Final answer:
The Misstatement of Age provision allows an insurer to adjust premiums or benefits if the insured's age was misstated, ensuring terms reflect the correct risk.
Step-by-step explanation:
The statement regarding the Misstatement of Age provision that is considered to be true is that it allows the insurer to increase premiums if the age is misstated. When it comes to life insurance policies, actuaries calculate premiums based on various risk factors, including the age of the insured.
If it is discovered that the insured's age was misstated at the time of application, the Misstatement of Age provision allows the insurer to adjust the premium amounts or benefits to what they would have been had the correct age been provided initially.
It does not necessarily void the policy but ensures that the terms are adjusted to reflect the accurate risk.