A California individual life insurance policy has been in force for three years. The insurer now discovers that the insured made a fraudulent misstatement on the application. Under Section 10113.5, the insurer:

Question

Accepted Answer

Cannot contest the policy, because the two-year contestability period has expired with no fraud exception

Answer

Can contest the policy because fraud has no time limit

Answer

Can contest only if the misstatement involved the insured's age

Answer

Must rescind the policy and refund all premiums

A California individual life insurance policy has been in force for three years. The insurer now discovers that the insured made a fraudulent misstatement on the application. Under Section 10113.5, the insurer:

Related Practice Questions