The 10-day free-look period applies to life and health policies, during which the insured may cancel for a full refund. This means:

• A. It allows the insured to review and cancel within 10 days for a full refund
• B. It allows the insurer to cancel the policy within 10 days
• C. It requires issuing the policy within 10 days
• D. It permits a 10-day grace period to pay the premium

Answer: (A)

The main idea here is the free-look period, a buyer protection built into life and health policies. After you receive the policy, you have a short window—typically 10 days—to review the policy terms and decide if you want to keep it. If you’re not satisfied, you can cancel and receive a full refund of the premiums you’ve paid. This ensures you aren’t locked into a policy you haven’t fully evaluated.

That’s why the correct choice is that you may review and cancel within 10 days for a full refund. It isn’t about the insurer canceling the policy, nor about a requirement that the policy be issued within 10 days, nor about a grace period for paying premiums. Those are separate concepts.