When a reduced-paid up non-forfeiture option is chosen, what happens to the face amount of the policy?

When a reduced-paid up non-forfeiture option is chosen, what happens to the face amount of the policy?



a. it decreases over the term of the policy
b. it remains the same as the original policy, regardless of any discrepancies in value
c. it is reduced to the amount of what the cash value would buy as a single premium
d. it is increased when extra premiums are paid


Answer: c

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