California Insurance Code

§ 10271.1

INS § 10271.1 Effective Jan 1, 2022Div. 2 · Part 2 · Ch. 4 · Art. 1

Statute text

(a)(1) Supplemental benefits that operate to safeguard life insurance contracts against lapse are defined as a waiver of premium benefit or a waiver of monthly deduction benefit, as applicable, in which the insurer waives the premium or monthly deduction for a life insurance contract when the insured becomes totally disabled, as defined by the supplemental benefit, and where the waiver continues until the end of the insured’s disability, or for the period specified by the supplemental benefit, consistent with paragraph (5).

(2)For purposes of this subdivision, total disability shall not be less favorable to the insured than the following:

(A)During the first 24 months of total disability, the insured is unable to perform with reasonable continuity the substantial and material duties of their job due to sickness or bodily injury.

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Legislative history

Amended by Stats. 2021, Ch. 627, Sec. 14. (AB 1511) Effective January 1, 2022.