Which of the Following Is Not a Defense Against Paying

question 32

Multiple Choice

Which of the following is not a defense against paying a claim that an insurer could raise?

• A) The policy was obtained by fraud.
• B) The insured lacked an insurable interest.
• C) The insured acted in good faith.
• D) The actions underlying the claim were illegal.

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Definitions:

Price Index

A statistical measure that examines the weighted average of prices of a basket of consumer goods and services, used as an indicator of inflation and deflation.

Nominal GDP

The market value of all final goods and services produced within a country in a given period, measured in current prices.

Real GDP

The total value of all goods and services produced by an economy adjusted for inflation, offering a more accurate reflection of an economy's size and growth rate.

Price Level

A gauge of the overall current prices for a broad range of goods and services manufactured in the economy.