Upon discovering Jonas was older than he claimed, what amount will the insurance company pay upon his death?

The correct response is that the insurance company will pay the amount of insurance that Jonas' premiums would have purchased at his correct age. This situation typically arises in life insurance policies when there is a misrepresentation of age at the time of application.

When an insured individual inaccurately states their age, the insurance company assesses the risk of insuring that person based on the information provided. If the actual age is determined to be higher than the stated age, the insurance company may adjust the payout to reflect what the premiums would warrant had they known the true age initially.

This approach serves to maintain fairness in the insurance contract, ensuring that premiums correlate with the actual risk associated with the policyholder's age. If Jonas had been truthful about his age, the premiums he paid would have bought a smaller amount of life insurance coverage, which is why the claim would be calculated based on what might have been purchased at his correct age instead of the originally stated amount.

This helps protect insurers from fraud and misrepresentation while still allowing beneficiaries to receive a benefit based on the rightful premium payments made.