Final answer:
The insuring clause of a life insurance policy includes the premium payment obligation, named insured information, and death benefit amount, but not the insured's risk undertaking, which is related to the concept of moral hazard. Option 4 is correct.
Step-by-step explanation:
The insuring clause on the face of a life insurance policy typically outlines the major components of the contract between the insurer and the insured. This clause includes the premium payment obligation, which is the responsibility of the policyholder to pay premiums to keep the insurance active; the named insured information, which identifies the individual whose life is covered by the policy; and the death benefit amount, which is the sum that will be paid out to the beneficiaries upon the death of the insured.
However, the fourth option, the insured's risk undertaking, is not included in the insuring clause. Risk undertaking refers to the implicit agreement that the insured party will not deliberately engage in activities that increase the likelihood of a claim. Since the insured's behavior in terms of risk management is covered under other provisions in the policy and is more related to the concept of moral hazard, it is not a part of the insuring clause.
Hence, the correct option is 4.