Under the incontestability clause, after how many full years can the insurer not contest misrepresentation or concealment?

• A. After one year
• B. After five years
• C. The policy can never be contested for misrepresentation
• D. After two full years, the insurer cannot contest misrepresentation or concealment

Answer: (D)

The main idea here is the incontestability period. After a life insurance policy has been in force for two full years, the insurer generally cannot contest the policy based on misstatements or concealment in the application. This provides stability for the insured, preventing later rejection of the claim due to statements made on the application after that period. Note that fraud or certain other exceptions (like nonpayment of premiums) can still affect coverage in some cases, but misrepresentation or concealment itself can’t be used to deny a claim once two years have passed. That makes two full years the point at which misstatements are no longer contestable.