In decreasing term life insurance, what primarily declines?

In decreasing term life insurance, the primary element that declines is the face value of the policy. This type of insurance is designed so that the death benefit, or face value, decreases over the duration of the policy term. Typically, this structure is utilized to cover specific needs that diminish over time, such as a mortgage or other debts, where the financial obligation decreases as payments are made.

As the policy progresses, the amount that would be paid out in the event of the policyholder's death decreases, contrasting with level term life insurance, where the face value remains constant. This progressive reduction aligns with the temporal nature of the coverage need.

While premiums are usually level and do not decline, the age of the insured does not factor into the declining aspect of the policy since it continues to increase over time; similarly, the accumulated cash value is not a feature of decreasing term life insurance, as this type typically does not build cash value at all. Thus, the focus is squarely on the decline in face value, making it the correct answer.