What Is the Contestability Period on Life Insurance? What Seniors Must Understand

What Is the Contestability Period?

During the first two years after a policy is issued, the insurance company has the right to investigate a claim if they believe the application contained misrepresentation.

Why It Exists

Insurance companies price policies based on the health information you provide. The contestability period gives carriers time to discover material misrepresentation if it occurred.

What Happens If a Claim Is Filed in the First Two Years?

The carrier reviews your application against your medical records. If everything matches — no problem, full benefit is paid promptly.

If material misrepresentation is found, the carrier may deny the claim and return premiums only, or reduce the benefit to what would have been issued with accurate information.

After Two Years

Once the two-year contestability period passes, your policy is incontestable. The carrier cannot investigate or deny a claim except for non-payment of premiums.

The Most Important Lesson

Always answer all health questions completely and honestly at application. We help every client understand what to disclose and how to present their health history accurately. Misrepresentation is the leading cause of claim problems — and it is entirely preventable.

Work with a broker who ensures your application is done right — free

Critical Life Insurance | FL License #G180089 | NPN #21367442 | Licensed in FL, TX, OH, MI, LA, MS, NC, IA, and AL