Which of the following statements about the 'Free Look Period' in ULIPs is correct as per IRDAI guidelines for distance marketing?

hard Q10 of 15

Insurance Awareness - Life Insurance - LIC

AThe free look period is 30 days for policies sold through distance marketing channels.

BThe free look period is 15 days from the date of receipt of the policy document.

CNo free look period is applicable for ULIPs.

DThe free look period is 45 days for all ULIP policies.

Step-by-Step Solution

Step 1: Understand free look period
Free look period allows policyholders to review and return the policy if dissatisfied.
Step 2: IRDAI rules for distance marketing
IRDAI mandates a 30-day free look period for policies sold through distance marketing (online, phone, etc.).
Step 3: Analyze options
The free look period is 30 days for policies sold through distance marketing channels. correctly states the 30-day period for distance marketing.
Final Answer:
The free look period is 30 days for policies sold through distance marketing channels. → Option A
Quick Check:
Standard free look period is 15 days for physical sales; 30 days for distance marketing.

Quick Trick: Distance marketing = 30 days free look period.

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