Inforce Certification - Module 3: Free Look Period

The Inforce Certification provides a comprehensive understanding of the key aspects of life insurance policies once they are in force. This certification covers a range of topics related to policy services, technology, billing, changes, loans, and more. Participants will gain knowledge of how to manage policies post-issue, including understanding policy updates, billing processes, and critical policy changes. The course also includes guidance on the use of technology, such as online portals and software products, and addresses specific policy-related actions like reinstatements, conversions, and surrenders. It will also explore the financial implications of policy loans, collateral assignments, and premium financing. This certification is essential for those involved in life insurance policy administration and advisory services.

Module Overview:

Module 3 – Free Look Period

This module defines the free look period, during which a new policy owner can cancel their policy for a full premium refund without penalties. It covers situations when a free look period may apply after the policy is in force and highlights how free look periods vary by state and product type.

Learning Objectives

• Define the free look period and its purpose.

• Identify situations beyond new business, that may initiate a free look period.

• Understand the implications of a 1035 exchange on the free look period.

• Explain how the free look period varies based on state and product type.

• Recognize the need for written notification when exercising the free look period.

COURSE CONTRIBUTORS