A New York consumer replaces an existing life insurance policy with a new one but has second thoughts after delivery. Under N.Y. Ins. Law §2123(a)(3)(D), within how many days after the NEW policy is issued may the applicant return it and reinstate the prior policy?

Why D is correct

Under N.Y. Ins. Law §2123(a)(3)(D), an applicant who replaces a policy may return the new policy within 60 days after it is issued and reinstate the prior policy as if the replacement had never occurred. The insurer must refund the new policy's premium, while the applicant pays the premiums (with any interest) owed on the reinstated policy under its own reinstatement provision.

Why the other options are wrong

• A) 10 days is the minimum free-look period for an ordinary policy, not the replacement rescission right.
• B) 31 days is the group life conversion application window, a different protection entirely.
• C) 45 days is the extension used when a conversion notice is late, not the replacement rescission window.

Memory hook

Replacement regret: 60 days to undo it and reinstate the old policy.