Under what condition can a group life insurance policy be contested during employment?

A group life insurance policy can typically be contested during employment based on non-payment of premiums after a certain period, usually two years. This is related to the "incontestability clause," which is designed to protect policyholders from having their claims denied due to misrepresentation or other issues after the policy has been in force for a specified period of time, typically two years.

When premiums are not paid, the insurance company retains the right to contest the policy or deny coverage even during the employment of the individual, as the ongoing payment of premiums is essential for the continuity of coverage. If premiums are not maintained, it can lead to lapses in coverage which the insurer is entitled to contest regardless of the time since the policy was issued.

The other options do not align with standard conditions under which a group life insurance policy may be contested. For example, disability claims or changes in union regulations are generally unrelated to the ability of the insurer to contest the policy if premiums are not current. Missing details on the application might be grounds for contestation as well, but these would typically fall under misrepresentation rather than non-payment.