1. (a)

   1. (1) Each policy of life insurance shall contain a provision that a grace period shall be allowed within which the payment of any premium after the first may be made.

   2. (2) The grace period shall be:

      1. (i) 30 days;
      2. (ii) at the option of the insurer, 1 month of not less than 30 days; or
      3. (iii) 4 weeks, for a policy of industrial life insurance with premiums payable more frequently than monthly.
2. (b) The policy continues in full force during the grace period.
3. (c) If a claim arises under the policy during the grace period, the amount of any premium due or overdue may be deducted from the policy proceeds.

Added by Acts 1996, c. 11, § 1, eff. Oct. 1, 1997.

Formerly Art. 48A, § 389.