first policy year
first policy year. Insurance. The first year of a life-insurance policy that is to be automatically renewed annually. • This statutory phrase prohibits an insurer from using the policy’s suicide exclusion as a defense — and refusing payment on the policy — when an insured commits suicide after the first year of the policy. The insurer can invoke the suicide exclusion as a defense to payment only if the insured commits suicide in the first policy year. [Cases: Insurance 2434(1), 2594(5), 3125. C.J.S. Insurance §§ 850–858.]
