Question

if the insureds age is misstated on a life insurance policy, what will the insurer do?
options: cancel the policy; refund all premiums; adjust the benefit to what the premium would have purchased at the correct age; deny the claim
the free look provision allows the policy owner to :
options: change beneficiaries without consent; review the policy and return it for a full refund; skip premium payments; convert term to whole life
if a premium is not paid by the due date, the policy remains in force during the grace period for how long ?
options: 10 days; 21 days; 30 or 31 days

Explanation:

1. For age misstatement in life insurance, standard practice is to adjust the death benefit to match the coverage the paid premiums would have bought at the correct age, rather than canceling, refunding all premiums, or denying claims outright.
2. The free look provision gives policy owners a short window to review their new policy and return it for a full premium refund if they are unsatisfied, it does not relate to beneficiary changes, skipping payments, or policy conversion.
3. Life insurance grace periods, the time a policy stays in force after a missed premium, are typically 30 or 31 days, not 10 or 21 days.

Answer:

1. Adjust the benefit to what the premium would have purchased at the correct age
2. Review the policy and return it for a full refund
3. 30 or 31 days