ExamFX, Life Insurance Policy Provisions, Options and Riders, I. Settlement Options

Cash refund option

if the annuitant dies before the annuity fund is depleted, a lump sum settlement of the remainder would be made to the beneficiary

Interest-only option

insurance company retains the policy proceeds and pays interest on the proceeds to the recipient at regular intervals

Settlement Option

methods used to pay the death benefits to a beneficiary upon the insured's death, or to pay the endowment benefit if they insured lives to the endowment date

Life income with period certain option

payments are guaranteed for the lifetime of the recipient, but there is also a specified period that is guaranteed

Fixed-amount installments options

pays a fixed, specified amount in installments until the proceeds are exhausted

Single life option

provides a single beneficiary income for the rest of his or her life. Upon the death of the beneficiary, the payments stop

Life-income option (straight life)

provides the recipient with an income that he or she cannot outlive

Fixed-period option

specified period of years is selected, and equal installments are paid to the recipient

Installment refund option

the beneficiary would receive the remaining funds in the form of continued annuity payments

Lump Sum

upon the death of the insured, or at the point of endowment, the contract is designed to pay the proceeds in cash

Life refund income

comes in either a cash refund form or an installment refund form

Life income joint survivor

guarantees an income for two or more recipients for as long as they live