Policies contain cancellation provisions for all the following reasons except:
A)the company wants control of the risk after the policy is written in the property liability area
B)the life insurance company must be able to eliminate the risk in the event the insured accepts a very hazardous job
C)the insured may no longer need the coverage
D)a legal method of canceling the contract is needed by both parties in the property liability area

Question

Quizplus · Accepted Answer

Policies contain cancellation provisions for many reasons, including the ones listed in choices A, C, and D. However, the ability to cancel a life insurance policy due to a change in the insured's occupation is typically not included in cancellation provisions. Instead, this would be addressed by an exclusion in the policy or a change in premium.

Policies Contain Cancellation Provisions for All the Following Reasons Except