4. Indisputable clause: A life insurance policy is always liable to have an indisputability clause. This clause clearly states that the insurance company will not argue on any claim after it has been in force for one or two years, except in the case of fraud. The main purpose of this clause is to protect the consumer from rejection of a death claim without any reason due to non-disclosure of material information. After a policy has been issued for a few years, it will be difficult to establish if the non-disclosure is intended or an oversight. The indisputability clause states that the insurance company will not dispute the claim on this account. The claim can also be disputed if the premium is not paid.

5. Free-look clause: If a product fails to meet your expectations, then you can always get it replaced or ask for a refund. A similar practice also exists in the insurance industry and this practice is termed the ‘free-look’ clause, it was introduced by the Insurance Regulatory and Development Authority of India to provide assurance to policyholders who have been victims of mis-selling. The clause allows policyholders to surrender the policy within 15 days after receiving it if they are not satisfied. This is applicable to health covers, with tenure of three or more years, and life insurance policies.