1176                            LAWS OF MARYLAND                       [CH. 553

which exclude or restrict coverage, whether or not such restrictions
or exclusions are excepted in such clause.

400A. Misstatement of Age; Option to Rescind.

If the application or policy expressly limits the incurable age or

ages and the correct age or ages at the date of issue is not within

such age limits, the policy may, during the lifetime of the insured,

but not late than three years after the date of issue of the policy,

be voidable at the option of the insurer, upon return to the insured

be voidable at the option of the insurer, upon return to the insured
of the aggregate of gross premiums charged on the policy, less divi-
dends paid in cash, or used in the payment of premiums thereon,
and less any indebtedness to the insurer on the policy including

interest due and accrued; but in no case may such option be exer-

is discovered within three years after the date of issue of the policy,

then such policy cannot be voided by the insurer, but the amount
payable shall be determined in accordance with section 392; pro-

vided, however, if the rates of premium of the insurer at the date

of issue of the policy do not include the rate for such correct age or
ages, then the amount payable shall be determined in accordance
with established actuarial principles.

401.    Exchange, Alteration and Conversion of Policies.

Any life insurer may, at the request of a policyholder, exchange,
alter or convert any policy of life or endowment insurance, or
annuity policy contract, or any other policy benefits additional
thereto, issued by it, for or into any policy which conforms with the
laws in force on the date of the original policy, if the rewritten
policy is, by its terms, made effective as of such date, or which con-
forms with the laws in force on a subsequent date as of which the
rewritten policy is by its terms made effective. If the rewritten
policy is made effective as of a date earlier than the date on which
the exchange, alteration or conversion occurs, (a) the rewritten
policy, if evidence of insurability is required in conjunction with
an exchange, alteration or conversion to a policy on a plan requir-
ing a lower premium rate or to a policy to which benefits or fea-
tures are added differing from those in the original policy, may pro-
vide that the date on which the exchange, alteration or conversion
occurs shall be used in determining the applicability of an incon-
testability clause in the rewritten policy to the right of the company
to contest such exchange, alteration or conversion or in determining
the applicability of a clause in the rewritten policy limiting liability
in the event of suicide of the insured, and (b) the amount of insur-
ance under said rewritten policy shall not exceed the amount of
insurance under said original policy, or the amount of insurance
which the premium paid for the original policy would have pur-
chased if the rewritten policy had been originally applied for, which-
ever amount is the greater.

402.    Standard Provisions—Annuity and Pure Endowment
Contracts.

(a) No annuity or pure endowment contract, other than rever-
sionary annuities otherwise called survivorship annuities and group
annuities and except as stated herein, shall be delivered or issued