Reinstatement occurs when a lapsed policy is put back in force before surrender; the insurer will require what?

Reinstatement occurs when a lapsed policy is put back in force before surrender; the insurer will require what?

• A. The insured must wait at least 60 days before suing, with a maximum time limit to sue.
• B. False
• C. Only back premium
• D. Only proof of insurability

Answer: (B)

Reinstatement means bringing a lapsed policy back into force within the allowed reinstatement period by meeting several conditions, not just a single requirement. In practice, you’ll usually need to pay all overdue premiums plus interest, repay any outstanding policy loans (and interest on those), and provide evidence of insurability (often through a new application or underwriting). Some policies also require completion of a reinstatement application within a set timeframe. Because reinstatement isn’t fulfilled by just one thing, the statement that focuses on a single requirement isn’t accurate. The insurer typically looks for a combination of payments, loan repayment, and new health information, rather than only back premium or only proof of insurability, and there isn’t a standard suing waiting period tied to reinstatement.

Reinstatement means bringing a lapsed policy back into force within the allowed reinstatement period by meeting several conditions, not just a single requirement. In practice, you’ll usually need to pay all overdue premiums plus interest, repay any outstanding policy loans (and interest on those), and provide evidence of insurability (often through a new application or underwriting). Some policies also require completion of a reinstatement application within a set timeframe.

Because reinstatement isn’t fulfilled by just one thing, the statement that focuses on a single requirement isn’t accurate. The insurer typically looks for a combination of payments, loan repayment, and new health information, rather than only back premium or only proof of insurability, and there isn’t a standard suing waiting period tied to reinstatement.