Question

"a producer does not have the authority to change a policy or waive any of its provisions". the health provision that best describes this statement is called the A) Entire Contract Provision

B) Consideration Clause
C) Grace Period Clause
D) Coordination of Benefits Clause

Answer 1

The statement pertains to the Entire Contract Provision, which signifies that the insurance contract cannot be unilaterally changed or provisions waived by a producer without written consent from both parties.

Step-by-step explanation:

The health provision that best describes the statement "a producer does not have the authority to change a policy or waive any of its provisions" is the Entire Contract Provision. The Entire Contract Provision ensures that the policy and the application form the entire contract between the insurer and the insured, and that no changes can be made without both parties' consent, normally requiring an endorsement or rider agreed upon in writing. This provision upholds the contract’s integrity and ensures that a producer or insurance agent does not have the unilateral authority to amend the contract or waive its stipulations.