If you are in the market for life insurance, or if you already own a life insurance policy, here is important information you should know.  This information regards life insurance rules in the state of Connecticut, which could be vital to protecting your rights as a policyholder.

Connecticut Rules And Regulations

Connecticut’s life insurance is governed under Title 38 of the state statutes.  These rules protect policyholders and insurance companies alike and promote fair and standard practices in the industry.

Free Look

The state of Connecticut has a generous free look period for new policyholders.  Connecticut provides a 20-day free look, where a policy can be returned and all premiums will be refunded.  This provision allows you to “test drive” your policy before committing.  This is a longer time than most states provide for the free look.

Grace Period


Residents of Connecticut are given a 30-day window after a missed premium payment where their policy will remain in force, and a death benefit will still be paid if a claim is filed.  This period of time is known as a grace period, and prevents an insurance company from denying an otherwise valid claim due to a slightly late payment.  The grace period starts when the payment was due or when a policy no longer has cash value to loan or draw against.

Death Benefit Guarantee Of Connecticut

Having an insurer declare bankruptcy when they owe a beneficiary a death benefit, or when a policyholder has cash value in a life insurance policy can be a scary situation.  Luckily, Connecticut has protection to consumers against this risk.  The Connecticut Life and Health Insurance Guaranty Association will back the death benefit of your policy up to $300,000, and the cash value up to $100,000.  Even if an insurer is insolvent, Connecticut will pay the death benefit.  These values are maximums per person, regardless of the amount of money the policy may have or the death benefit may be.  The number of policies also does not affect the guaranteed maximums either.

Timely Payment On Claims

The state of Connecticut must make all claim payments in a prompt manner after the claim is filed.  This usually occurs within about a 2 month period, but many times the claims are paid faster.  Failure to pay claims in a timely manner may result in fines levied against the insurance company.

Right To Privacy

Connecticut regulations prevent insurance companies from violating your rights to privacy by sharing your personal information with other parties without your consent.  Only in very limited, and very specific situations is this allowed.  This ensures that consumers need not fear that unwanted parties are learning personal information about them.

Connecticut Insurance Department

Telephone:  800-203-3447


Connecticut Life & Health Insurance Guaranty Association

PO Box 600

Manchester, CT  06045-0600

Telephone:  860-647-1054