Which of the following statements is NOT true regarding endorsements?

The statement regarding endorsements that is NOT true is that endorsements are always beneficial for the policyholder. While endorsements can indeed provide additional coverage or modify terms to improve a policyholder's protection, this is not always the case. Some endorsements may introduce restrictions, exclusions, or higher premiums that could be less advantageous or even detrimental for the policyholder.

Understanding that endorsements can vary widely in their impact is crucial. They are tools that allow for customization of insurance policies to meet the specific needs of the insured, which means that while many endorsements are designed to enhance coverage, some may not serve the policyholder's best interests or could even create additional liabilities.

The other statements about endorsements hold true:

• They are indeed changes made to a policy, which can be initiated for various reasons throughout the policy term.

• Endorsements can be added at any time during the policy period, allowing for flexibility as the needs of the policyholder change.

• They can modify the original terms of a policy, either by expanding coverage or altering other policy terms.