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AskIUL · Delaware

How I can get my IUL in Delaware

Clear, careful guidance for families in Delaware.

Who regulates your policy in Delaware

Insurance is regulated state by state, so your policy is governed by Delaware law and overseen by the Delaware Department of Insurance — not by a federal agency. It licenses the agent who sells to you and handles complaints if something goes wrong.

Two things worth doing before you sign: verify your agent's license is active in Delaware, and keep the consumer line ((800) 282-8611) on hand. Both are free, and an agent not licensed in your state is a hard stop.

Your window to cancel in Delaware

No single fixed statutory free-look period for ordinary individual life policies was found in Delaware Code Title 18 Chapter 29 (required life policy provisions). The Delaware Department of Insurance consumer Life Guide states new life policies have a 10-day free look and replacements have 20 days; Delaware Admin. Code 18 § 1204-7.4 separately requires a 20-day unconditional premium-refund right only for replacement transactions.

Because the rule is not a single fixed number here, the period that applies to you is whatever your specific policy states. Find that clause in the contract before you sign, rather than assuming a standard period exists.

If a carrier fails in Delaware

If your carrier became insolvent, the Delaware Life & Health Insurance Guaranty Association is the backstop. In Delaware it covers a death benefit up to $300,000 and cash surrender value up to $100,000. Those are separate ceilings, so an IUL's accumulated cash value is protected independently of the death benefit.

This protection is not a reason to skip carrier due diligence. It caps what you would recover, and a policy designed above that cap leaves the excess exposed.

What Delaware adds to the cost

Delaware levies a state premium tax of 1.75% on life insurance premiums. That sits below the 2% median of the 50 states covered here. You do not pay it as a separate line item — carriers price it into the premium, which is part of why the same policy design can cost differently across state lines.

Delaware specifics

Delaware Department of Insurance · consumer line (800) 282-8611
Guaranty associationsource · checked 2026-07-21
Delaware Life & Health Insurance Guaranty Association · death benefit covered up to $300,000 · cash value up to $100,000
1.75% on life insurance premiums

No single fixed statutory free-look period for ordinary individual life policies was found in Delaware Code Title 18 Chapter 29 (required life policy provisions). The Delaware Department of Insurance consumer Life Guide states new life policies have a 10-day free look and replacements have 20 days; Delaware Admin. Code 18 § 1204-7.4 separately requires a 20-day unconditional premium-refund right only for replacement transactions. (source)

General life premium tax under 18 Del. C. § 702(c)(1) is 1.75% of net premiums. An additional special tax of 1/4% (0.25%) on gross premiums applies under 18 Del. C. § 707 for the benefit of police (Delaware Division of Revenue describes the combined all-insurer rate as 2%). Separate graduated COLI/TOLI rates and a private-placement trust-owned life special schedule apply in lieu of the general rate under § 702(c)(2)–(3). (source)

Life guaranty coverage is separate caps, not one combined limit: $300,000 death benefits but not more than $100,000 net cash surrender/withdrawal values per insured life (18 Del. C. § 4403(c)(2)a.1). There is also an overall aggregate of $300,000 in benefits with respect to any one life across life, annuity, and most health coverages (with a $500,000 aggregate exception for health benefit plans). (source)

Figures above are read from the linked official sources on the dates shown and can change. Confirm current limits with the regulator or a licensed agent before making a decision.

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