Completing the Application, Underwriting, Delivering Policies, Contract Law
A parent applies for life insurance on a 9-year-old child. Who must sign the application besides the producer?
Answer and explanation
Answer: C. A minor lacks contractual capacity, so an adult with an insurable interest applies as owner and signs. The child does not sign the application as a contracting party.Source: Interstate Insurance Compact — Individual Life Insurance Application Standards, juvenile applications
More completing the application, underwriting, delivering policies, contract law questions
- No premium accompanies an application, and no temporary coverage applies. The insurer issues the policy, but the owner has not accepted delivery or paid the first premium. What is the status under the application agreement?
- The home office proposes changing an application from preferred to standard class and reducing the face amount. What is required before those changes are effective on the application?
- Two same-age applicants seek identical coverage. One has a serious health condition and regularly skydives. Why may that applicant receive a higher rate?
- Under 28 TAC Chapter 22 (Texas Insurance Privacy Rules), when must an insurer provide an initial privacy notice to a customer?
- Under FCRA, if an insurer orders an investigative consumer report involving personal interviews regarding an applicant's character and lifestyle, when must written notice be sent to the applicant?
- Under FCRA, if an insurer takes an adverse underwriting action (such as declining or rating an applicant) based in whole or in part on a credit report, what notice must the insurer provide to the consumer?
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