium payment in an insurance application. We will also examine the different types of receipts companies use to set the effective date of the policy.
4. Insurance Policy Delivery
When you apply for insurance, there are number of steps between the application process and when your agent delivers your policy. In this lesson, you will learn about policy delivery.
5. Insurance Underwriting Process
An insurance company will not approve everyone who applies for coverage, as they must assess the risk associated with the application. In this lesson, you will learn about the underwriting process.
6. What is Insurable Interest?
Can I buy a life insurance policy on my neighbor so that I can collect the benefit if he dies? Let's investigate the insurance concept of insurable interest to find out. We will look at who is eligible to purchase insurance on another person.
7. Stranger & Investor Owned Life Insurance
After reading this lesson, you'll learn why stranger- and investor-owned life insurance is something that is frowned upon by insurance companies themselves. You'll also learn why some people still decide to take this route.
8. Sources of Insurability Information
When you apply for insurance, you are asked to provide information and the insurer will collect more. In this lesson, you will learn about sources of insurability information.
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Other chapters within the Life & Health Insurance Exam Prep & Practice course
- Types of Life Insurance Policies
- Policy Riders, Provisions, Options & Exclusions
- Taxes, Retirement & Other Insurance Concepts
- Disability Insurance Policies
- Health Insurance Policies & the Government
- Provisions of Health Insurance Policies
- Social Insurance Programs
- Health Insurance Rights & Benefits
- Contract Law in Insurance