What is free look period? What is grace period.?

Question

Accepted Answer

Free look period is a time frame given to policyholders to review and cancel their insurance policy without penalty. Grace period is an additional time given to pay the premium after the due date.

Free look period is usually 15-30 days after the policy is issued.
During the free look period, the policyholder can cancel the policy and receive a full refund of the premium paid.
Grace period is usually 15-30 days after the premium due date.
During the grace period, the policy remains in force and the policyholder can pay the premium without penalty.
If the premium is not paid by the end of the grace period, the policy may lapse or be cancelled.

Accepted Answer

Insurance co.offer a Grace period of 15days after the due date where insured can pay renewal amount so that the insurance policy does not get lapsed.free look period gives a chance at the beginning of your policy term you can cancel your life insurance with no penalty in most cases you will get your premium back.typically in the period of 10 to 30 days policy owner can terminate the policy and have their premium refunded without any surrender charges...

What is free look period? What is grace period.?

Top Axis Max Life Insurance Operations Executive interview questions & answers

Popular interview questions of Operations Executive

Top HR questions asked in Axis Max Life Insurance Operations Executive