Delay provision

{
  "id": "MLC-T-INS-001113",
  "term": "Delay provision",
  "field": "Insurance and risk management",
  "definition": "A clause in an insurance policy, particularly in life insurance or annuity contracts, that grants the insurer the right to postpone payment of the cash surrender value or the granting of a policy loan. This provision protects the insurer against excessive cash outflows during periods of financial crisis or economic instability. The allowed deferment period is regulated by state law and is typically limited to a maximum of six months.",
  "url": "https://mlchart.com/terminology/insurance/delay-provision/"
}