Which of the following is NOT a typical feature of Variable Life policies?

Variable Life policies are designed to offer policyholders flexibility in how they manage their life insurance coverage and investment options. A key feature of these policies is that they allow for adjustment in premium payments, enabling policyholders to increase or decrease their premiums based on their financial situation. This adaptability is particularly important in variable life insurance, where investment performance can vary significantly.

Another essential characteristic is the ability to switch investment funds. Policyholders can choose how their cash value is allocated among different investment options, reflecting their risk tolerance and investment goals. This flexibility helps individuals tailor their insurance policy to align with their personal financial strategies.

In the context of fixed benefit payouts, variable life insurance does not guarantee a fixed death benefit; instead, the death benefit can fluctuate based on the performance of the underlying investment options. This is a defining feature of variable life insurance, where the cash value and potentially the death benefit may grow or shrink depending on the investment performance.

The opportunity for premium holidays allows policyholders to pause their premium payments for a period without losing coverage, highlighting the flexibility offered under variable life policies.

In contrast, the assertion that fixed benefit payouts are typical of Variable Life policies does not align with the inherent structure of these products, which are intended to provide variable benefits based on investment