§ 27-8-5-7 — Acceptance of premium for period beyond termination date; effect; misstatement of age

If any such policy contains a provision
establishing, as an age limit or otherwise, a date after which the
coverage provided by the policy will not be effective, and if such date
falls within a period for which premium is accepted by the insurer or
if the insurer accepts a premium after such date, the coverage provided
by the policy will continue in force subject to any right of cancellation
until the end of the period for which premium has been accepted. In the
event the age of the insured has been misstated and if, according to the
correct age of the insured, the coverage provided by the policy would
not have become effective, or would have ceased prior to the
acceptance of such premium or premiums, then the liability of the
insurer shall be limited to the refund, upon request, of all premiums
paid for the period not covered by the policy.
Formerly: Acts 1953, c.15, s.169.7.