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The definitions contained herein are for general information only and are not designed for use in connection with the interpretation of any insurance policy or annuity policy issued through Insurance Answer Center.
Life Insurance Glossary Terms  4 A B C D E F G H I J K L M N O P Q R S T U V W Y

Re-Entry


This provision in some level term life policies rewards policyowners for remaining healthy. After the end of the level term period, premiums usually increase annually. Re-entry, assuming the insured is healthy, allows the policyowner to, in effect, replace the existing policy with a new level term policy that offers more favorable premium rates. They are usually the same rates that the insurance company would charge new buyers of the same attained age, sex, risk and class. The premiums on re-entry will normally be higher than under the original policy as the insured will be older, but less than the premiums which are payable under the original policy if re-entry doesn't occur. The policy includes a maximum age after which re-entry will not be allowed. Also known as Re-Entry Provision.

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