Which of the following refers to options available if a policyowner can no longer afford to pay premiums?

The correct answer is linked to the concept of nonforfeiture options, which are crucial for policyowners who find themselves in a situation where they can no longer afford to pay their insurance premiums. Nonforfeiture options are provisions in life insurance policies that allow the policyholder to retain some value or benefits even if they stop making premium payments.

These options may include things like cash surrender value, extended term insurance, or reduced paid-up insurance, depending on the type of policy. This means that instead of losing the insurance coverage entirely due to non-payment, the policyowner has choices that allow them to maintain some benefits derived from their accumulated value in the policy.

The other options, while related to insurance, serve different purposes. Premium waivers typically allow a policyholder to have their premiums waived under certain conditions, like total disability, but do not offer alternative solutions if the policyowner can't afford premiums due to other financial reasons. Policy loans represent borrowing against the policy's cash value rather than offering a means of retaining coverage when premiums are unaffordable. Endowment plans, on the other hand, are specific types of life insurance that provide a payout after a certain period or upon death, but they do not provide the same flexibility regarding premium payment issues as