Connecticut Life Producer Practice exam

What does Part 2 of the insurance application focus on?

1. General information about the applicant

2. Policy cost analysis

3. Medical information of the prospective insured

4. Investment returns

The correct answer is: Medical information of the prospective insured

Part 2 of the insurance application is specifically designed to gather detailed medical information about the prospective insured. This section is crucial because it assesses the health status and medical history of the applicant, which helps the insurer evaluate the risk associated with providing coverage. Information such as existing medical conditions, previous illnesses, medications taken, and family medical history contributes to underwriting decisions and the determination of premiums. The focus on medical information allows insurers to more accurately price the policy and ensure that they are adequately managing the risks they are taking on. Ensuring a comprehensive understanding of the applicant's health is essential for both the insurer and the insured, as it leads to more informed underwriting decisions and policy suitability for the applicant's needs. The other options, while related to the overall insurance process, do not pertain to Part 2 of the application. General information about the applicant may be gathered in earlier sections, while policy cost analysis and investment returns are typically addressed in the context of policy illustrations or discussions that occur after the application process.