Reduced paid-up insurance option
Settlement Options
Life income option
Fixed-period (income for elected period) option
Interest Option
Paid-up addition option
Extended Term Insurance Option
Non-forfeiture Laws
Non-forfeiture options
Fixed-amount (income for elected amount) option
Cash Value, Reduced paid-up, and extended term insurance.
the net cash-surrender value is used as a net single premium to extend the full face amount of the policy (less any indebtedness into the future as term insurance for a certain number of years and days.
the dividend is used to purchase an increment of paid-up whole life insurance.
the cash-surrender value is applied as a net single premium to purchase a reduced paid-up policy.
requires insurers to provide at least a minimum non-forfeiture value to policyholders.
a fixed amount is periodically paid to the beneficiary.
refer to the various ways that the policy proceeds can be paid.
allows policy proceeds to be used to buy a life annuity that guarantees the annuitant an income for life.
the policy proceeds are retained by the insurer, and interest is periodically paid to the beneficiary.
the policy proceeds are paid to a beneficiary over some fixed period of time.
