What Is Suicide Clause?
A policy provision that excludes death benefits if the insured dies by suicide within a specified period, usually two years, though the insurer must still refund premiums paid. This clause protects insurers against adverse selection.
Suicide Clause across 2 exams
Suicide Clause appears on the following exams. Each defines it in the context candidates are tested on:
- Life Insurance
- A policy provision that excludes death benefits if the insured dies by suicide within a specified period, usually two years, though the insurer must still refund premiums paid. This clause protects insurers against adverse selection.
- Life-Only Insurance
- A provision that limits the insurer's liability to a refund of premiums if the insured dies by suicide within the first two years of the policy.