Adjustable Life Insurance
What Does Adjustable Life Insurance Mean?
Adjustable life insurance is a type of life insurance that allows policyholders to modify various features of the policy over time. These features may include the face value, premium amount, benefits, coverage period, and others. The main advantage of an adjustable life insurance policy is that it provides flexibility, allowing the policyholder to make changes as their life circumstances evolve.
Insuranceopedia Explains Adjustable Life Insurance
Adjustable life insurance policies combine features of both term life insurance and whole life insurance. The term life features allow the coverage period to be altered, and the policy is not necessarily required to remain in effect until the policyholder’s death. The whole life features include the option for an interest-bearing side fund to accumulate cash value, which the policyholder can access at their discretion. Additionally, the policyholder typically has the option to keep the policy until death, should they choose to do so.
