When does the free-look period begin?

When does the free-look period begin?

• A. On the policy issue date.
• B. On delivery of the policy to the insured.
• C. When the premium is paid.
• D. At the start of the policy term.

Answer: (B)

The free-look period begins when the policy is delivered to the insured. This timing ensures the policyholder has the actual contract in hand to review its terms, riders, and exclusions before committing, and it gives them a window to cancel for a full refund if the policy isn’t what they expected. It does not start on the issue date, nor when the premium is paid, nor at the start of the policy term, because those moments occur before the insured has received and can examine the actual policy document.

The free-look period begins when the policy is delivered to the insured. This timing ensures the policyholder has the actual contract in hand to review its terms, riders, and exclusions before committing, and it gives them a window to cancel for a full refund if the policy isn’t what they expected. It does not start on the issue date, nor when the premium is paid, nor at the start of the policy term, because those moments occur before the insured has received and can examine the actual policy document.