Question

Frugal Insurance Company sells a policy to Grover Company, insuring the life of one of Grover's key executives. When the executive dies, Frugal refuses to pay, noting that it was not licensed to sell insurance in Grover's state and arguing that thus, its policy cannot be enforced. Grover can recover
a. the amount of the policy from Frugal in full.
b. the amount of the premiums that Grover paid to Frugal.
c. as much of the amount of the policy from Frugal as will cover Grover's costs.
d. nothing.

Answer

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