Tennessee Insurance Practice Exam 2026 – All-in-One Resource for Exam Success!

The insuring agreement in a life insurance contract is a critical component as it outlines the core promise of the policy. Specifically, it details the insurance company's commitment to pay a set amount of money, known as the death benefit, to a designated individual, referred to as the beneficiary, upon the death of the insured. This agreement serves as the foundation of the contract, defining the terms under which benefits will be paid.

In contrast, the other options represent different elements of an insurance policy. The beneficiary clause refers specifically to the section that designates who will receive the death benefit, while the policy declaration provides an overview of the policyholder's information, coverage amounts, and any relevant riders or endorsements. Lastly, the contract summary typically offers a brief outline of the policy's key features. Thus, the insuring agreement is the most accurate term for the provision of payment upon the insured's death.