Life Policy ProvisionsQuestion 157 of 716
If an insured dies by suicide 18 months after the policy was issued, how is the death claim typically handled under the standard California suicide clause?
a.The insurer refunds premiums paid but does not pay the death benefit
b.Half of the face amount is payable because the policy is past its first year
c.The full death benefit is payable because suicide is never an excludable cause
d.The claim is denied outright and the insurer keeps all premium paid
Explanation
California life policies typically include a two-year suicide exclusion. If the insured dies by suicide within those two years, the insurer is only required to refund premiums paid (less any debt). After the two-year period, suicide is a covered cause of death.
Law Reference: Cal. Ins. Code §10113This topic, taught in full in the California Life & Health Insurance Producer Exam guide. California Life & Health Insurance Producer Exam — Complete Study Guide (2026) — PDF + EPUB, $19.99 · 14-day refund →
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Related questions on this topic
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PrepPass team · Verified against California Life & Health Insurance License Exam · How we review
Reviewed by John Zihao Zhang — California-Licensed Life Insurance Agent (CA Dept. of Insurance License #4396095 — verify)