Final answer:
Statements on the application made by an applicant for a life insurance policy are known as representations. These statements provide important information about the applicant's health, lifestyle, and other relevant factors that help the insurance company assess the risk involved in offering the policy.
Step-by-step explanation:
Statements on the application made by an applicant for a life insurance policy are known as representations. These statements provide important information about the applicant's health, lifestyle, and other relevant factors that help the insurance company assess the risk involved in offering the policy.
For example, an applicant may need to disclose any pre-existing medical conditions or engage in a medical examination to provide accurate information. The accuracy of these representations is crucial, as any misrepresentations can lead to consequences such as denial of coverage, cancellation of the policy, or even legal action.