Life Insurance✓ Verified · outline & fact-checked · Sep 2026Difficulty 2/5
If an applicant participates in a hazardous avocation such as skydiving, the insurer will most likely:
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Answer & full 3-part explanation (select an option above, or peek)
Why A is correct
Insurers underwrite avocations such as skydiving, auto racing, or private aviation by adding an endorsement that excludes or limits death benefits arising from the activity, or by charging a rated (substandard) premium for the added risk. If the endorsement excludes the hazard, the policy may include a premium refund for the portion of coverage excluded. The risk is priced or carved out rather than universally declined, so an applicant is often still insurable.
Why the other options are wrong
- B) Most insurers do not automatically decline applicants for a single hazardous hobby; they rate or exclude the specific activity.
- C) Material avocations cannot be ignored — concealing them on the application could void the policy for misrepresentation.
- D) Insurers never double benefits for dangerous activities; they limit or price the added risk.
Memory hook
Hazardous hobbies get an endorsement — excluded, limited, or rated. Tell the underwriter or risk voiding the whole contract.