2655. When a policy is said to lapse?

If premiums are paid within grace period
If premiums are paid after grace period
If premiums are not paid after grace period
If premiums are not paid within grace period
✅ The correct answer is D.
If premiums are not paid within grace period a policy is said to lapse. The typical grace period is 30 days. If the premium is unpaid even after the grace period, the policy would lapse. The process of reviving a policy varies depending on the time lapsed.

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