North Carolina Life, Accident & Health Course Notes

A+ FINAL REVIEW — Life: know product structure first, then contract provisions, then North Carolina statutory numbers. Term is temporary; whole life is permanent with guaranteed values; universal life is flexible but funding-sensitive; joint life pays at first death while survivorship pays at last death. For annuities separate crediting/investment type, timing, number of lives and income guarantee. North Carolina life law heavily tests 31-day grace, two-year incontestability, a suicide limitation no longer than two years with at least return of premiums during the permitted period, equitable age/gender adjustment, and five-year reinstatement eligibility subject to conditions.

• Avoid: Renewal is not conversion: renewal keeps term insurance; conversion changes to an eligible permanent form.

• Circle the direction of the benefit: level, down, or up.

A+ FINAL REVIEW — Accident & Health: classify the product, read the policy definition, then apply cost sharing or the statutory provision. For disability, elimination period is the waiting period and benefit period is the payment duration. For major medical, distinguish deductible, coinsurance, copay and out-of-pocket limit. For managed care, HMO is generally more network-controlled while PPO generally offers more out-of-network flexibility at higher cost. North Carolina G.S. 58-51-15 supplies several exact claim and reinstatement deadlines that should be memorized.

• Avoid: Elimination period = before benefits; benefit period = duration of benefits.

• Quote the disability definition from the stem before choosing.

A+ FINAL REVIEW — North Carolina law: distinguish state license, insurer appointment, CE status and product-specific sales rules. Memorize the 15-day appointment filing rule, the four-month CE cure framework, temporary-license authority, record inspection powers, premium-receipt agency rule, twisting prohibition, date-sensitive rebate rule, life-replacement documentation, NC A&H timing rules, state group continuation and LTC Partnership age bands.

• Avoid: Administrative penalty is not the same as criminal punishment.

• Look for the named statute.