What is a non-forfeiture option?

A non-forfeiture option is a provision designed to protect policyholders if they can no longer pay premiums on their life insurance policy. This option allows them to access benefits or cash value accrued in the policy instead of losing all value due to non-payment. In essence, if a policyholder decides to stop paying premiums or cannot continue, these options ensure that they do not forfeit the entire investment made into the policy.

The significance of this provision lies in the assurance it provides to policyholders, giving them the opportunity to recover some value or ensure continued coverage, even if they encounter financial difficulties. This aspect of life insurance is particularly important as it safeguards the policyholder's interest and investment in the insurance policy.

The other choices presented do not reflect the nature of non-forfeiture options accurately. The clause regarding cancelation without refund does not align with the protective purpose of non-forfeiture options, while options related to doubling death benefits or claiming benefits after maturity concern different facets of policy coverage and benefits than what a non-forfeiture option addresses.