Completing the Application, Underwriting, Delivering Policies, Contract Law
The home office proposes changing an application from preferred to standard class and reducing the face amount. What is required before those changes are effective on the application?
Answer and explanation
Answer: C. A home-office change in plan, amount, age at issue, gender, class, or benefits requires the written consent of the owner and proposed insured. The proposed class and face-amount changes fall squarely within that rule.Source: Interstate Insurance Product Regulation Commission — Individual Life Insurance Application Standards — § 3.J. Home Office Changes (1)
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