Like any other state in the US, New Jersey has its own set of rules and regulations when it comes to life insurance. If you live in New Jersey, then it is important to know about these provisions before you purchase a life insurance policy.
So, what are the various factors which determine your New Jersey life insurance quote? There are several aspects that will affect your insurance premiums.
For example, a 49-year-old man in New Jersey will have to pay a higher life insurance premium in New Jersey than a 30-year-old man. Similarly, a smoker is going to have a higher premium than a non-smoker.
If you have previous medical or family history of some ailment, then your New Jersey life insurance quotes are expected to be on the higher side as well.
A 40-year-old woman in Newark who weighs 120 pounds and is 5’4” tall is likely to pay around $1,530 in annual premium for a whole life policy worth $1 million.
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The same 40-year-old woman with the height and weight mentioned above can get a $1 million term life insurance policy for an annual premium of $870. However, if she is a smoker, then her premium may shoot up to $3,320!
New Jersey has grouped its life insurance laws under Title 17 of the New Jersey Statutes. This law code is designed to protect the interests of the life insurance policyholders in the state. It also enumerates the steps involved in claims procedures and other related policy requirements.
The free look period in New Jersey is fixed at 10 days. The New Jersey residents get 10 days to decide whether to keep or return their insurance policy.
If they decide to return the policy within 10 days of buying it then they are entitled to get a full refund. No fee or deductions should be charged by the insurance companies.
The payment grace period is allowed to let the insurance policyholder keep their policies alive. If the policyholder in New Jersey is late in making the premium payment, then the policy remains active for the next thirty days. The policy is only canceled after the expiry of the grace period.
New Jersey life insurance companies are required to process their insurance claims as soon as possible. As per the state code, the companies are obligated to make the payments within two months of receiving documents related to the death.
If you are a New Jersey resident and want to know more about life insurance rules and regulation and about your rights as insurance policyholder then you may contact:
New Jersey Department of Banking & Insurance
The New Jersey Life and Health Insurance Guaranty Association offers protective measures to insurance policyholders against the bankruptcy of insurance companies. However, you are entitled to this privilege only if you are regular with the payment of your premium. Also, your former insurance company should have been licensed to carry out the operations in the state.
The guarantee provided by the association is limited to $300,000 for death benefits and $100,000 for lost cash surrender.
For more information, you can contact the following:
11 Wharf Avenue, Suite One
Red Bank, NJ 07701