Question

The insured under a $100,000 life insurance policy with a triple indemnity rider for accidental death was killed in a car accident. It was determined that the accident was his fault. The triple indemnity rider in the policy specifies that the death must not be contributed to by the insured in any manner. In this case, what will the policy beneficiary receive?

Answer 1

Answer:

$100,000

Explanation:

A triple indemnity clause attached to a life insurance policy should pay in case of accidental death three times the amount of the policy. But in order for this clause to be effective, the insured must not have any responsibility in the accident.

In this case, since the accident was caused by the insured, the triple indemnity clause doesn't apply, so the regular amount ($100,000) has to be paid to the beneficiary.