Disposiciones de Pólizas de VidaPregunta 410 de 716
The automatic premium loan provision helps prevent a policy from lapsing by:
a.Borrowing the premium from the named beneficiary
b.Using the policy's available cash value to pay an overdue premium
c.Reducing the death benefit to zero until payment resumes for the entire lapsed period
d.Automatically converting the policy to term insurance
Explicación
The automatic premium loan provision, if elected, draws on the policy's cash value to cover a premium that was not paid by the end of the grace period, keeping the coverage in force as a policy loan. It does not borrow from the beneficiary, does not zero out the death benefit, and does not convert the policy to term. This feature guards against unintentional lapse, though it does reduce the cash value and, if unpaid, the death benefit by the loan amount.
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Preguntas relacionadas de este tema
- A rider that keeps a life insurance policy in force by paying the premiums for the policyowner if the insured becomes totally disabled is called the:
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- To reinstate a lapsed life insurance policy under the reinstatement provision, the policyowner generally must:
- Under the 'reduced paid-up' nonforfeiture option, the policyowner uses the cash value to obtain:
- Under the 'extended term' nonforfeiture option, the policy's cash value is used to purchase:
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Revisado por John Zihao Zhang — California-Licensed Life Insurance Agent (CA Dept. of Insurance License #4396095 — verificar)