What option does an insured have if their policy has lapsed and they wish to reinstate it?

When a policy has lapsed due to non-payment of premiums, the insured can apply for reinstatement to restore their coverage. This process typically involves filling out a reinstatement application and may require the insured to provide proof of insurability to the insurer. There is usually a time limit within which an application for reinstatement must be made, often specified in the original policy.

Automatic reinstatement is not a standard option for all policies; while some policies may offer a grace period during which the insured can pay overdue premiums, reinstatement often requires a formal application. Filing a claim for a death benefit is not applicable unless the policy is active; therefore, it cannot be a method for reinstating a lapsed policy. Purchasing a new policy is another option, but it does not restore the original benefits or coverage period of the lapsed policy and typically requires a new underwriting process.

Thus, the ability to apply for reinstatement provides a feasible way for the insured to regain their policy benefits, given they meet the necessary qualifications as outlined by the insurer.