All of the following are available under the HO-2 contract except:
personal liability insurance.
medical Payments coverage for others.
automobile comprehensive coverage.
Property insurance policies cover lots of damages loss caused directly or indirectly. But not all. There are still some loss excluded regardless of any other cause or event contributing concurrently. Why do property insurance policies contain exclusions? Will an exclusion result in partial recovery? Illustrate your answer to the previous two questions with examples from the HO.
Bob, the named insured, is an auto mechanic. Bob and his wife, Belle, own and drive a Ford. They have 2 children, Ben and Bill. Ben, age 26, is in the U.S. Army, and comes home to visit about twice a year. Bill is 16, lives at home and has a learner’s permit but no permanent drivers license. Ben often rents cars on weekends and drives battle tanks as his assignments. Bob drives the church van to pick-up older members each Sunday. He also test drives vehicles after he has repaired them at his place of employment, Barney’s Garage. Bill has been known to lend the family car to his teenage pal, Bubba. Once, Bubba actually lent the auto to his girlfriend, Brenda. Explain why or why not each of the following characters has coverage under Part A of the PAP. Does the PAP provide coverage if a named insured drives a non-owned auto? What is the definition of a “non-owned auto?”
The period when the insurer makes payments to the annuitant is called:
the retirement period.
the accumulation period.
the liquidation period.
the deferral period.
Group life insurance purchased by a lender for its group of debtors is knows as:
debit life insurance.
industrial life insurance.
ordinary life insurance.
credit life insurance.
Annuities are designed to:
protect against premature death.
protect against outliving one’s income.
protect against growing old.
be a form of life insurance.
An annuitant makes one payment to the insurer 15 years before he retires. At retirement, the insurer pays the annuitant a lifetime income on a monthly basis. This transaction is an example of a:
flexible premium annuity.
single-premium deferred annuity.
single-premium immediate annuity.
If, after the death of an annuitant, guaranteed payments continue to a second beneficiary, this person is called the: