State RegulationsAZ specificDifficulty 2/5
Under A.R.S. 20-1352, how are benefits payable under an individual health policy once the insurer receives due written proof of loss?
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Answer & full 3-part explanation (select an option above, or peek)
Why A is correct
A.R.S. 20-1352 requires that non-periodic losses be paid immediately upon receipt of due written proof of loss, while periodic loss-of-time benefits are paid at least monthly. Any balance remaining unpaid at the insured's death or at policy expiration must also be paid immediately, so the insurer cannot warehouse claim proceeds.
Why the other options are wrong
- B) 90 days is the proof-of-loss deadline under A.R.S. 20-1351, not a payment window.
- C) Nothing in A.R.S. 20-1352 allows deferral to year-end; immediate payment is the statutory rule.
- D) The statute requires immediate payment for non-periodic losses and at least monthly payment for periodic ones — both figures in this option misstate it.
Memory hook
Lump sums now; monthly checks at minimum.