State RegulationsMI specificDifficulty 1/5
What minimum examination (free-look) period must a Michigan individual annuity contract provide to the contract owner?
Select an option to reveal the answer and the full 3-part explanation — free, no signup.
Answer & full 3-part explanation (select an option above, or peek)
Why D is correct
M.C.L. 500.4073 requires Michigan individual annuity contracts to carry a first-page notice giving the owner at least 10 days to examine and return the contract, after which it is void from the beginning and premiums are refunded — including unallocated premiums and separate-account value for variable annuities. Only contracts required as a condition of participation in certain employer plans fall outside this rule.
Why the other options are wrong
- A) At least 5 days is shorter than the 10-day minimum in M.C.L. 500.4073 for individual annuity contracts.
- B) At least 15 days overstates the requirement; the Michigan annuity free look is a 10-day minimum.
- C) At least 30 days confuses the annuity free look with longer Michigan time periods such as lapse notices; the statute requires 10 days.
Memory hook
Annuities mirror life: 10 days to send it back.