What does the incontestability period in Delaware state?

The incontestability period is a crucial feature in life insurance policies that serves to protect policyholders. In Delaware, as in many other jurisdictions, this period typically lasts for two years from the policy's effective date. During the incontestability period, the insurer can investigate and potentially contest the legitimacy of the policy based on material misrepresentations or omissions made by the applicant during the underwriting process. However, once this two-year period has elapsed, the insurer is generally barred from challenging the validity of the policy, regardless of any discrepancies that may have existed in the application.

This provision ensures that after the two-year mark, the policyholder has greater peace of mind, knowing their coverage is secure and that they will not lose benefits due to issues arising from the original application. Therefore, the correct answer is that the insurer cannot dispute the validity of the policy after two years. This not only creates stability for the policyholder but also promotes trust in the insurance system.