Quiz 9 - 3 attempts - Question 1 0 out of 1.25 points Bev...

This preview shows page 1 - 4 out of 18 pages.

Question 1 0 out of 1.25 points Bev is an employee of the accounting firm Catz & Douglas, which obtains key-person life insurance on Bev in the amount of $1 million from Equity Insurance Company. Bev quits Catz & Douglas to join Financial Analysis, LLC. Bev dies. Under the principle of insurable interest, Equity Insurance must pay the $1 million to Answers: Selected Answer: b. Bev’s spouse Grant a. no one . b. Bev’s spouse Grant . c. Financial Analysis . d. Catz & Douglas . .
Question 2 1.25 out of 1.25 points A pro rata clause requires that all carriers proportionately share in any loss Answers: .
Question 3 1.25 out of 1.25 points Root & Branch Lumber Company obtains a fire insurance policy from Security Insurance, Inc., on a $400,000 warehouse. The policy includes an 80- percent coinsurance clause. Root & Branch insures the property for $320,000. In a fire, the warehouse suffers $200,000 in damage. Root & Branch can recover Answers: .
c. $320,000 . d. $400,000 . Question 4 1.25 out of 1.25 points When there is an ambiguity in an insurance policy, the provision generally is interpreted against the insurance company. Answers:
Question 5 0 out of 1.25 points A broker is not an agent of the insurance company or the applicant. Answers: Selected Answer: Tru e True Fals e
Question 6 0 out of 1.25 points If no children or grandchildren survive a decedent who dies without a will, a surviving spouse receives the entire estate . Answers:
Question 7 1.25 out of 1.25 points A method of accomplishing a property transfer without a will is through the joint ownership of property . Answers:
Question 8
1.25 out of 1.25 points According to the terms of Diego’s will, specific gifts are made, and taxes and other estate expenses and debts are paid. The assets of Diego’s estate that remain are most likely to be distributed Answers: .
Question 9 1.25 out of 1.25 points Jade signs an advance health directive that states what medical treatment may be used after a serious accident or illness. She indicates that she wants certain lifesaving procedures to be undertaken unless the treatment will not result in a reasonable quality of life. This is Answers: Selected Answer: b. a living will a. a living trust . b. a living will . c. a durable power of attorney . d. a health-care power of attorney . .

  • Left Quote Icon

    Student Picture

  • Left Quote Icon

    Student Picture

  • Left Quote Icon

    Student Picture