Massachusetts, like most states, does not regulate life insurance on the policy level the way that states Departments of Insurance regulate other insurance such as health or auto. However, there are certain provisions that do vary from state to state regarding regulations pertaining to free-look time frames, illustration requirements, underwriting, and medical exam requirements. You should be aware of these rules as you shop for Massachusetts Life Insurance.    

Why Do I Need Massachusetts Life Insurance?

You may wonder why you even need Massachusetts Life Insurance? Take a look at these figures.

Massachusetts is ranked 5th out of 50 states and the District of Columbia in Life Expectancy, with a life expectancy of 78.4 years.  That is a high ranking, but still - for every 100,000 people in Massachusetts, almost 800 between the ages of 55 and 64 pass away every year. Between the ages of 65 and 74, that number more than doubles to over 2,000, and at 75 to 84 almost 5,000 Massachusetts residents die for every 100,000 in the state. More on mortality by age, sex and race, and the leading causes of death in Massachusetts can be found at: http://www.cdc.gov/nchs/pressroom/data/Massachusetts09.pdf

For more reasons why you should apply for Massachusetts Life Insurance, and for help in finding the best kind of life insurance for your needs, at the best value, take a look at our Family Guide to Life Insurance.

Massachusetts Life Insurance Specifics

The insurance industry in Massachusetts is regulated by specified title of The State Insurance Code of Massachusetts. The state uses this code to regulate claims and provide certain provisions to protect Massachusetts Life Insurance consumers. Such as:

Free Look: According to the State Code, a “free look” provision must be included in every Massachusetts Life Insurance plan. The free look allows you to change your mind even after you have signed the contract with the insurance company and received all policy documents. Most companies give at least a 10-day cancellation without penalty period. In some cases it may be as much as 30 days.

Grace Period: The Massachusetts State insurance code requires that all Massachusetts Life Insurance companies allow a 30-day grace period on late payments. If you miss a premium payment for any reason, you must be given 30 days to bring the account current before the insurer can cancel the policy for non-payment.

Death Benefit Processing: According to the State Code, Massachusetts Life Insurance companies are required to process any death benefit claim as soon as possible. If all documentation is in order, this usually means within 2 months. The Massachusetts life insurance code also allows for the accumulation of interest on death benefits that are not paid in a timely manner.

Massachusetts Life Insurance companies are also protected to some degree by State Statutes. These regulations are put in place to prevent insurance fraud. Insurance fraud is a serious crime, and affects the rates everyone in the state pays for Massachusetts Life Insurance. Insurance companies can challenge any information you put on an Massachusetts Life Insurance application for up to 2 years.

If any discrepancies or misinformation is discovered, the life insurance policy may be terminated immediately. Allowances for misstatement of age are given, and may be corrected without penalty at any time while the Massachusetts State Life Insurance policy is in effect.

Massachusetts Life Insurance State Resources

Massachusetts Department of Insurance -  The purpose of the Department of Insurance is to faithfully execute the state insurance laws in a manner that protects insurance consumers and the Massachusetts Life Insurance industry.
http://www.mass.gov

Massachusetts Life & Health Insurance Guaranty Fund - State guaranty associations are there to provide protection and continuing Massachusetts Life Insurance coverage, even in the event that a life insurance company becomes insolvent.
http://www.malifega.org/

Massachusetts Life Insurance Company Ratings – This company provides ratings for Massachusetts Life Insurance Companies based on financial strength and past performance
http://www.ambest.com/