Life Insurance✓ Verified · outline & fact-checked · Sep 2026Difficulty 1/5
If the insured dies while committing a felony, a life insurance policy that contains an illegal activity exclusion will generally:
Select an option to reveal the answer and the full 3-part explanation — free, no signup.
Answer & full 3-part explanation (select an option above, or peek)
Why A is correct
Life insurance policies commonly exclude deaths resulting from the insured's illegal activity, particularly felonies. If the insured dies while committing a felony, the insurer generally has no liability for the death benefit under the exclusion. This exclusion, like war, aviation, and hazardous-avocation exclusions, is part of the policy exclusions addressed in objective LIFE-II.E.11, and it serves a clear public-policy purpose.
Why the other options are wrong
- B) The illegal activity exclusion bars payment when death results from the insured's felony.
- C) Whether any cash value is payable depends on the policy and situation; the death benefit itself is excluded, not converted to cash value.
- D) The insurer pays nothing under the exclusion; it certainly does not pay double.
Memory hook
Felony at death = no death benefit. Crime does not pay the beneficiary either.