                                 CODE OF VIRGINIA

PROVISIONS PROHIBITED (§ 38.2-3316)

No individual life insurance policy shall be delivered or issued for delivery in
this Commonwealth if it contains any provision:

1. Limiting the time within which any action at law or in equity may be
commenced to less than one year after the cause of action accrues;

2. For any mode of settlement at maturity, of less value than the amount insured
on the face of the policy plus any dividend additions, less any indebtedness to
the insurer on or secured by the policy, and less any premium or portion of any
premium, that may by the terms of the policy be deducted. This paragraph shall
not apply to any nonforfeiture provision that employs the cash value less any
indebtedness to purchase paid-up or extended insurance, and shall not prohibit
the issuance of policies providing for a limitation in the amount payable under
certain specified conditions;

3. For forfeiture of the policy for failure to repay any loan on the policy, or
to pay interest on any policy loan, while the total indebtedness on the policy,
including interest, is less than the loan value of the policy; or

4. To the effect that the agent soliciting the insurance is the agent of the
person insured under the policy, or making the acts or representations of the
agent binding upon the person insured under the policy.

HISTORY: Code 1950, § 38-386; 1952, c. 317, § 38.1-406; 1956, c. 417; 1986, c.
562.