California gives older buyers extra time and extra honesty. Watch the two different ages.
Age 60 or older: the free look (§10127.10)
A senior citizen for this rule is a person 60 or older on the date the policy is purchased.
Every individual life policy and individual annuity delivered to a senior must allow at least 30 days to return it for cancellation (under-60 buyers get a period the insurer sets between 10 and 30 days, §10127.9).
The cover must carry a 12-point bold notice headed IMPORTANT! explaining the 30-day right and, if applicable, the surrender charge.
Fixed (nonvariable) policies returned in time: full refund of premiums and policy fees.
Variable life and variable annuities: during the 30 days, premiums stay in fixed-income or money-market investments unless the owner directs otherwise. If the owner did not direct otherwise, a return gives a full premium refund; if the owner chose to invest in the subaccounts, the refund is the account value (which can be less than the premium).
Refunds are due within 30 days after the insurer learns of the cancellation.
Age 65 or older: the senior insurance article (§785 to §789.10)
Everyone in the transaction owes a 65+ prospect a duty of honesty, good faith and fair dealing (§785).
Ads and lead cards aimed at 65+ must disclose that an agent may call, and may not use names or symbols that look governmental (§787).
Before an in-home meeting, the agent must deliver a written notice at least 24 hours and no more than 14 days in advance; the senior may have others present and may end the meeting at any time (§789.10).
When selling life or annuities to an elder, the agent must advise in writing that liquidating other assets to fund the purchase may cause taxes or penalties (§789.8).