Need A Financial Product › Forums › Insurance › What happens if the policy holders fail to make the premium payments? › What-happens-if-the-policy-holders-fail-to-make-the-premium-payments_REPLY
October 6, 2014 at 11:53 am
#47699
samkapoor77Keymaster
The policy holders have a 15-31 days grace period during which they can pay the premium with no interest charged and if they do not pay the premium within this grace period, and as long as your policy has sufficient cash value, the insurance company will automatically pay the overdue premium by taking a loan against the policy’s cash value and this keeps your policy in force but you will have to pay interest on this loan.