Which of the following is an example of an "excluded risk" in life insurance?

Engaging in illegal activities is considered an excluded risk in life insurance policies because insurance companies typically avoid providing coverage for situations that involve unlawful behavior. This means if a policyholder dies while committing an illegal act, the insurance company may deny the claim based on the premise that the risk of injury or death was initiated by the insured's own criminal actions.

In contrast, death due to a pre-existing condition is often excluded as well, but it is viewed differently under most life insurance policies. Many policies have specific clauses that deal explicitly with pre-existing conditions. However, activities like engaging in illegal acts are more straightforwardly categorized as exclusions, as they often reflect a willful choice to engage in risky behavior outside the bounds of the law.

Other options such as death due to a heart attack or from natural disasters are generally covered under life insurance policies, depending on the terms of the contract and specific circumstances outlined in policy provisions. In summary, the nature of illegal activities definitively aligns it with the concept of excluded risks, which insurance companies seek to mitigate to prevent undue financial loss.