Completing the Application, Underwriting, Delivering Policies, Contract Law
An owner receives a replacement life policy approved under the Insurance Compact standards and decides during the required review period that it is unsuitable. What action preserves the free-look remedy?
Answer and explanation
Answer: A. For a replacement policy, the Compact standard requires a review period of at least 30 days from receipt. Returning the policy as directed during that period makes it void from the beginning and requires refund of premiums, fees, and charges.Source: Interstate Insurance Product Regulation Commission — Individual Flexible Premium Adjustable Life Insurance Policy Standards — § 3 > AA. Right to Examine Policy (1)
More completing the application, underwriting, delivering policies, contract law questions
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