paid-up option

  • A form of insurance available as a nonforfeiture option. It provides for continuation of the original insurance plan, but for a reduced amount.

    Internal Revenue Service 1

1Internal Revenue Service, Internal Revenue Manual 4.42.6 Glossary, http://­www.irs.gov/­irm/­part4/­irm_04-042-006.html (last accessed Dec. 22, 2009).