①If an insurer rescinds a contract for liability insurance pursuant to Article 28, paragraph (1) of the Insurance Act, the rescission takes effect after seven days, counting from the day that the policyholder is notified of the rescission.

②Notwithstanding Article 31, paragraph (2), item (i) of the Insurance Act, if any insured event (meaning an insured event provided for in Article 5, paragraph (1) of the Insurance Act; the same applies in paragraph (3) of the following Article) occurs before the day that a rescission as referred to in the preceding paragraph takes effect, the insurer is liable to indemnify for the damage. If an insurer provides an indemnity for damage in such a case, it may require the policyholder to pay the amount of that indemnity.