For property and casualty lines, the time limit to use an applicant's Disclosure Authorization Form is how long?

• A. 6 months
• B. 12 months
• C. 24 months
• D. 36 months

Answer: (B)

Disclosures Authorization Form validity is measured in how long the insurer can pull consumer reports for underwriting without a new signed consent. For property and casualty applications, that authorization stays in effect for one year. This means the insurer may obtain updated reports within that 12-month window without asking again, keeping the information current for decision-making.

A one-year limit balances two things: the need for timely, accurate information in underwriting and the applicant’s privacy and control over their data. After a year, a new authorization is needed to continue pulling reports, ensuring the consumer explicitly agrees to any further checks.

The other timeframes don’t fit typical underwriting practice: six months would require more frequent reauthorizations and could slow the process; 24 or 36 months would permit older information to influence decisions, raising privacy and accuracy concerns and potentially conflicting with regulatory expectations.