State RegulationsNC specificDifficulty 3/5
Under North Carolina law, which transaction must carry the statutory fraud warning stating that knowingly presenting false information is a felony?
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Answer & full 3-part explanation (select an option above, or peek)
Why D is correct
Under G.S. 58-58-267, viatical settlement applications and purchase agreements must contain the statutory fraud warning that knowingly presenting false information is a felony. North Carolina has no general fraud-warning statute for ordinary life or health applications, so the warning is specific to viatical transactions.
Why the other options are wrong
- A) No general fraud-warning statute applies to ordinary life applications in North Carolina; the requirement is limited to viatical transactions.
- B) No general fraud-warning statute applies to accident and health applications; the statutory warning is viatical-specific.
- C) Group enrollment forms carry no statutory fraud warning under North Carolina law; the warning applies to viatical documents.
Memory hook
Fraud warning rides only with viaticals.