What is the grace period after the first payment is made for an accident and health policy?

• A. 30 days
• B. 15 days
• C. 45 days
• D. 60 days

Answer: (A)

Grace period is the time allowed after a premium due date to pay the amount due without losing coverage. For accident and health policies, the standard grace period is 30 days. This means if the first payment is late, the policy remains in force for 30 days after the due date, allowing time to catch up without an immediate lapse. If a claim occurs during that window, it will generally be paid, though any overdue premium may be collected from the claim proceeds. If the overdue premium isn’t paid by the end of the 30 days, the policy typically lapses. The other options aren’t in line with common health-insurance practice, where 30 days is the standard grace period.