Which provision addresses misstatement of age on an application?

• A. Misstatement of Age Provision
• B. Grace Period
• C. Incontestability
• D. Reinstatement

Answer: (A)

The main idea here is that this provision handles when the insured’s age on the application isn’t correct. If age was misstated, the contract isn’t simply voided; instead, the policy is adjusted to reflect the true age. Typically, the insurer sets the amount of insurance (or the premium) as if the insured’s age had been stated correctly—often by adjusting the face amount to what the premium would have bought at the true age. This keeps the policy fair and in force despite the misstatement.

The other provisions don’t directly address misstatement of age: Grace period covers late premium payments, Incontestability limits challenges to the policy after it’s been in force, and Reinstatement relates to reviving a lapsed policy.