Grace period doesn’t prevent insurers from rejecting a claim – Moonstone Information Refinery

Grace period doesn’t prevent insurers from rejecting a claim – Moonstone Information Refinery

In this tough economic climate, policyholders may decide not to pay their short-term or non-life insurance premiums to save money. But this can result in more financial difficulties if a loss occurs when the premium is not paid. To safeguard policyholders by ensuring continuous cover, an insurer must grant a policyholder a grace period within which to pay an unpaid premium. Policyholder Protection Rule 15 provides that an insurer shall ensure th…