YOU ASK:
What is the definition of Cash Dividend Option?
WE ANSWER:
The Cash Dividend Option is an option given to those who have participating insurance policies. This choice means that the policy owner stands to receive regular check payments for the policy dividends.
The face value of the policy, as well as the premium payments required, remain the same.
There are also other options that a policy owner can choose. This includes the option to apply the dividends in order to reduce payment premiums, the option to leave the dividends with the insurer so that it can earn interest, the option of buy additional paid-up life insurance, as well as the option to buy one-year extended term life insurance.
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