Iowa Code r. 191-39.24 - Incontestability period
(1) For a policy
or certificate that has been in force for less than six months, an insurer may
rescind a long-term care insurance policy or certificate or deny an otherwise
valid long-term care insurance claim upon a showing of misrepresentation that
is material to the acceptance for coverage.
(2) For a policy or certificate that has been
in force for at least six months but less than two years, an insurer may
rescind a long-term care insurance policy or certificate or deny an otherwise
valid long-term care insurance claim upon a showing of misrepresentation that
is both material to the acceptance for coverage and which pertains to the
condition for which benefits are sought.
(3) After a policy or certificate has been in
force for two years, it is not contestable upon the grounds of
misrepresentation alone; such policy or certificate may be contested only upon
a showing that the insured knowingly and intentionally misrepresented relevant
facts relating to the insured's health.
(4) No long-term care insurance policy or
certificate may be field-issued based on medical or health status. For purposes
of this subrule, "field-issued" means a policy or certificate issued by a
producer or a third-party administrator pursuant to the underwriting authority
granted to the producer or third-party administrator by an insurer.
(5) If an insurer has paid benefits under the
long-term care insurance policy or certificate, the benefit payments may not be
recovered by the insurer in the event that the policy or certificate is
rescinded.
(6) In the event of the
death of the insured, this rule shall not apply to the remaining death benefit
of a life insurance policy that accelerates benefits for long-term care. In
this situation, the remaining death benefits under these policies shall be
governed by Iowa Code section
508.28. In all other situations,
this rule shall apply to life insurance policies that accelerate benefits for
long-term care.
Notes
State regulations are updated quarterly; we currently have two versions available. Below is a comparison between our most recent version and the prior quarterly release. More comparison features will be added as we have more versions to compare.
No prior version found.