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AzJose AzJose
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6 years ago
ABC Life Insurance Company insures both smokers and nonsmokers. Beth lied on her life insurance application, checking the box for "no" in response to the question of whether she smokes cigarettes or uses other tobacco products. Even though Beth smokes 10 to 15 cigarettes each day, the policy was issued at the "preferred nonsmoker rate." Beth's lie is materiel in this case because
A) it was in writing on the application.
B) it was given with the intent to deceive.
C) the policy would have been issued on different terms if the insurer knew the true facts.
D) the policy would have been issued for a lower face value if the insurer knew the true facts.
Textbook 
Principles of Risk Management and Insurance

Principles of Risk Management and Insurance


Edition: 12th
Authors:
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ownzore3ownzore3
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6 years ago
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AzJose Author
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5 years ago
Muchas gracias mi amigo Wink Face
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