An applicant for a disability income policy regularly races motorcycles on weekends. How is this avocation likely to affect underwriting?

Why A is correct

Avocations, meaning hazardous hobbies and recreational activities such as racing, skydiving, scuba diving, and private aviation, are rated factors in disability underwriting because they measurably increase the chance of a disabling injury. The application or underwriting process typically asks about such activities, and a dangerous hobby may result in a higher premium, an exclusion rider for that activity, or a reduced benefit. Underwriting prices the extra risk rather than reflexively declining the applicant, so coverage usually remains available at adjusted terms.

Why the other options are wrong

• B) Off-the-job activity matters greatly in disability underwriting because disability policies commonly pay for non-occupational causes as well. A dangerous hobby directly raises the probability of a covered claim and cannot be ignored.
• C) A hazardous avocation is a rating factor, not an automatic disqualification. Insurers commonly respond with a higher premium, an exclusion for the activity, or reduced benefits rather than a flat declination.
• D) Physical activity does not offset the elevated injury risk of motorcycle racing. The increased claim probability is what the underwriter prices, so the premium goes up rather than down for a dangerous hobby.

Memory hook

Weekend skydiving? The underwriter is watching, and the price knows.