Florida Health 240 Insurance Exam Questions and Answers (Solved Papers) Rules of Construction - Correct Answers ✅Help to identify and establish the intent of the parties to the contract Utmost good faith - Correct Answers ✅Each party is entitled to rely on the representation of the other, and each party should have a reasonable expectation that the other is acting in good faith without attempts to conceal or deceive.Aleatory Contract - Correct Answers ✅A contract under which one party's performance is contingent on an uncertain event.property and casualty agent - Correct Answers ✅has the power to bind the insurer Adhesion Contract - Correct Answers ✅Insurance company drafts contract and the insured adheres to it. Any ambiguity resolved in favor of the insured.Unilateral contract - Correct Answers ✅Insured has completed paying the premium, only one party of the contract is legally required to do something. Insured promises to pay the death benefit in the event of loss. Can not be held for breach of contract. 1 / 4
Florida Health 240 Insurance Exam Questions and Answers (Solved Papers) Conditional contract - Correct Answers ✅This type of contract is conditional because the company only pays on condition of a loss.Personal Contract - Correct Answers ✅The contract is between the insured and the insurer warranty - Correct Answers ✅guarantee; assurance by seller. Any breach provides grounds for voiding the contract.representation - Correct Answers ✅a statement believed to be true to the best of one's knowledge.false pretenses - Correct Answers ✅When an uninsurable individual applying for insurance may ask another person to substitute for him to take the physical examination.Misrepresentation - Correct Answers ✅A false statement or lie that can render the contract void.concealment (n) - Correct Answers ✅The failure to disclose material facts. Grounds for recission by either party.Material Information or facts - Correct Answers ✅Something crucial to acceptance of the risk. 2 / 4
Florida Health 240 Insurance Exam Questions and Answers (Solved Papers) fraud (n) - Correct Answers ✅An intentional act designed to deceive and induce another party to part with something of value.Parol Evidence Rule - Correct Answers ✅Rule of law disallowing oral evidence which disputes a written agreement.Voidable Contract - Correct Answers ✅A contract that may be legally avoided at the option of one or both of the parties.Void Contract - Correct Answers ✅an agreement of no legal effect.Implied Authority - Correct Answers ✅Authority that is given not in writing but that is necessary for the agent to transact insurance.Apparent Authority - Correct Answers ✅A third party's reasonable belief that an agent has authority to act on the principal's behalf.Express Authority - Correct Answers ✅the authority of an agent, stated in the document or agreement creating the agency. 3 / 4
Florida Health 240 Insurance Exam Questions and Answers (Solved Papers) Lingering implied authority - Correct Answers ✅means that the agent carries "signs or evidences of authority.Estoppel - Correct Answers ✅A legal impediment to denying a fact or restoring a right that has been previously waived.Valid Contract (Legal Contract) - Correct Answers ✅one that meets all of the requirements of a binding contract.Competent parties, legal purpose, and consideration, not an actual written document.Policyfolder - Correct Answers ✅Important documents with a custom folder.Plan Sponsors - Correct Answers ✅Policyholder responsible for administering pan and making premiums to insurance company.Employee or individual employer group - Correct Answers ✅Employer is the policy-owner and establishes eligible class of employees to be covered under group policy.
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