if no suicide then is it correct to say that death benefits will be paid during the 2 yr contestable period?

Answer 1

You need to be careful here different states have varying rules. Generally though the things that will void a policy during the contestablity period are...suicide,death caused by illegal activity, and if there is evidence frauduent statements. Meaning you knew that for whatever reason you were going to die but did not disclose this info. Like you took a hit out on yourself.

Answer 2

Not necessarily. The 2 year period is to allow the insurance company to back out of it if they find fraud.

So, let's say that a 45 year old has a fatal disease, knows about it, but conceals it on the application. A year later, the disease kills him.

If the insurance company would not have issued that policy, or would have required a higher premium for that policy, they will deny the claim on the basis of fraud.

Answer 3

It may not pay full benefits. Thats why it has the clause. Check the policy or call the company to get full details.

Answer 4

I DON'T KNOW, I'M A LAWYER!