Which of the following is an example of a common policy exclusion in life insurance?

In life insurance policies, certain exclusions are commonly included to mitigate risk for the insurer. One notable example is the exclusion for death resulting from suicide within the first two years of the policy. This provision is often referred to as a "suicide clause." The rationale behind this exclusion is that individuals who may be at risk for suicide are more likely to purchase life insurance shortly before attempting to take their own life, thereby exploiting the policy for financial gain.

The two-year period is typically set to allow the insurer to assess the policyholder's mental health history while providing a measure of protection against potential abuse. After this time frame, the policy generally becomes active, and the death benefit would be payable in the event of suicide.

The other options represent scenarios that do not align with this common exclusion. For instance, death by old age typically does not fall under exclusion; accidental death is usually covered unless specifically excluded; and while death from natural disasters can be a nuanced topic, it is often included as part of standard coverage in life insurance policies unless stated otherwise. This understanding lays the groundwork for grasping the nuances of life insurance policy exclusions.