Other Individual Life Insurance
Decreasing Term Policies
Decreasing term policies will be protected using the sum insured at insolvency in determining the amount of the Death Benefit protection.
An endowment policy is protected under the Death Benefit protection for death or maturity benefits. The cash value of such a policy prior to maturity is protected under the Cash Value protection.
Increasing Death Benefit Policies
If benefits and premiums increase under the terms of the policy, for example by inflation adjustments, Assuris will protect increases after the company fails, even if they increase the death benefit above the maximum Death Benefit protection.
Adjustable Death Benefit Policies
Where a policy allows for adjustment of the death benefit amount, the death benefit amount of the policy at insolvency will be used to determine its protection under the Death Benefit protection. Subsequent adjustments will be made in accordance with the policy even if they increase the amount covered above the maximum Death Benefit protection.
Adjustable Cash Value Policies
Cash values in policies with adjustable cash values are protected under the Cash Value protection based on the cash values when the company fails. Subsequent adjustments to the scale of covered cash values according to the terms of the contract will be protected whether they are increases or decreases.