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A student airplane pilot may buy life insurance at a regular price if the policy that is purchased contains:

Rationale

An Aviation Exclusion.

Many life insurance policies categorize certain high-risk activities, such as flying, as exclusions to coverage. However, if a pilot purchases a policy with an Aviation Exclusion, the insurer does not charge a higher premium for the policy, making it available at a regular price.

A (an Aviation Exclusion) CORRECT

An Aviation Exclusion specifically acknowledges the risks associated with flying and allows the insurer to offer a policy to pilots at regular pricing, as it limits coverage during aviation activities. This allows pilots to obtain life insurance without the increased costs associated with their occupation.

B (a Guaranteed Insurability rider) YOUR ANSWER

A Guaranteed Insurability rider allows the policyholder to purchase additional coverage at specified times without undergoing further medical underwriting. However, this rider does not directly affect the base premium of the policy. Thus, it does not provide the same pricing benefits as an Aviation Exclusion for pilots.

C (a Hazardous Occupation Exclusion) YOUR ANSWER

A Hazardous Occupation Exclusion typically increases the risk for insurers by excluding coverage for deaths related to specific high-risk occupations. This would likely lead to higher premiums rather than allowing pilots to buy insurance at regular prices.

D (an Accidental Death Benefit rider) YOUR ANSWER

An Accidental Death Benefit rider provides an additional payout if the insured dies as a result of an accident. While useful, it does not impact the initial pricing of the policy, especially in the context of a pilot's aviation activities, where specific exclusions are necessary to maintain regular pricing.

Conclusion

For a student airplane pilot, obtaining life insurance at a regular price is feasible only with an Aviation Exclusion, which acknowledges the inherent risks of flying without imposing higher premiums. The other options either do not influence the premium structure or could lead to increased costs, making them unsuitable for achieving regular pricing in this context.

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