Question

Which of these do NOT constitute policy delivery?

A.) Policy mailed to applicant
B.) Policy mailed to agent
C.) Policy delivered to the applicant by the agent
D.) Policy issued with a rating

Answer 1

The option that does NOT constitute policy delivery is D) Policy issued with a rating, as it refers to setting terms of the policy rather than its delivery method.

Step-by-step explanation:

The term 'policy delivery' refers to the manner in which a policy is made available to the recipient. In scenarios A, B, and C (policy mailed to the applicant, policy mailed to the agent, policy delivered to the applicant by the agent), the policy is being transmitted to either the applicant or an intermediary (the agent) for eventual delivery to the applicant.

Therefore, these options all constitute policy delivery. In contrast, option D (policy issued with a rating) describes a policy characteristic rather than the method of delivery. It involves setting the terms of the policy, including any special conditions or premiums based on risk assessment, but does not involve the actual process of delivering the policy to the applicant.