Stopping Life Insurance After One Year: Is a Refund Possible?

Clause 2 Article 23 and Clause 2 Article 24 of the 2000 Insurance Business Law stipulate:

In addition to the cases of contract termination as prescribed by the Civil Code, the insurance contract shall also be terminated in the following cases:

The policyholder fails to pay the full insurance premium or fails to pay the insurance premium according to the agreed time in the insurance contract, except where the parties have other agreements.

Legal consequences of the termination of the insurance contract:

In the case of termination of the insurance contract according to the above regulation, the policyholder must still pay the full insurance premium up to the time of contract termination. This provision does not apply to human insurance contracts.

Therefore, for life insurance, if you do not pay the full insurance premium according to the agreed time in the insurance contract, the insurance contract will be terminated.

In such a case, the insurer is not obligated to refund you the money if the parties have no other agreement. In practice, if you stop paying in the first 1 or 2 years, you will not be refunded.

To ensure your rights, when facing financial difficulties, you can request an extension of the payment period (usually 60 days) or reduce the premium compared to the initial amount.

Sincerely!