- The policyowner will receive a lump sum acceleration benefit payment (cash advance) if the insured party becomes terminally ill:
- The cash advance can be used by the policyowner for any purpose.
- Terminal illness is defined as “an illness expected to result in death of the insured party within 12 months”.
- The acceleration amount is determined by the acceleration date:
- The minimum acceleration amount is $25,000.
- The maximum acceleration amount is $250,000 or 75% of the total death benefit, whichever is lesser.
- The maximum acceleration amount acceptable on the life of the insured party for all base policies issued by the insurer is $250,000.
- Only 1 acceleration is allowed per base policy issued by the insurer on the life of the insured party
- Back-End Load
- Administrative Fee
- Interest Charge
- The minimum interest charge is $150
- The maximum interest charge is $250
- Rider terminates at the time of acceleration.