Specifies the amount and frequency of premium payments that the policy owners must make to keep the insurance in force.
List 3 situations in which the Incontestable clause does NOT apply
Impersonation, No Insurable Interest, Intent to murder.
Accelerated Benefits Provision
Provide for the early payment of some portion of the policy face amount should the insured suffer from a terminal illness or injury.
Automatic Premium Loan Provision
Authorizes the insurer to withdraw from the policy's cash value the amount of premium due if the premium has not been paid by the end of the grace period.
What are the 3 non forfeiture Options?
Cash surrender option, Reduced Paid Up Option, Extended Term Option
What are the 5 Dividend Options
1. Take Dividends in Cash
2. Apply dividends against premium payments
3. Allow dividends to accumulate at interest
4. Use dividends to buy paid-up additions
5. Use dividends to purchase one year term insurance
What is the Guaranteed Insurability Rider
It permits the insured at specified intervals in the future to buy specified amounts of additional insurance without evidence of insurability.
Policy Loan Provision
Policy owners may borrow money from the cash values of their policies if they wish to do so.
Delayed Payment Provision
A protective measure for companies should an economic crisis arise allowing insurers to postpone payment of cash surrender values for up to six months.
Waiver of Premium Rider
Prevents a policy from lapsing for non payment of premiums while the insured is disabled and unable to work.
Period of time usually 90 days to 6 months in which an insured generally must be seriously disabled for the specified length of time.
Payor Provision or Rider
Provides a waiver of premiums if the adult premium payor should die or become disabled.
Accidental Death Benefit Rider
Provides an additional amount of insurance, usually equal to the face amount of the base policy if death occurs under stated conditions. (Indemnity)
Return of Premium Rider
In the event of the death of the insured within a specified period of time, the policy will pay, in addition to the face amount of an amount equal to the sum of all premiums paid to date.