In an insurance contract, the applicant's "consideration" is the

In an insurance contract, the applicant's "consideration" is the


A) offer and acceptance
B) premium only
C) statements made in the application and the premium
D) statements made in the application only


Answer: C) statements made in the application and the premium

Popular posts from this blog

Give the von Neumann-Morgenstern utility function.

  Give the von Neumann-Morgenstern utility function. A utility function has expected utility propety if u(g)=∑p_{i}u(a_{i}) for any g∈G where (p₁°a₁,...,p_{n}°a_{n}) is the simple gamble induced by g. The von Neumann-Morgenstern utility function is typically denoted as � ( � ) U ( x ) , where � x represents an outcome or a set of outcomes. This utility function satisfies the expected utility property, which states that for any gamble � g with associated probabilities � � p i ​ and outcomes � � a i ​ , the utility of the gamble � ( � ) u ( g ) is equal to the sum of the probabilities weighted by the utility of each outcome: � ( � ) = ∑ � � � ⋅ � ( � � ) u ( g ) = ∑ i ​ p i ​ ⋅ u ( a i ​ ) Here: � ( � ) u ( g ) represents the utility of the gamble � g . � � p i ​ is the probability associated with the outcome � � a i ​ . � ( � � ) u ( a i ​ ) is the utility of the outcome � � a i ​ . The sum is taken over all possible outcomes of the gamble. This property essentially captures ...
Read more

Life income joint and survivor settlement option guarantees

Life income joint and survivor settlement option guarantees a) Income for 2 or more recipients until they die. b) Payment of interest on death proceeds. c) Payout of the entire death benefit. d) Equal payments to all recipients. Answer: a) Income for 2 or more recipients until they die.
Read more