What is the primary purpose of the free-look period?

The primary purpose of the free-look period is to allow policyholders to evaluate the policy. During this time, typically ranging from 10 to 30 days after the policy is delivered, the policyholder has the opportunity to review the terms and conditions of the insurance policy. If they determine that the policy does not meet their needs or expectations, they can cancel it and receive a full refund of any premiums paid. This provision helps ensure that consumers have an adequate chance to assess the suitability of the policy without any financial risk, promoting informed decision-making in the purchase of life and health insurance products. This consumer protection feature is vital in the insurance industry, as it contributes to building trust and encourages potential policyholders to engage with available options confidently.