(1) A policy owner, within fifteen days after the delivery of a life policy of any description to him or to a person who resides at his residence, may return the life policy to the licensed life insurer and it shall immediately refund any premium which has been paid in respect of the life policy and the life policy shall be cancelled subject only to the deduction of expenses incurred for the medical examination of the life insured.
Penalty: Five hundred thousand ringgit.
(2) Subsection (1) shall not apply to a life policy insuring three or more persons.
(3) For the purpose of subsection (1), a life policy shall be deemed to be returned to a licensed life insurer on the date the life policy is received by it or posted to it by registered post.