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What is policy replacement?

Policy Replacement occurs when you use or intend to use a portion or all of the policy value of your existing insurance policy to fund a new insurance policy, or that you intend to decrease premium contrition of your existing policy to fund the premium of the new insurance policy. In case you are purchasing the life insurance policy to replace an existing life insurance policy, you should seek professional advice to understand the associated risks and detrimental consequences of policy replacement.

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