Life Insurance Policy Provisions, Options, and Riders
What need does a children's term rider chiefly meet?
Answer and explanation
Answer: C. The amounts are small because the purpose is burial and related costs, with the conversion right giving the child guaranteed insurability later. Income replacement, education funding and protecting a child's dependants are not what the rider is sized for.Source: PSI — New York DFS Insurance Candidate Information Bulletin — Outline, children's term rider purpose
More life insurance policy provisions, options, and riders questions
- A cost of living rider is attached to a life policy. What does it do as an inflation index rises?
- A dividend declared happens to exceed the premium next falling due under this option. What ordinarily follows?
- A New York beneficiary asks the insurer to stop the owner from changing the designation. What is the position?
- A New York owner assigns a life policy as collateral for a loan. What does the assignment achieve?
- A payee elects a life income with a ten year period certain and dies in the eighth year. What does the insurer do?
- A policy designates 'my children' as beneficiary and a child is born after the policy is issued. How is that child treated?
621 New York questions like this one.
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