Chartered Life Underwriter Exam 2025 – 400 Free Practice Questions to Pass the Exam

When delivering a life insurance policy without collecting an initial premium, a Good Health Statement is essential. This document serves to reaffirm that the applicant is still in good health at the time of policy delivery. It acts as a safeguard for the insurer by confirming that there have been no significant changes in the applicant's health since the initial application was submitted.

The necessity of obtaining a Good Health Statement arises because the insured's health status at the time of policy delivery can impact the insurer's risk assessment and liability. If the applicant's health has deteriorated since the application, the insurer may have grounds to postpone coverage or issue the policy with different terms.

In contrast, while a Life Insurance Application is important, it would have already been completed prior to policy delivery. A Policy Acknowledgment Form might be relevant in certain contexts, but it doesn’t specifically address health status. An Income Verification Document is unrelated to the healthy status required prior to the execution of a life insurance policy. Thus, the focus on the Good Health Statement ensures that the insurer is protected and that the terms of the policy remain valid.