Question

What is increasing extra risk?

a.

When the risk associated with an individual is low at the time of commencement of policy, but there is a chance of that risk becoming high after a certain period

b.

When the risk associated with an individual is high at the time of initial underwriting but decreases over a period of time as time elapses

c.

When the risk associated with an individual is considered to remain constant over the period

d.

When the risk associated with an individual is slightly sub-standard to substantially sub-standard

Posted under IC22 Life Insurance Underwriting

Answer: (a).When the risk associated with an individual is low at the time of commencement of policy, but there is a chance of that risk becoming high after a certain period Explanation:Increasing extra risk is when the risk associated with an individual is considered to be low at the time of commencement of policy, but there is a chance of that risk becoming high after a certain period.

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