Modified Benefit Whole Life
Insurance Glossary
A life insurance structure that returns premiums plus interest instead of paying the death benefit during an initial waiting period. The period usually runs two or three years and applies to death from natural causes, which distinguishes it from a graded death benefit, where a rising percentage of the face amount is paid instead. It is issued to applicants whose health does not qualify them for immediate full coverage, and the length of the period and the interest rate credited vary by insurer.
This content is for general informational purposes only and is not insurance, legal, or financial advice. Coverage, exclusions, eligibility, and pricing vary by insurer, by policy, and by state, and only the policy documents control what is covered. Always confirm the details of any coverage with a licensed insurance agent or the issuing carrier before you buy.
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