Jane Curtain has a participating life insurance policy that returns part of her premiums at the end of the year. What is the money that is returned to Jane called?

Question

Quizplus · Accepted Answer

The money that is returned to Jane is called a policy dividend. This is a partial refund of the premiums she has paid into the policy. Policy dividends are commonly found in participating life insurance policies, which give policyholders a share of the insurer's profits in addition to their insurance coverage.

Jane Curtain Has a Participating Life Insurance Policy That Returns