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23 Cards in this Set
- Front
- Back
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Allows individuals to pay a reasonable premium in light of the insured risk
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Mutuality
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Refers to the occupation class to which the insured belongs
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Equitable allocation
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Statistics that allo actuaries to establish...
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morbidity tables
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Coordination of benefits, participation limits and issue limits prevent
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overinsurance
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Employment insurance benefits are
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TAXABLE
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Insurer cannot change premium or coverage, even is there is change
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guaranteed irrevocalbe contract
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insurer can change premium, but not coverage; insurer cannot refuse to renew
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guaranteed renewable
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insurer can change premium, coverage and refuse to renew
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cancellable contract
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important facts to consider in individual disability contract
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1 - type of contract
2 - definition of disability 3 - coverages 4 - amount of benefits |
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no elimination period for disability and 7 days elimination period for sickness
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group disability insurance
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Why is "responsibility and accountability" an important tenet of integrity first?
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No person of integrity tries to shift the blame to others (accountability). A person with integrity does not take credit for the work of others (accountability). NCOs who hold themselves accountable for their actions gain respect and are better able to influence those around them. NCOs with integrity are not irresponsible. They do what is expected of them. NCOs with integrity acknowledge their duties and act accordingly.
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Two benefits indexation methods:
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- based on consumer price index (CPI)
- fixed rate |
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Future insurability guarantee
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Possibility of future increase in coverage without evidence of insurability (health, occupation)
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Overhead expense coverage available to
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self-employed professional, sole proprietors, business partners, shareholders
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Key persons coverage cannot include
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shareholders with more than 10%, members of professional associations, married couples
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85% of diseases under critical illness
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heart attacks, cancer, cerebrovascular accidents
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Six principle types of critical illness:
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1 - whole life with level benefit and level premium
2 - level benefit to 75 3 - level benefit to 75, waived premium at 65 4 - level benefit to 65 5 - ten year term, renewable at 75, convertable at 65 6 - decreasing benefit |
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principle rating factors
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morbidity rate
insurer's operating costs investment income earned on premiums |
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Factors that influence occupational risk
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type of occupation, employment stability, tasks performed, working environment
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Statutory limits to notify
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30 days to notify of a loss
90 days to submit proof of loss |
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Establish a budget to
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identify possible savings so as to meet coverage needs
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questions about facts to establish
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financial situation, stability at work - for analysis
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questions about feelings
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to determine motivation and needs
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