Life Insurance Policy Provisions, Options, and Riders
How does a survivorship clause in a common disaster provision operate?
Answer and explanation
Answer: B. A survivorship, or time clause, requires the beneficiary to live a stated number of days beyond the insured, commonly fifteen to sixty, before the designation takes effect. It does not freeze payment for a year, reorder the contingent designation, or call for periodic renewal.Source: PSI — New York DFS Insurance Candidate Information Bulletin — Outline, survivorship period
More life insurance policy provisions, options, and riders questions
- Who may elect a settlement option other than cash payment, and when may that election be made?
- Whom does a spouse or other-insured term rider cover, and for how long?
- Why does a life income option pay a younger payee less each month than an older payee for the same proceeds?
- Why does the one-year term dividend option produce more death benefit per dividend dollar than paid-up additions?
- Why is a dividend on a participating life policy generally not taxable to the owner?
- Why is naming a minor directly as beneficiary of a life policy usually discouraged?
621 New York questions like this one.
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