For how long can a life insurance policy usually be contested by the insurer?

Life insurance policies can typically be contested by the insurer for a period of two years from the date the policy is issued. This contestability period is important as it allows insurance companies to investigate claims that may involve misrepresentation or fraud. During this two-year timeframe, the insurer retains the authority to deny claims based on any inaccuracies in the information provided by the policyholder at the time of issuance.

If a claim is raised after this two-year period, insurers are generally barred from contesting the policy, except in cases of very specific situations such as when fraud is proven. This rule provides some stability and peace of mind to policyholders, knowing that after the designated period, their policy cannot be easily invalidated based on earlier discrepancies. This two-year contestability period is a standard practice across many states, including Arizona, aligned with the broader principles of consumer protection in insurance matters.