An insured purchases a policy in 2000 and dies and 2005. The insurance company discovers at the time that the insured concealed information during the application process. What can they do?

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An insured purchases a policy in 2000 and dies and 2005. The insurance company discovers at the time that the insured concealed information during the application process. What can they do?

a. Sue for the right to not pay the death benefit
b. Pay the death benefit
c. Refuse to pay the death benefit because of the fraud
d. Pay a decreased death benefit

Answer: b

Life Insurance

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