Question: a) To explain features and benefits of a proposed policy to the consumer
b) To obtain important underwriting information from the applicant
c) To help consumers compare policy prices
d) To protect agents and insurers against lawsuit
Answer: To explain features and benefits of a proposed policy to the consumer.
A disclosure statement is a statement in an official document that spells out the terms and conditions, features, benefits, risks, and rules in a financial transaction.
An insurance is an example of a financial transaction, and a typical financial transaction has disclosure statement. In an insurance policy, the disclosure statements states all the features of the transaction.