§431:10-203  Power to contract.  (a) Any person of competent legal capacity may contract for insurance.

(b)  A minor of the age of fifteen years ormore, as determined by the nearest birthday, shall be deemed to be competentto:

(1)  Contract for any form of life insurance oraccident and health or sickness insurance on the minor's own life or body, forthe minor's own benefit or for the benefit of the minor's father, mother,spouse, child, brother, sister, or grandparent;

(2)  Surrender, make loans upon, or assign anyinsurance issued at any time upon the minor's life or body, subject to theprovisions of the policy;

(3)  Give a valid discharge for any benefit accruingor for any money payable under the contract; and

(4)  Exercise any of the rights or privileges reservedto the insured in and by any such policy of insurance;

except that such minor, not otherwise emancipated,shall not be bound by any unperformed agreement to pay, by a promissory note orotherwise, any premium on any such insurance contract.

(c)  Where any form of life insurance oraccident and health or sickness insurance is issued at any time upon the lifeor body of a minor, unless the policy shall otherwise provide, or unless all ofthe premiums on the policy are paid by the minor, then until the minor hasreached the age of eighteen years, either or both parents of the minor, or inthe event of the death of one parent or the divorce of the parents and thecustody of the minor being awarded to one parent, then the surviving parent orthe custodial parent of the minor shall be authorized to:

(1)  Surrender, make loans upon, or assign suchinsurance;

(2)  Give a valid discharge for any benefit accruingor for money payable under the contract; and

(3)  Exercise any of the rights or privileges reservedto the insured in and by any such policy of insurance without the order orintervention of any court, or the appointment of a legal guardian.

No insurer shall have any responsibility for orbe required to see to the application of the proceeds paid in accordance withthis section.

(d)  The ownership of or property interest ofthe insured in any policy of life insurance issued on the life of any minorshall be deemed to be in the minor and shall continue in the minor except if:

(1)  The policy shall have lapsed or shall have beensurrendered, assigned, or otherwise acted upon in accordance with theprovisions of this section while the minor is under the age of eighteen years;

(2)  After the insured shall have reached the age ofeighteen years, the policy shall have lapsed or shall have been surrendered,assigned, or otherwise acted upon by the insured; or

(3)  At the time of issuance, the policy of insuranceshall provide otherwise. [L 1987, c 347, pt of §2; am L 2002, c 155, §39]