Ace the 2025 Louisiana Life and Health Test – Revitalize Your Future!

The statement that the policy can be contested by the insurer only during the first two years of the contract is accurate. This provision, known as the contestability period, typically allows insurers a specific timeframe—usually two years from the date of issuance—to investigate and contest claims based on misrepresentations or omissions made by the insured during the application process. If the insurer discovers any discrepancies or fraudulent information within this two-year time frame, they can deny the claim or void the policy.

Once the contestability period has passed, the insurer generally cannot challenge the validity of the policy, with limited exceptions, such as instances of fraud despite the lapse of this period. This limited window helps to provide additional security to policyholders, ensuring that they are protected from claims disputes after they've had the policy in force for a certain time.

The other statements do not align with standard industry practices regarding contestability periods. Hence, they do not accurately represent the typical conditions under which life insurance policies can be contested.