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IFSE Institute Life License Qualification Program LLQP Question # 44 Topic 5 Discussion

LLQP Exam Topic 5 Question 44 Discussion:
Question #: 44
Topic #: 5

Gary owns a $500,000 T-20 life insurance policy with an accidental death rider of $250,000. His estate is named as beneficiary. Gary dies when his car falls into a lake. The autopsy shows that he had a heart attack, which caused his death and led to the accident.

What death benefit amount will the life insurance company pay Gary's estate?


A.

$750,000, because the accident was caused by the heart attack.


B.

$500,000, because accidental death cannot be added to term coverage.


C.

$750,000, because Gary's death meets the definition of accident in the contract.


D.

$500,000, because the death is due to the heart attack and not the car accident.


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