Completing the Application, Underwriting, and Delivering the Policy
A proposed insured is below the age of majority. How is the competent parties element ordinarily satisfied?
Answer and explanation
Answer: A. Where the proposed insured is a minor, the contract is ordinarily made by an adult owner such as a parent or guardian, who has capacity to contract and signs accordingly. The minor does not supply the capacity, insurers do not waive an element of contract formation, and the element applies to insurance contracts as to others.Source: Pearson VUE — Georgia Insurance Examination Content Outlines #121102 — Outline page S2, Capacity and minors
More completing the application, underwriting, and delivering the policy questions
- Why is a life insurance policy classified as an aleatory contract?
- Why is an insurance contract classified as a conditional contract?
- Why is an insurance policy described as a contract of adhesion?
- A client applies for life coverage without a temporary receipt. The insurer approves and issues the policy as applied for. Under standard application provisions, when does company liability actually begin?
- A client reads a delivered policy and cannot tell which values are guaranteed. What does consumer guidance say should happen?
- A consumer report plays a small part in an insurer's decision to charge a higher life premium. What does the FCRA require?
592 Georgia questions like this one.
Every answer explained, the ones you miss come back on a spaced schedule, and a plan built from your exam date.