Delaware Life Insurance (DE)
The state of Delaware has laws and regulations in place to financially protect both life insurance customers and life insurers.
Delaware Life Insurance Laws Protecting Consumers (DE)
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Delaware Insurance Code’s Chapter 18: Protects you, the insurance consumer,
with policy claims and procedures.
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The 30-Day Grace Period Provision: One of such protections, allowing you to be up to thirty days late on your premium payment without the worry of the
insurance company terminating your life insurance policy.
Delaware residents, request a free life insurance quote!
- Death Benefits Finalization: Death benefit should not take longer than two months to finalize, with settlements made as soon as the proper proof of death is
given. An exact claims procedure description will be within your policy.
Delaware Life Insurance Regulations Protecting Insurers (DE)
In addition to laws protecting consumers, Delaware also has laws in place to protect insurers from dangerous financial situations. Some laws and regulations include:
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Statements made on an application for life insurance may be contested by
the insurer within the first two years of the policy, beginning at the effective date. If any fraudulent or incorrect statements are found, the policy may be terminated by the
insurer and all premium payments refunded.
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In the years following the first two, a fraudulent statement made by the insured must be proved by the insurer.
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Any age misstatements may be found at any point during the life of the policy and will result in an adjustment in the death benefit.
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Life Insurance Illustrations (financial projections made by the insurer) are legal and regulated under the Delaware insurance laws.
Additional Life Insurance Regulations in Delaware (DE)
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Viatical Settlements: An agreement between an insured individual and a third party. The third party is responsible for all premium payments, and in turn
is the beneficiary of the insured individual’s life insurance policy. Viatical settlements are both legal and regulated in the state of Delaware through Viatical agents.
If in doubt of your insurer, be sure to check with them before committing to anything.
- Delaware Life & Health Insurance Guaranty Association: Protects you and your benefits in the unfortunate situation that your life insurance company
becomes bankrupt. All licensed insurance companies in Delaware pay fees to the Guaranty Association in return for this service.
- The maximum settlement allowed for a single insured death benefit is $300,000, while the maximum allowed for cash surrender is $100,000.
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In order to qualify for the protection this organization offers, your life insurance premiums must be current and your life insurance policy must be written
through a Delaware licensed company.
Life-Insurance-Info.us is not a life insurance broker or carrier, and cannot issue life insurance policies. This site provides free information on insurance providers and coverage options. We are not associated with the companies profiled on Life-Insurance-Info.us and we make no representation, express or implied, that you will receive a quote from a specific company profiled herein. Products and policies may not be available in all states, and product and policy information is subject to change without notice. Please contact the insurance company directly to answer your policy inquiries.
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