Under the incontestability clause, which exceptions allow contesting after the stated period?

• A. Nonpayment only
• B. Misstatement of age or gender only
• C. Fraud only
• D. Nonpayment, misstatement of age or gender, or fraud

Answer: (D)

After a life policy has been in force for a set period, usually two years, the insurer generally cannot contest the statements on the application. But that protection has three important exceptions that still permit contesting: if premiums were not paid, if there was a misstatement of age or gender on the application, or if fraud is involved. Nonpayment means the policy isn’t in force due to lack of premium, so contesting can occur. A misstatement of age or gender can be corrected or the benefits adjusted to reflect the true information. Fraud, meaning intentional deception in the application, allows the insurer to contest or void the policy despite the lapse of the contestability period. Because the question includes all three scenarios, it represents the complete set of exceptions.