Attained Age Definition
The Dictionary of Insurance Terms and Definitions
An attained age is the age that an insured holds at a given moment. In life insurance, the age that matters most is usually the original age—the age of the insured at the time a policy was put in force. However, attained age is of consideration for certain measures.
For instance, when a term life insurance policy's term of coverage expires, the policy might not expire; insurers often have provisions in place which allow policyholders to convert their term insurance policies into universal life insurance policies upon the conclusion of the finite term. In conversion, the health class of the insured remains as it was in the term policy. The cost of insurance, however, is based upon the attained age of the insured, not upon the original age (which was the age basis for the term life insurance policy).
Attained age is also of consequence when the owner of a cash value life insurance policy wishes to sell his/her policy in a life insurance settlement. Financial institutions may be willing to purchase the policy at a favorable price if the insured's attained age is sufficiently high that he/she is likely to die within just a few years. Such a purchase is known as a senior settlement.
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