Extended Term Insurance
What Does Extended Term Insurance Mean?
Extended term insurance is a type of life insurance in which a policyholder can continue receiving coverage without paying premiums.
Insuranceopedia Explains Extended Term Insurance
Extended term insurance allows policyholders to stop paying premiums once the cash value of the policy grows to a self-sustaining amount. If the investment portion of the insurance policy is sufficient to cover payments for it, the holder of an extended term insurance can simply modify their whole life insurance policy into a term life policy paid for through the whole life policy’s cash accumulation.