Definition of "Persistency bonuses (enhancements)"
EJ McLean, Real Estate Agent
MVP Realty
Financial incentives credited to the policy to encourage the policyowner to keep the policy in force. The incentives may be utilized by: (1) applying them to the policy cash value after a stipulated time period that the policy has been in force has expired; (2) after a stipulated minimum number of premium payments has been paid into the policy; or (3) after the policy's cash value has attained a stipulated minimum value. These financial incentives may be added to the policy in the following manner:
- Additional interest may be added to the policy's cash value.
- Mortality credit may be added to the policy's cash value.
- The policy's death benefit may be increased.
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