What is a paid-up life insurance policy? | Patriot Plans
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HomeLife InsuranceWhat is a paid-up life insurance policy?
Whole Life Insurance

What is a paid-up life insurance policy?

A paid-up life insurance policy is a whole life policy that no longer requires premium payments. The policy remains in force with full coverage for the rest of your life. A policy becomes paid-up when the cash value is sufficient to cover all future premiums, or when you have paid premiums for a specified number of years (limited pay whole life).

Key Points

  • Paid-up policy: no more premium payments required
  • Coverage remains in force for the rest of your life
  • Policy becomes paid-up when cash value covers future premiums
  • Limited pay whole life: paid-up after 10, 15, or 20 years
  • An independent agent can help you understand paid-up options