Washington Life Producer Practice Exam

After how many years does a life insurance policy typically become incontestable?

1. 1 year

2. 2 years

3. 3 years

4. 5 years

The correct answer is: 2 years

A life insurance policy typically becomes incontestable after a period of two years from the date of issuance. This two-year period is known as the contestability period, during which the insurer has the right to investigate and possibly deny claims based on misrepresentations or omissions on the application. Once this period has passed, the insurer generally cannot contest the validity of the policy or deny a claim based on misstatements made by the insured, except in cases of fraud. This rule is designed to protect policyholders by providing them with assurance that their coverage will remain in effect as long as premiums are paid, promoting peace of mind for policyholders.