What is the primary stipulation regarding the adjustment of policy benefits by the insurer?

The primary stipulation regarding the adjustment of policy benefits by the insurer centers on the condition that an insurer may adjust benefits if they were made aware of the insured's correct age and sex. This provision is significant because it ensures that the correct risk associated with an individual's profile is taken into account. An insurer may need to revise the benefits provided based on this accurate information, as age and sex are critical factors in underwriting and determining premium rates.

This adjustment mechanism allows insurers to maintain fair pricing and coverage consistency, which is essential in the insurance industry. If incorrect information was initially provided, the insurer has the right to rectify the situation by making necessary adjustments in line with accurate data. This practice not only protects the insurer from potential losses but also upholds the integrity of the insurance contract.

Other options suggest scenarios that do not align with common industry practices or regulations governing insurance adjustments. For instance, stating that benefits can never be adjusted after a policy is issued doesn't consider situations like the one highlighted regarding accurate demographic information. Additionally, other provided options imply conditions that are not standard practice within the realm of policy adjustments.