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flexible premium variable life insurance. Definition. A form of life insurance that combines adjustable features from other types of policies into one instrument. First, it allows premium schedules to be designed by the policy owners in both frequency and amount within certain restrictions. Premiums can also be suspended and restarted at the owner's discretion.
Graded Premium Policy A type of whole life policy designed for people who want more life coverage than they can currently afford. They pay a lower premium rate that increases gradually over the first three to five years and then remains constant over the life of the policy.