What Would Be the Importance of a Guaranteed Renewability Clause

question 104

Multiple Choice

What would be the importance of a guaranteed renewability clause in your policy?

• A)It will allow you to renew your insurance even if you have suffered a major health problem.
• B)It will allow you to renew your policy at the same premium rate.
• C)It will allow you to change the policy to a permanent policy at any time.
• D)It will allow you to waive your premiums if your health problems have made you unable to work.

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Definitions:

Aggregate Demand

The all-encompassing demand for every good and service within an economic framework, calculated at a set aggregate price level for a specific period.

Real Output

The total value of all goods and services produced by an economy, adjusted for inflation, reflecting the actual productivity.

Deep Recession

An exceptionally severe period of economic decline characterized by a significant decrease in economic activity across multiple sectors of the economy.

Real GDP

Gross Domestic Product adjusted for inflation, which reflects the value of all goods and services produced by an economy in a given year in real terms.