Regarding Insurance Contracts, Utmost Good Faith Is Important Because

question 38

Multiple Choice

Regarding insurance contracts, utmost good faith is important because

• A) without it, there is fraudulent omission.
• B) the insured must calculate his risks.
• C) the insurance company is in a position of superior knowledge.
• D) insurance records follow the policy holder for life.
• E) third parties may be involved-especially with liability policies.

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Definitions:

R-12

Theoretically illegal but still available refrigerant. GWP rating is 10,900.

Vacuum Pump

A device that removes gas molecules from a sealed volume in order to create a partial vacuum.

Refrigerant Container

A special container designed to hold refrigerant, a substance used in air conditioning systems to absorb and release heat, under pressure.

Ozone

Triatomic oxygen (O3); an oxygen molecule consisting of three bonded oxygen atoms. The ozone layer in the Earth’s stratosphere helps protect the atmosphere from harmful solar ultraviolet radiation.