What is the definition of the selling price in Variable Life policies?

The selling price in Variable Life policies refers to the price at which units under the policy are offered for sale by the life company. This means that when you purchase a Variable Life policy, the amount you pay for each unit of the policy corresponds to this selling price, which fluctuates based on the performance of the underlying investment options.

Selecting this answer demonstrates an understanding of how Variable Life policies operate, particularly the relationship between the policyholder and the insurance company concerning the buying and selling of investment units. In contrast, the bid price, buying back price, or a fixed amount throughout the life of the policy does not accurately represent the selling price mechanism in Variable Life policies. Each of these terms refers to different aspects of policy transactions that do not pertain directly to the selling price itself.