Any declared dividends are credited to policies based on their share of any surplus apportioned by Navy Mutual at the end of each policy year. Dividends are not adjusted for policies with loans against them. There are four options for using your dividends:
1. You can purchase Paid-Up Additions, which permanently increase the amount of cash value and death benefit you have by putting the dividend back into your policy. This is the default dividend option.
2. You can use the dividend to reduce your premium or pay back an outstanding loan.
3. You can take the dividend as a cash payment.
4. You can purchase additional term insurance for a one-year period to supplement your Flagship Whole Life total death benefit.
You can use your dividend in the same way every year — or in a different way from one year to another. Your dividend option may be changed at any time by contacting Navy Mutual.
For more information on Navy Mutual Flagship Whole Life insurance, please call us at 800-628-6011.