State RegulationsNC specificDifficulty 2/5
In which situation may a North Carolina insurer provide a simplified written statement instead of the full Policy Summary for a life policy?
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Answer & full 3-part explanation (select an option above, or peek)
Why A is correct
Under G.S. 58-60-15, a simplified written statement may be delivered in place of the full Policy Summary where the policy's equivalent level death benefit does not exceed $5,000. The exception is keyed to the size of the death benefit, not to the policy type, the premium mode, or any waiver the applicant might sign.
Why the other options are wrong
- B) Being a short-term policy does not qualify; the simplified statement depends on the death-benefit amount.
- C) The premium mode is irrelevant to the simplified-statement exception under G.S. 58-60-15.
- D) No applicant waiver of the Policy Summary is recognized; the exception depends on the $5,000 death-benefit limit.
Memory hook
Small policy, small paperwork — $5,000 or less allows the simplified statement.