4. Flex. Prem. Policies 1. Adjustable Life

Adjusted Life, Typically, the policyowner has the following options: 2.

2. Increase or decrease the face amount;

Adjusted Life, The policyowner also has the option of

converting from term to whole life or vice versa.

Adjusted Life, However, increases in the death benefit or changing to a lower premium type of policy will

usually require proof of insurability.

Adjusted Life, Typically, the policyowner has the following options: 1.

1. Increase or decrease the premium or the premium-paying period;

Adjusted Life, Typically, the policyowner has the following options: 3.

Change the period of protection.

Adjusted Life, As the insured's needs change, the policyowner can

adjustments in his or her policy.

An adjustable life policy can

assume the form of either term insurance or permanent insurance.

Adjustable Life, The insured typically determines

how much coverage is needed and the affordable amount of premium.

Adjustable life was developed in an effort to

provide the policyowner with the best of both worlds (term and permanent coverage).

Adjusted Life, The insurer will then determine

the appropriate type of insurance to meet the insured's needs.

In the case of converting from a whole life policy to a term policy,

the insurer may adjust the death benefit. The policyowner may also pay additional premiums above and beyond what is required under the permanent form in order to accumulate greater cash value or to shorten the premium-paying period.

Flexible premium policies allow

the policyowner to pay more or less than the planned premium.

Although adjustable life policies contain most of the common features of other whole life policies, the cash value of an adjustable life policy only develops when

the premiums paid are more than the cost of the policy.