Life Insurance and Annuity Contracts

What this document is

Maine Revised Statutes Title 24-A Chapter 29 - Life Insurance and Annuity Contracts is a state statute published by Maine Legislature, Office of the Revisor of Statutes (legislature.maine.gov). It is one of the Maine documents that insurance license exam questions are written from, including maine life & health practice questions. This page summarizes it and points to the official version, which is the text to rely on.

Sections cited in practice questions

Each practice answer shows the exact passage it comes from. These are sections of this document that questions cite, with a short excerpt from the source text.

• 24-A M.R.S. Chapter 29 § 2521 (Misstatement of age or sex -- annuities)

  “In an annuity or pure endowment contract, other than a reversionary, survivorship, or group annuity, there shall be a provision that if the age or sex of the person or persons upon whose life or lives the contract is made, or of any of them has been misstated, the amount payable or benefits...”

• 24-A M.R.S. Chapter 29 § 2526(3) (Prohibited Provisions)

  “No insurer shall provide in any policy, certificate, contract or agreement of life insurance for the payment of any insurance, indemnity or benefit in services, goods, wares or merchandise of any kind.”

• 24-A M.R.S. Chapter 29 § 2529(1)(B) (Nonforfeiture provisions: cash surrender value)

  “B. Cash surrender value. That, upon surrender of the policy within 60 days after the due date of any premium payment in default after premiums have been paid for at least 3 full years in the case of ordinary insurance or 5 full years in the case of industrial insurance, the insurer will pay, in...”

• 24-A M.R.S. Chapter 29 § 2506 (Entire contract)

  “There shall be a provision that except as otherwise expressly provided by law, the policy and the application therefor, if a copy of such application is endorsed upon or attached to the policy when issued, shall constitute the entire contract between the parties, and that all statements contained...”

• 24-A M.R.S. Chapter 29 § 2505 (Grace period)

  “The insurer may impose an interest charge not in excess of 6% per annum for the number of days of grace elapsing before the payment of the premium, and, whether or not such interest charge is imposed, if a claim arises under the policy during such period of grace the amount of any premium due or...”

• 24-A M.R.S. Chapter 29 § 2507 (Incontestability)

  “There shall be a provision that the policy shall be incontestable after it has been in force during the lifetime of the insured for a period of not more than 2 years after its date of issue, except for nonpayment of premiums and, at the insurer's option, provisions relating to benefits in the event...”

• 24-A M.R.S. Chapter 29 § 2508 (Misstatement of age)

  “There shall be a provision that if the age of the insured or of any other person whose age is considered in determining the premium or benefit has been misstated, any amount payable or benefit accruing under the policy shall be such as the premium would have purchased at the correct age or ages.”

• 24-A M.R.S. Chapter 29 § 2534 (Exceptions to the Standard Nonforfeiture Law)

  “Sections 2529 to 2534 do not apply to any of the following: 1. Reinsurance; 2. Group insurance; 3. Pure endowment; 4. Annuity or reversionary annuity contract;”

• 24-A M.R.S. Chapter 29 § 2531 (Paid-up nonforfeiture benefits)

  “Any paid-up nonforfeiture benefit available under the policy in the event of default in a premium payment due on any policy anniversary shall be such that its present value as of such anniversary shall be at least equal to the cash surrender value then provided for by the policy or, if none is...”

• 24-A M.R.S. Chapter 29 § 2513 (Payment of Claims)

  “There shall be a provision that when the benefits under the policy shall become payable by reason of the death of the insured, settlement shall be made upon receipt of due proof of death and, at the insurer's option, surrender of the policy and proof of the interest of the claimant.”

• 24-A M.R.S. Chapter 29 § 2510 (Policy loan)

  “The policy shall reserve to the insurer the right to defer the granting of a loan, other than for the payment of any premium to the insurer, for 6 months after application therefor.”

• 24-A M.R.S. Chapter 29 § 2526(1) (Prohibited Provisions)

  “No life insurance policy, other than industrial insurance, shall be delivered or issued for delivery in this State, if it contains any of the following provisions: A. A provision by which the policy purports to be issued or to take effect more than one year before the original application for the...”

Practice this material

Questions about this source

More Maine sources

• Me. Rev. Stat. tit. 24-A, s. 2152: Unfair methods; deceptive acts prohibitedState statute
• Me. Rev. Stat. tit. 24-A, s. 1420-A: Insurance producer licensing definitionsState statute
• Me. Rev. Stat. tit. 24-A, s. 2153: Misrepresentation; false advertising of policiesState statute
• 24-A M.R.S. Chapter 33 - Health Insurance Contracts (Secs. 2701 onward, selected)State statute
• Maine Revised Statutes Title 24-A Chapter 1 - General Definitions and ProvisionsState statute
• Maine Revised Statutes Title 24-A Chapter 17 - Agents, Brokers, Consultants and AdjustersState statute
• Maine Revised Statutes Title 24-A Chapter 21 - Unauthorized Insurers: Prohibitions, Process and AdvertisingState statute
• Maine Revised Statutes Title 24-A Chapter 23 - Trade Practices and FraudsState statute