If a mother and child are without life insurance, what is the MAXIMUM amount of...

The correct answer is $25,000 . Under New York Insurance Law § 3207(b) , life insurance may be written on the life of a minor under age 14 years and 6 months by a person who has an insurable interest in that child or on whom the child depends for support. However, the amount that may be issued is limited. For a minor over age 4 years and 6 months , the maximum is $25,000 or 50% of the life insurance in force on the life of the person effecting the insurance, whichever is greater .

Here, the daughter is 5 years old , so she falls into the “over 4 years and 6 months” category. The mother and child are both described as without life insurance , so there is no insurance in force on the mother’s life to create a larger 50% comparison amount. That leaves the statutory base maximum of $25,000 .

The other answers are incorrect because $10,000 is below the permitted maximum, $50,000 exceeds the statutory limit in this fact pattern, and there is definitely not “no limit” under New York law.