General Laws of Massachusetts - Chapter 175 Insurance - Section 187F Cancellation of policies during strike of insurance agents

Section 187F. 1. No life insurance policy, non-cancellable disability insurance contract, hospital expense or hospital and surgical expense contract, now or hereafter in force in the commonwealth, premiums for which are normally collected by insurance agents employed by the insurer, shall terminate or lapse by reason of default in payment of any premium, installment or interest on any policy loan payable to said insurer during the period that said insurer’s agents are on strike.

2. The insured or premium payer of any policy or contract of insurance set forth in paragraph 1, shall be entitled to a grace period of thirty-one days immediately following the authorized termination of such strike, within which the payment of any premium, installment or interest on any policy loan may be made, during which period of grace the policy or contract of insurance shall continue in full force and effect.

3. If a claim arises under the policy or contract of insurance during a strike period as set forth in paragraph 1, or during the grace period as set forth in paragraph 2, before the overdue premium, or installment or interest on a policy loan, if any, are paid, the amount of such overdue premium or installment together with interest not to exceed six per cent per annum and the amount of any loan with interest due, may be deducted from the amount payable under the policy or contract in settlement.

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Last modified: September 11, 2015