Premium loan

Term · Insurance and risk management · MLC-T-INS-002643

A loan against the cash value of a life insurance policy that pays an unpaid premium, so the policy stays in force without the owner sending cash. Many policies apply it automatically at the end of the grace period under an automatic premium loan provision. Interest accrues on the loan, and any balance still outstanding when the insured dies is deducted from the amount paid to the beneficiary.

Table 1. Record
Identifier	MLC-T-INS-002643
Field	Insurance and risk management

Record as JSON

{
  "id": "MLC-T-INS-002643",
  "term": "Premium loan",
  "field": "Insurance and risk management",
  "definition": "A loan against the cash value of a life insurance policy that pays an unpaid premium, so the policy stays in force without the owner sending cash. Many policies apply it automatically at the end of the grace period under an automatic premium loan provision. Interest accrues on the loan, and any balance still outstanding when the insured dies is deducted from the amount paid to the beneficiary.",
  "url": "https://mlchart.com/terminology/insurance/premium-loan/"
}

Record 2,656 of 3,708 in Insurance and risk management terminology (MLC-0106). Request the full dataset.