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Audit And Assurance Practice Exam
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Question Number 5
What is a possible consequence of a serious relevant misrepresentation, subject to applicable law and policy terms?
The insurer must always pay double the claim
The insured automatically becomes a reinsurer
The policy converts into a benefit policy
The insurer may have a remedy affecting the contract or claim
✔ Correct Answer:
The insurer may have a remedy affecting the contract or claim
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