What does the Ownership Clause specify?

The Ownership Clause in a life insurance policy specifies the rights and responsibilities of the policy owner. This clause is crucial as it outlines who has control over the policy, including the ability to make changes such as naming beneficiaries, borrowing against the cash value, or surrendering the policy. The policy owner is responsible for paying premiums and ensuring that the policy remains in force, and they may also have rights regarding the policy's provisions, such as making changes or accessing benefits.

This clause establishes the relationship between the insurance company and the policy owner, clarifying the extent of the owner's authority and duties. Understanding this aspect is vital for policyholders to effectively manage their insurance plans and take full advantage of the benefits provided under the policy.