Question

What are "substandard risks" in the context of underwriting?

a.

Risks that are uninsurable

b.

Risks with an average chance of falling ill

c.

Risks with a higher chance of falling ill than average

d.

Risks with the lowest chances of falling ill

Posted under IC38 Life Insurance Agent Exam

Answer: (c).Risks with a higher chance of falling ill than average Explanation:"Substandard risks" are risks with a higher chance of falling ill than average. They may be insurable, but insurers may charge higher premiums or impose certain conditions and restrictions.

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Q. What are "substandard risks" in the context of underwriting?
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