What is a key feature of limited-payment life insurance?

Limited-payment life insurance is designed so that the policyholder pays premiums for a specified, limited period while securing lifetime protection for the insured individual. This structure allows policyholders to make premium payments over a shorter span, rather than throughout their entire lifetime, while still ensuring that their beneficiaries are covered in case of death, regardless of how long the insured lives beyond the payment period.

This type of policy appeals to individuals looking for a more manageable payment schedule without sacrificing the security and benefits associated with having life insurance over the long term. The cash value component typically accumulates over time and can be accessed by the policyholder, further enhancing the appeal of this insurance type.

The other options do not accurately describe limited-payment life insurance. For instance, continuous premium payment throughout the insured's life does not align with the nature of limited-payment designs, which focus on concluding payments after a defined period. Similarly, policies that provide coverage for a specific term without further payments revolve around term insurance, not the limited-payment structure. Lastly, the incorrect assertion regarding only providing death benefits ignores the fact that many limited-payment policies do accrue cash value over time.