Dividend Options (CRAPPO)
Across
- 3. Dividend applied to reduce the next premium payment
- 4. Purchase additional permanent insurance without proving insurability
- 5. Direct payment to policy owner, tax-exempt
- 6. Purchase term insurance; can cover policy loan amount
Down
- 1. Dividend held by insurer in separate account; interest is taxable
- 2. Dividends are used to make additional premium payments and pay up the policy sooner