Annuity glossary

Overloan Protection Rider

A rider on permanent life insurance that prevents the policy from lapsing after loans have consumed most of the cash value. When triggered, it freezes the policy as reduced paid-up coverage, avoiding the surprise tax bill a loan-driven lapse would create. Conditions apply, and it typically must be exercised late in the policy's life. Policy documents explain the timing, charges, limits, and conditions that apply to the owner.

Any guarantee is backed by the claims-paying ability of the issuing insurer.