State RegulationsAZ specificDifficulty 2/5
A flexible-premium variable life policyholder in Tucson stops paying premiums. Under A.R.S. 20-2604, the grace period for a flexible-premium variable life policy must run until at least when?
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Answer & full 3-part explanation (select an option above, or peek)
Why D is correct
A.R.S. 20-2604 requires the grace period of a flexible-premium variable life policy to end not less than 61 days after the policyholder report is mailed. Because flexible premiums vary, the statute anchors the protection to the periodic report rather than to a fixed due date.
Why the other options are wrong
- A) 30 days is the ordinary life grace figure under A.R.S. 20-1203 and does not govern flexible-premium variable life.
- B) The 10-day figure is the variable life right of return, not the grace period.
- C) 31 days measured from the due date is the scheduled-premium variable life grace period, a different product design.
Memory hook
Flexible variable: report mailed, then at least 61 days.