Which of the Following Policy Features Allow the Insured to Increase

question 104

Multiple Choice

Which of the following policy features allow the insured to increase coverage periodically without showing proof of insurability?

• A)multiple indemnity clause
• B)guaranteed purchase options
• C)disability clause
• D)paid-up insurance option
• E)extended-term option

---

Definitions:

Faithful Representation

Faithful Representation refers to financial information that accurately reflects an entity's financial performance, position, and changes in financial position.

Plant And Equipment

Long-term tangible assets used in the operations of a business, not intended for resale.

Useful Lives

The expected period of time during which an asset is expected to be usable for the purpose it was acquired.

Revenue

The total amount of money generated from the sale of goods or services, before any expenses are subtracted.