In Which Case Are Life Insurance Benefits Not Payable

question 151

Multiple Choice

In which case are life insurance benefits not payable?

• A)If the insured is killed in an accident ten days after the policy's effective date.
• B)If the insured commits suicide one year after the policy's effective date.
• C)If the insured is diagnosed with a serious illness one month after the policy's effective date.
• D)If the insured is killed in a car accident twenty three days after the premium is due.

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Definitions:

Full Payment

Completion of all required payments, settling a debt in full or fulfilling the total cost of a purchase.

Quantum Meruit

A legal principle meaning "as much as he has earned," used to determine compensation based on the value of services rendered when no contract price is agreed upon.

Valid Contract

A legally binding agreement between parties that meets all required elements, such as offer, acceptance, consideration, and lawful purpose.

Eliminates Need

Removes the requirement or necessity for something, making it unnecessary.