Brazil's STJ validates age-based life insurance premium adjustments

The 2nd Section of the Superior Tribunal de Justiça (STJ) has ruled that age-based premium adjustments in group life insurance contracts are legal. The unanimous decision, led by rapporteur Minister Raul Araújo, establishes that such clauses are valid provided there is clear contractual provision, prior communication to the insured during renewals, and compliance with sector-specific regulations from Susep and the CNSP.

The court rejected the application of the Health Insurance Law and the Statute of the Elderly to group life insurance. Minister Araújo argued that extending these protections to life insurance would compromise the mutualistic balance of the insurance regime. He noted that group life insurance is subject to its own sectoral regulation, which is distinct from the assistance-based discipline applied to health plans.