If a Policy Loan on the Cash Value Is Not

Multiple Choice

If a policy loan on the cash value is not repaid,

A) the policy may be canceled by the insurer,
B) a judgment may be awarded the insurer in the amount of the unpaid balance,
C) the unpaid balance of the loan will be deducted from the death benefit paid to the beneficiary,
D) a much higher interest rate is charged until the loan is repaid.