Loan Account Value. The Loan Account Value is the amount set aside to secure Policy Debt and is held in the Loan Account. We will credit interest to the Loan Account on a daily basis, using a 365-day year, and the daily equivalent of an annual interest rate not less than the guaranteed interest rate used for the Fixed Account. The Loan Account Value on the Policy Date is equal to any policy debt existing at such time. Thereafter, the Loan Value is defined on each Valuation Day as the following, including interest on each: • The amount in the Loan Account as of the end of the prior Monthly Payment Date • Plus any loan taken since the prior Monthly Payment Date • Minus any loan amount repaid since the prior Monthly Payment Date On each policy anniversary, if the Loan Account Value exceeds policy debt, the excess will be transferred from the Loan Account to the Investment Options according to your most recent premium allocation instructions, and if Policy Debt exceeds the Loan Account Value, the excess will be transferred from the Investment Options on a proportionate basis to the Loan Account.
Appears in 4 contracts
Samples: Life Insurance Policy (Pacific Select Exec Separate Acct Pacific Life Ins), Life Insurance Policy (Pacific Select Exec Separate Acct Pacific Life Ins), Life Insurance Policy (Pacific Select Exec Separate Acct Pacific Life Ins)
Loan Account Value. The Loan Account Value is the amount set aside to secure Policy Debt and is held in the Loan Account. We will credit interest to the Loan Account on a daily basis, using a 365-day year, and the daily equivalent of an a minimum annual interest rate not less than equal to the guaranteed interest rate used for the Fixed Account. The Loan Account Value on the Policy Date is equal to any policy debt Policy Debt existing at such time. Thereafter, the Loan Account Value is defined on each Valuation Day as the following, including interest on each: • The amount in the Loan Account Value as of the end of the prior Monthly Payment Date Date; • Plus plus any loan taken since the prior Monthly Payment Date Date; and • Minus minus any loan amount repaid since the prior Monthly Payment Date Date. On each policy anniversary, if the Loan Account Value exceeds policy debtPolicy Debt, the excess will be transferred from the Loan Account to the Investment Options according to your most recent premium allocation instructions, and if Policy Debt exceeds the Loan Account Value, the excess will be transferred from the Investment Options on a proportionate basis to the Loan Account.
Appears in 2 contracts
Samples: Life Insurance Policy (Pacific Select Exec Separate Acct Pacific Life Ins), Life Insurance Policy (Pacific Select Exec Separate Acct Pacific Life Ins)
