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A Credit Life or Credit Accident and Health Insurance Policy may be issued for delivery only by: A. an authorized insurer. B. a licensed securities representative. C. unlicenced vendors. D. a surplus lines insurer. - โโA. an authorized insurer. Standard Credit Accident and Health policies contain policy provisions limiting coverage for all of these EXCEPT: pre-existing conditions. pregnancy, intentional self-injury. war and military service. minimum age. - โโD. minimum age. All claims must be promptly reported to: A. the agent. B. the creditor. C. the insurer or its delegate claim representative. D. the debtor. - โโC. the insurer or its delegate claim representative.
Credit insurance may be issued in which form(s)? A. individual, or group life insurance policies B. individual, or group credit or disability policies C. combination plans including both credit life and credit disability D. All of the above - โโD. All of the above In considering the filing of a rate increase by an insurer, the insurance Commissioner would examine all of the following EXCEPT: A. mortality factors. B. health data. C. age data. D. company loss ratios. - โโB. health data. The minimum premium refund on credit insurance required by North Dakota Century Code is: $1. $2. $5. $10.00 - โโC. $5. The term of a Credit Life Insurance policy commences: A. on the date of application. B. on the date of the first periodic installment. C. on the date the debtor becomes obligated to the creditor.
A. to unemployed people. B. without credit life insurance. C. in conjunction with credit life insurance. D. without an elimination period. - โโC. in conjunction with credit life insurance. The commissioner must maintain surveillance over authorized Credit insurers in North Dakota: quarterly. monthly. annually. biennially - โโC. annually. The initial amount of Credit Life Insurance: A. is selected by the vendor without debtor approval B. can be any amount desired. C. cannot include interest on the installment purchase. D. cannot exceed the total amount repayable under the contract. - โโD. cannot exceed the total amount repayable under the contract. Agriculture loans may be insured by level term insurance, if the loan period is: A. 6 months or less. B. 12 months or less. C. 18 months or less. D. 5 years or less. - โโB. 12 months or less.
Policies or certificates must contain all of these EXCEPT: A. name of debtor(s). B. amount and term of coverage. premium. insurer's financial rating. - โโD. insurer's financial rating. Decreasing term premiums are usually: A. prepaid for the duration of the loan. B. paid monthly. C. paid annually. D. paid by pre-authorized checking. - โโA. prepaid for the duration of the loan. Credit disability insurance can be issued for a maximum of: A. 5 years. B. 7 years. C. 10 years. D. length of the loan. - โโD. length of the loan. The elimination period choices on Credit Disability plans are: A. 1 day, 8 days
The suicide exclusion on Credit Life is for: A. one year B. two years C. three years D. the full term of the transaction - โโA. one year. The types of Credit Life plans available are all of these, EXCEPT: A. decreasing term B. level term C. monthly outstanding balance D. universal life - โโD. universal life. "Total disability" during the first 12 months applies to: A. any occupation B. any occupation you are suited for, based on education, training and experience C. your current occupation D. a job you will be trained to do - โโC. your current occupation. One of the ways that insurers protect against adverse selection is: A. carefully screening vendors B. restrictive provisions
C. increasing premiums D. carefully reviewing claims - โโB. restrictive provisions. When you pass this test you will be licensed as: A. an agent B. a broker C. a consultant D. a limited insurance representative - โโD. a limited insurance representative. Involuntary unemployment insurance is: A. required of all credit card holders B. not available to self-employed C. commonly sold on installment loans exceeding 60 months D. available to cover job loss by willful misconduct - โโB. not available to self-employed. Pre-existing condition exclusions only apply to a time period of: A. 6 months before and 6 months after inception (12 months on transactions exceeding 36 months) B. 3 months before and 12 months after inception C. 12 months before and 12 months after inception D. the entire transaction - โโA. 6 months before and 6 months after inception (12 months on transactions exceeding 36 months).
B. credit health C. credit property D. credit unemployment insurance - โโC. credit property. G.A.P. coverage is used to provide coverage on: mortgages hospital bills lines of credit auto loans - โโD. auto loans. The following means a lender of money or lesser of services: Dealer Creditor Creator Debtor - โโB. Creditor. Credit insurance can be issued as: A. individual policies B. italicized policies C. group plan where the creditor holds a master policy (contract) D. Both A & C - โโD. Both A & C.
