(a) If a long-term care insurance policy has been in force for less than six months, an insurer may rescind the policy or deny an otherwise valid long-term care claim under the policy on a showing of misrepresentation that is material to the acceptance for coverage.
(b) If a long-term care insurance policy has been in force for at least six months but less than two years, an insurer may rescind the policy or deny an otherwise valid long-term care claim under the policy on a showing of misrepresentation that is both material to the acceptance for coverage and pertains to the condition for which benefits are sought.
(c) If a long-term care insurance policy has been in force for two years or more, the policy is not contestable on the grounds of misrepresentation alone and may only be contested on a showing that the insured knowingly and intentionally misrepresented relevant facts relating to the insured's health.
(d) If an insurer has paid benefits under a long-term care insurance policy, the insurer may not recover the benefit payments if the policy is rescinded.
(e) This section applies to a life insurance policy that accelerates benefits for long-term care. However, if an insured dies, this section does not apply to the remaining death benefit of a life insurance policy that accelerates benefits for long-term care, and the remaining death benefit under the policy is subject to AS 21.45.040.
Structure Alaska Statutes
Chapter 53. Long-term Care Insurance
Sec. 21.53.010. Prohibited sale or advertising.
Sec. 21.53.020. Disclosure and performance standards.
Sec. 21.53.030. Preexisting conditions.
Sec. 21.53.040. Prior hospital or institutional care conditions prohibited.
Sec. 21.53.050. Right of return; outline of coverage; delivery.
Sec. 21.53.060. Long-term care benefits under life insurance policies; denial of claims.
Sec. 21.53.062. Incontestability period.
Sec. 21.53.064. Nonforfeiture benefits.
Sec. 21.53.066. Producer training requirements.
Sec. 21.53.068. Limitations related to producers and third-party administrators.
Sec. 21.53.070. Group long-term care insurance.
Sec. 21.53.080. Organizational requirements of associations.