Common use of Types of Proceeds and Method of Payment Clause in Contracts

Types of Proceeds and Method of Payment. There are various types of Proceeds available under this contract. These include: • Death Proceeds • Surrender Proceeds • Partial Surrender Proceeds We will pay death or surrender Proceeds as either a lump sum or under a payment option as described in Section 13, Payment of Proceeds. The amount of Proceeds payable will vary by the type of Proceeds and the form of payment selected. We will only pay partial surrender Proceeds as a lump sum. We have the right to require that this contract be returned to us when we pay death or surrender Proceeds. To the extent permitted by law, Proceeds will not be subject to any claims of your creditors or the Beneficiary’s creditors.