Which statement best describes guaranteed insurability?

Which statement best describes guaranteed insurability?

• A. Skip medical exams for future increases
• B. Premiums are guaranteed never to rise
• C. Death benefit increases automatically with inflation
• D. Policy cannot be canceled

Answer: (A)

Guaranteed insurability means you have the right to buy more life insurance in the future without needing to show you’re still insurable. That’s why the statement about skipping medical exams for future increases is the best description. You can add coverage at certain times or events without a new medical exam, though the new premium will be based on your age at the time you add the coverage and there’s usually a limit to how much you can purchase. It doesn’t guarantee the policy can’t be canceled or that premiums never rise, nor does it automatically inflate the death benefit.

Guaranteed insurability means you have the right to buy more life insurance in the future without needing to show you’re still insurable. That’s why the statement about skipping medical exams for future increases is the best description. You can add coverage at certain times or events without a new medical exam, though the new premium will be based on your age at the time you add the coverage and there’s usually a limit to how much you can purchase. It doesn’t guarantee the policy can’t be canceled or that premiums never rise, nor does it automatically inflate the death benefit.