Texas General Lines — Life, Accident, Health and HMOTexas Statutes and Rules Common to Life, Accident, Health and HMOMedium

A life insurance policy is issued in Texas, and the policyholder decides to return it within the free-look period. What is the minimum free-look period for life insurance policies in Texas?

  1. A30 days
  2. B10 days
  3. C7 days
  4. D20 days
Show answer & explanation

Correct answer: B. 10 days

Texas law mandates a minimum 10-day free-look period for life insurance policies. This allows policyholders to review the policy and return it for a full refund if they change their mind.

Why the other options are wrong

  • A. This is incorrect; 30 days is common for replacement policies, but 10 days is the general minimum.
  • C. This is incorrect; 7 days is not the standard free-look period for life insurance.
  • D. This is incorrect; 20 days is not the standard minimum.

Life Insurance Free-Look Period

A period of time, mandated by state law, during which a new life insurance policyholder can review the policy and return it for a full refund of premiums paid.

  • Starts from the date the policy is delivered to the policyholder.
  • Allows for a full refund of premiums.
  • Intended for consumer protection and review.

Memory trick: Ten days to look, then decide, no hook.

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