State RegulationsNY specificDifficulty 2/5
A replacement life insurance policy is delivered in Albany. Under Reg 60, what must the NEW insurer do once the policy is delivered?
Select an option to reveal the answer and the full 3-part explanation — free, no signup.
Answer & full 3-part explanation (select an option above, or peek)
Why D is correct
Under Reg 60 (11 NYCRR Part 51), the insurer whose policy replaces existing coverage must, within 10 days of policy delivery, mail a copy of the signed disclosure statement to the insurer whose policy is being replaced. This gives the replaced insurer notice and an opportunity to verify that its policy was properly identified before coverage is dropped.
Why the other options are wrong
- A) Supplying policy information within 20 days of a request is the obligation of the REPLACED insurer, not a mailing duty the new insurer owes the applicant.
- B) The 10-day refund deadline applies to refunds owed after a policyowner exercises the Reg 60 unconditional refund right, not to every policy delivery.
- C) Obtaining the applicant's signed replacement statement is the AGENT's duty at the application stage, not the new insurer's post-delivery duty.
Memory hook
New insurer tells old insurer within 10 days — Reg 60's post-delivery chore.