Question

What is a modified terms contract?

a.

A contract that is offered instead of an outright declinature

b.

A contract that imposes exclusions under the policy

c.

A contract that is offered with extra premium

d.

A contract that offers acceptance at ordinary rates

Answer: (a).A contract that is offered instead of an outright declinature Explanation:A modified terms contract is a contract that is offered instead of an outright declinature. It may impose exclusions under the policy, but it is a way to offer coverage to an applicant who might otherwise be declined.

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Q. What is a modified terms contract?

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