Life Policy ProvisionsQuestion 156 of 315
After a life insurance policy has lapsed for non-payment, the reinstatement provision generally requires which of the following from the policyowner?
a.Only payment of one current premium
b.Proof of insurability and payment of all back premiums with interest
c.A new application and a higher premium rate
d.Approval from the state insurance commissioner
Explanation
To reinstate a lapsed life policy within the reinstatement period (typically three to five years), the insured must provide evidence of insurability and pay all overdue premiums plus interest. The original policy is restored rather than a new contract being issued.
Law Reference: Cal. Ins. Code §10113Practice all 315 questions free — no signup required.
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