Texas General Lines — Life, Accident, Health and HMOHealth InsuranceEasy
A client has a health insurance policy that includes a 'Free Look' provision. How many days does the client typically have to return the policy for a full refund after delivery?
- A20 days
- B30 days
- C10 days
- D5 days
Show answer & explanationAnswer & explanation
Correct answer: C. 10 days
The 'Free Look' provision, also known as the Right to Examine period, typically grants the policyholder 10 days after delivery to review the policy and return it for a full refund if not satisfied.
Why the other options are wrong
- A. 20 days is not a standard 'Free Look' period for health insurance policies.
- B. 30 days is common for Medicare Supplement and Long-Term Care policies, but not for most individual health policies.
- D. 5 days is generally too short for a 'Free Look' period in health insurance.
Free Look Provision
A mandatory health insurance policy provision that allows the policyholder a specified period (typically 10 days) after delivery to review the policy and return it for a full refund if not satisfied.
- Starts upon policy delivery.
- Allows for full refund if returned within the period.
- Protects consumers from buyer's remorse.
Memory trick: Look Freely, Refund Fully, Ten Days Kindly.