Which document typically must be signed by the applicant if they did not pay the premium at the time of application?

The statement of good health is a critical document that must be signed by the applicant when they have not paid the premium at the time of application. This document serves to confirm that the applicant is still in good health and that their condition has not changed since the initial application. The insurance company needs this assurance to mitigate the risk of insuring an individual who may have developed health issues after the application was submitted but before the premium was paid and the policy issued.

In situations where the premium is not collected upfront, the insurer wants to ensure that they are protecting themselves against potential adverse selection. By requiring the statement of good health, the insurer reinforces the principle of utmost good faith, as the applicant is affirming their current health status, which can significantly influence underwriting decisions and future policy coverage.