An insurer issues an individual life policy whose equivalent level death benefit is more than $5,000 and delivers only a simplified written statement in place of the Policy Summary. Under G.S. 58-60-15, which statement about this delivery is correct?

Why A is correct

Under G.S. 58-60-15, a simplified written statement may substitute for the full Policy Summary only where the policy's equivalent level death benefit does not exceed $5,000. A policy above that threshold requires the full Policy Summary, so delivering only the simplified statement for this larger policy fails the disclosure requirement.

Why the other options are wrong

• B is wrong because the simplified statement is a concession limited to small policies, not a universal substitute for the Policy Summary.
• C is wrong because applicant consent cannot waive the Policy Summary requirement; only the small-benefit exception applies.
• D is wrong because simplified written statements are lawful in North Carolina, but only for policies at or below the $5,000 equivalent level death benefit.

Memory hook

Above $5,000, the short form stops working - full summary required.

Why A is correct

Under G.S. 58-60-15, a simplified written statement may be delivered in place of the full Policy Summary where the policy's equivalent level death benefit does not exceed $5,000. The exception is keyed to the size of the death benefit, not to the policy type, the premium mode, or any waiver the applicant might sign.

Why the other options are wrong

• B) Being a short-term policy does not qualify; the simplified statement depends on the death-benefit amount.
• C) The premium mode is irrelevant to the simplified-statement exception under G.S. 58-60-15.
• D) No applicant waiver of the Policy Summary is recognized; the exception depends on the $5,000 death-benefit limit.

Memory hook

Small policy, small paperwork — $5,000 or less allows the simplified statement.