This Receipt Does Not Bind the Coverage of Life Insurance

question 37

Multiple Choice

This receipt does not bind the coverage of life insurance at the time it is issued, but it does put the coverage into effect retroactive to the time of application if one meets all the requirements for insurability as of the date of the application.A claim for benefits because of death prior to issuance of the policy generally will be honored, but only if you were insurable when you applied.Identify this receipt.

• A)Conditional receipt
• B)Binding receipt
• C)Estoppel
• D)Facultative receipt
• E)Waiver receipt

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Definitions:

Puzzles to Solve

Puzzles to solve are problems or challenges that require critical thinking and problem-solving skills to find a solution.

Cognitive Miser

A theory suggesting that humans, to save mental energy, prefer to solve problems in the simplest way possible rather than in a more sophisticated but effort-intensive way.

Mentally Lazy

A reluctance or lack of desire to engage in cognitive tasks or challenges, preferring minimal mental effort or thought.

Process-oriented

Focused on the methods and procedures of accomplishing tasks or understanding phenomena, rather than solely on outcomes.