After how many years of being in force is a disability policy considered incontestable?

A disability policy is considered incontestable after it has been in force for two years, according to Louisiana law. This means that after the policy has been active for this period, the insurer cannot deny a claim based on misstatements or omissions made by the insured in the application. This rule is designed to provide policyholders with some degree of certainty and protection, ensuring that they can rely on their coverage without fear of dispute due to earlier policy misrepresentations after the two-year mark.

The two-year incontestability period is a common standard across many jurisdictions, emphasizing the importance of stability and protection for policyholders once they have maintained their policy over a significant duration. It encourages insurers to conduct thorough underwriting at the inception of the policy, as they carry the responsibility of validating information provided by applicants before the policy is issued.

Longer periods, such as three years or five years, do not align with the standards set forth in Louisiana law regarding incontestability for disability policies, and a shorter period like one year does not provide adequate security and confidence for policyholders.