Maria owns a Critical Illness insurance policy with a 30-day survival period. She was diagnosed with a covered critical illness on June 1st. Tragically, she passed away on June 20th due to complications from the illness. Which of the following statements is true regarding her policy's payout?

Question: Maria owns a Critical Illness insurance policy with a 30-day survival period. She was diagnosed with a covered critical illness on June 1st. Tragically, she passed away on June 20th due to complications from the illness. Which of the following statements is true regarding her policy's payout?

Answer options: ✅ The policy will not pay out because she did not survive beyond the 30-day survival period.

• The policy will pay the full benefit because the illness was diagnosed.
• The policy will pay a partial benefit proportionate to the time she survived.
• The policy will pay out, but only if her death was unrelated to the critical illness.

Correct answer: The policy will not pay out because she did not survive beyond the 30-day survival period.

Explanation: A Critical Illness policy's survival period requires the insured to survive for a specified number of days (e.g., 30 days) from the date of diagnosis of a covered illness for the benefit to be payable. If the insured dies within this period, no benefit is paid.