Carefully review the following underwriting and application scenarios. Connect each specific situation with its legally compliant signature mandate or correction procedure.
- A mother applies for a life insurance policy on the life of her 8-year-old son.Must be signed by the parent or legal guardian and the producer, without requiring the proposed insured's signature.
- A business entity applies for a key person policy on the life of its leading sales director.Must be signed by the proposed insured, an authorized corporate officer, and the producer.
- An applicant realizes they provided the wrong medical diagnosis date on a paper application.The error must be crossed out, the correct information written nearby, and the change initialed by the applicant.
- A producer discovers a skipped question regarding foreign travel after leaving the client's home.The producer must return the document to the applicant to physically complete the missing information and initial the addition.
Answer
Juvenile applications require the parent and producer to sign. Corporate owned policies require the insured employee, a corporate officer, and the producer. Errors made during completion must be struck through and initialed by the applicant. Missing information discovered later requires the producer to return to the applicant for completion and initialing.
Each scenario maps directly to foundational underwriting laws: minors cannot sign, third-party adult insureds must consent, physical errors require initialed strike-throughs, and missing data requires physical applicant interaction rather than producer alteration.
Step-by-Step Solution
Key Concept
Signatures and Application Changes