On a major medical insurance policy, the amount that an insured must pay on a claim before the insurer will pay is known as

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On a major medical insurance policy, the amount that an insured must pay on a claim before the insurer will pay is known as

A. Inside limit
B. Coinsurance
C. Deductible
D. Copayment

Answer: C. Deductibel

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An insured's building has an actual cash value of $200,000, and he has insured the property for $120,000 with an 80% coinsurance clause. A $40,000 loss occurs. How much will the policy pay?

An insured's building has an actual cash value of $200,000, and he has insured the property for $120,000 with an 80% coinsurance clause. A $40,000 loss occurs. How much will the policy pay? a) $0 b) $30,000 c) $32,000 d) $40,000 Answer: B

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James is the insured on a life insurance policy where his age was misstated on the application. Which of the following is CORRECT regarding the death benefit amount?

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The voluntary relinquishment of a legal right is called
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