If you are considering a life insurance policy in the state of Florida, there are some rules that you can put to work in your favor as long as you are aware of their advantages  The sunshine state has strong regulations in place to protect their consumers and facilitate fair business practices by life insurance companies.

Florida Life Insurance Rules And Regulations

Florida protects life insurance consumers and insurance companies alike under Title 37 of it’s state statues.  This ensures conformity across the industry for a number of consumer protection related practices.

Free Look

Florida mandates that insurers provide at least a 10 day period when a consumer can “free look” their policy.  This means that the policy can be returned to the insurance company within the first 10 days of it being delivered, and the insurance company is required to refund all premiums.  If a death claim occurs during the free look period, the insurance company is still obligated to pay the claim to the beneficiary if all is in good order.

Grace Period


Florida has an industry standard 30 day minimum grace period.  This allows a beneficiary to file a death claim for at least a 30 day period after a missed premium payment without fear that the missed payment will prevent a death benefit payout.  During the grace period the policy remains in force and active, and an owner can still submit the late payment and bring the policy back into good standing.  A grace period also prevents a policy from lapsing, which would require the insured to go through underwriting again for a new policy.  These protections are good for owners and beneficiaries of life insurance contracts.

Timely Payments

Florida has a clever rule to incentivize quick death claim payouts by insurers.  Starting on the day the insurer receives the death certificate, interest on the claim will accrue until the death claim is paid.  To save money that would otherwise be spent on interest, life insurance companies tend to pay out claims in Florida very quickly, usually within about a month.  Aside from the interest requirement, Florida does not have any regulations stipulating how quickly claims must be paid.

Guarantee On Death Claims

Not all life insurance companies are prudent and responsible.  On some rare occasions, a life insurance company may run into financial difficulties and be unable to make death claim payments.  In Florida, the Florida Life and Health Insurance Guaranty Association will cover a life insurance policy for up to $300,000 in death benefits, and $100,000 in cash value.  This helps consumers feel confident that no matter what happens to their insurance company, their beneficiaries will receive at least a portion of the death benefit due.  This is a limit that applies per person, regardless of the number of policies outstanding or the size of the policies.  Because the limit may be relatively low, always purchase insurance from a company that has a very strong financial rating.

Protection Of Private Information

Florida believes that consumers have a right to privacy.  Insurance companies are not allowed to disclose any personal or private information about their clients without their client’s consent.  Failure to abide by these privacy laws may result in fines levied against the companies.

Florida Office of Insurance Regulation

Telephone:  850-413-3140


Florida Life & Health Insurance Guaranty Association

3740 Beach Boulevard, Suite 201-A

Jacksonville, FL  32207-3877

Telephone:  904-398-3644