Each insurer must maintain a complete file containing a copy of each document used in solicitation and sale of life insurance products for how long following the date of its last authorized use?

The correct duration for maintaining a complete file of solicitation and sale documents for life insurance products is three years following the date of their last authorized use. This requirement is in place to ensure that insurers have access to all relevant documents for regulatory review, compliance checks, and customer inquiries during this period. Retaining these records for three years strikes a balance between accountability and practicality, allowing insurers to manage their documentation efficiently while still adhering to regulatory standards.

Longer retention periods, such as five or ten years, may seem beneficial for thoroughness, but they exceed the typical requirement established by insurance regulations. Although some industries may have different standards, the three-year timeframe is specifically outlined in many regulatory frameworks governing life insurance practices. Thus, insurers must comply with this timeframe to ensure they are operating within the legal guidelines. Maintaining documentation only for as long as the insurer remains in business would not provide a clear framework for regulatory compliance and could lead to potential legal issues if documentation is not available when needed.