Rhode Island Life Insurance Practice Exam

A student pilot can pay regular premium costs for her life insurance policy with which additional provision?

1. Aviation exclusion

2. Standard health risk

3. Higher premium option

4. Special student rider

The correct answer is: Aviation exclusion

The aviation exclusion is a provision commonly found in life insurance policies that limits coverage in specific scenarios, such as when the insured participates in high-risk activities like flying, especially if they are not fully licensed pilots. Since a student pilot is still in training and has not obtained a full pilot's license, this provision is particularly relevant. By having the aviation exclusion, the insurance company can manage its risk exposure associated with the increased likelihood of accidents or incidents involving unlicensed pilots. While this exclusion can result in higher premium costs due to the perceived risk associated with the aviation activities, it allows the student pilot to secure life insurance coverage while acknowledging the risks involved in flying. In contrast, the other options do not directly address the specific circumstances of a student pilot. The standard health risk refers to general underwriting criteria for assessing insurability based on health conditions, while a higher premium option might imply additional costs for standard coverage without addressing the unique risks associated with flying. Additionally, a special student rider would typically provide benefits tailored to students but may not necessarily pertain to the aviation activities of a student pilot. Thus, the aviation exclusion is the best fit for addressing the unique situation of a student pilot while ensuring premium payments align with the risks involved.