FREE-LOOK PERIOD or (free look provision)

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FREE-LOOK PERIOD or (free look provision) If you do not agree or are not comfortable with the terms and conditions of your purchased policy, you can return the same within a specific time period as mentioned in the policy document. The free look period is for the benefit of a policyholder. You can think of a free look period as a consumer-friendly provision formulated by Insurance Regulatory Authority and adopted by the insurance company. The premium will be refunded after deducting the proportionate risk premium, stamp duty charges and cost of medical examination incurred if any (surrender charges). It is impossible for you to review the actual insurance contract language without a free look period. Here, the purpose of a free look period in insurance is to provide you enough time to assess the policy wordings before you commit to paying the premiums. The question is do you need to state the reason to cancel a policy during the free look period? Oh YES It is crucial to state the reason for policy cancellation request in writing. The insurer will get in touch to provide possible solutions. The "free look" period is a time for you to continue to ask questions so that you understand the terms and conditions of the policy and make sure that it is right for you. #benewinsurance #insurtech #inclusiveinsurance #insurance #reinsurance #takaful

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