If the vendor is given the authority by the insurer to prepare individual policies, the insurance becomes effective: A. when the creditor prints the loan papers B. when the debtor asks the creditor for a loan C. when the debtor signs the loan papers and becomes the obligated to the creditor D. when the creditor signs the loan papers - โโC. when the debtor signs the loan papers and becomes the obligated to the creditor. The validity of the credit policy may not be contested except for nonpayment of premiums after it has been in force for two years from its date of issue describes: A. incontestable clause B. casual contest C. grace period D. contestable contest - โโA. incontestable clause. Insurers accomplish protecting them from adverse selection by: A. restrictive provisions and exclusions B. screening of applications for insurance C. neither A or B D. both A & B - โโD. both A & B. Credit life premiums on monthly outstanding balance plans are determined by multiplying the rate per $ times the current month's debt balance.
B. healthy statement C. statement for good health D. underwriting statement - โโA. good health statement. Premiums for most credit life and credit disability plans are determined by multiplying the rate per $ times the initial amount of indebtedness. $ $1, $ $10 - โโC. $100. An insurer must issue an amount of $ credit life insurance without regard to debtor's or creditor's health status. $10, $50, $5, $1,000 - โโC. $5,000. For credit disability insurance, the is the policyowner and the is the insured. denier/lister applicant/debtor
creditor/applicant creditor/debtor - โโD. creditor/debtor. Credit laws permit creditors to that the borrower insure the collateral against physical loss. require suggest make ask - โโA. require. Which of the following protects the interest of both the creditor and the debtor. A. single interest coverage B. dual interest coverage C. credit or debt coverage D. both interested coverage - โโB. dual interest coverage. Only the borrower is eligible for involuntary unemployment insurance on installment credit. secondary additional first named primary - โโD. primary.
A. insurance producers consultants non-resident producers home office underwriters - โโD. home office underwriters. Which of the following requirements for licensing is incorrect: A. applicants must be age 21 or older B. application must be on the state form C. application must be accompanied by a fee D. applicant must pass a licensing exam - โโA. applicants must be age 21 or older. A license as an insurance consultant is not required of all of these, EXCEPT: A. an attorney acting in the attorney's professional capacity B. a trust officer acting in the normal course of employment C. CPA's acting in their professional capacity D. a security representative furnishing insurance advice as a consultant - โโD. a security representative furnishing insurance advice as a consultant. An insurance producer's license may be granted to all of these, EXCEPT: A. a person B. an insurance consultant C. a business entity
D. an agency - โโB. an insurance consultant. The agent's license is: A. renewed by request only B. renewable biannually perpetual renewed only by application - โโB. renewable biannually. A temporary agents license can be issued under all of these circumstances, EXCEPT: A. agent's death B. agent's disability C. agent enters active military service D. agent reaches age 70 - โโD. agent reaches age 70. Continuing education requirements for an agent include all of the following, EXCEPT: A. 24 hours required biannually B. CE hours may be completed by classroom instructor or internet courses C. there is a CE requirement for a Credit Insurance license D. report due by last day of birth month, with a $25 filing fee - โโC. there is a CE requirement for a Credit Insurance license The Commissioner must be notified of an agent's address change within:
When the Commissioner requests information regarding a possible violation, the agent must respond within days. 10 30 20 60 - โโC. 20. Violating a license provision may, after a hearing, result in a civil fine of: A. $10 to $ B. $50 to $ $100 to $1, $500 to $5,000 - โโC. $100 to $1,000. The Commissioner's general duties include all of the following, EXCEPT: A. report insurance law violations to the attorney general B. submit a biennial report to the governor C. manage, control, and supervise the State Fire and Tornado Fund D. Send agents to prison for committing insurance law felonies - โโD. Send agents to prison for committing insurance law felonies. All policy forms and rates must be: A. filed with the Commissioner
B. filed with and approved by the Commissioner C. permanently recorded in the insurer's records D. approved by the agents appointed by the insurer - โโB. filed with and approved by the Commissioner. The license an insurer must hold to legally transact insurance in North Dakota is known as: A. certificate of authority B. certificate of compliance C. certificate of approval D. certificate of acceptance - โโA. certificate of authority. The Commissioner shall revoke a Certificate of Authority immediately if he finds any of the following, EXCEPT: A. false annual report B. excess number of appointed agents C. unfair discrimination D. unfair trade practices - โโB. excess number of appointed agents. If an insurer is in financial trouble, the Commissioner may do all of these, EXCEPT: A. step in to take over management B. require the insurer to restore deficiencies in reserves C. terminate all appointed agents of the insurer
