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Disappearing Surrender Charge
The ANNUAL PREMIUM FLEX LIFE plan rewards the Member who maintains the coverage in force. However, if the certificate is lapsed or terminated, a charge (based on the number of years the certificate has been in force) is deducted from the Accumulation Account to produce a cash surrender value. This charge is never applied unless the certificate owner surrenders the certificate.
The surrender charge will be the following percentages, applied only to the Basic Annual Premium appearing in the Certificate Schedule of Premiums.
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Annual Statements
An annual statement will be mailed to the Member the week following their certificate anniversary. Each Annual Statement will provide the following values for the next year: a. the death benefit b. the accumulation account balance c. the cash surrender value d. the risk premium e. the interest to be credited f. expense charges
Certificate Loans
Interest on a certificate loan is payable in advance. The interest on a loan is 10%.
