How to read your annual statement

Face amount:
This is the amount of insurance you selected at policy issue, adjusted for any changes you’ve made since that time.

Benefits and riders¹: 
Acceleration of Death Benefit Rider: If the insured becomes terminally ill this rider will provide for the discounted payment of all, or a portion of the total death benefit available.

(Joint) Coverage Continuation Rider/Benefit:
The Coverage Continuation Rider/Benefit guarantees that the death benefit will remain in force even if the base policy’s cash value is depleted, provided that sufficient premiums have been paid, as shown on the policy specifications page. The Coverage Continuation Rider/Benefit value must remain positive and greater than the loan balance to maintain the rider/benefit.  This value is not available to you. Any delays or variation in the payment will affect this rider and the duration of the policy guarantee that the rider or benefit provides.  

Guaranteed Survivor Income Rider/Benefit:
This rider was designed so that the beneficiary will have the option of exchanging the lump sum death benefit proceeds of a life policy for enhanced lifetime guaranteed monthly payments through an annuitization process. 

Waiver of Specified Premium Rider:
The Waiver of Specified Premium is a rider that waives a specified monthly premium amount if the insured becomes disabled after the policy anniversary at attained age 5, but before the policy anniversary at attained age 60, and in the event that the disability continues without interruption for at least six months. If the policyholder becomes disabled between the policy anniversary at attained age 60 and the policy anniversary at attained age 65, the benefit ends no later than age 65.

Cash Value:
The Cash Value forms the basis for the benefits provided under your policy. It is calculated by taking the prior Cash Value, plus the premiums you paid, and the interest earned, minus the cost of insurance and other charges, the cost of riders (if applicable), and any withdrawals you have made. Specific details on how your Cash Value is calculated may be found in your policy.

Surrender Charge:
A surrender charge is a deduction from the policy’s cash value. To find out more information regarding Surrender Charges, please review your policy.

A Surrender Charge is taken for the following transactions:

• Upon surrender
• Upon lapse
• Upon a partial withdrawal that decreases the Face Amount
• Upon a change in Death Benefit Option that decreases the Face Amount
• Upon a requested decrease in Face Amount

Loan Balance/Outstanding Loan:
This shows the outstanding balance of all loans that have been taken and not yet repaid. 

Net Cash Surrender Value:
The Net Cash Surrender Value is the cash that is available if you were to fully cancel your policy. It is equal to the Cash Value, minus any outstanding policy loans and loan interest due, and minus any applicable Surrender Charge as outlined in your policy. As your Policy states, your Net Cash Surrender Value, must be sufficient to pay your next monthly deduction. 

Guaranteed Interest Rate:
The Minimum Cash Value Guaranteed Interest Rate shown on the Policy Specifications page.

Non-Carryover Loan Interest Rate/Loan Interest Rate in Arrears:
Interest on loans will be charged at a rate not to exceed the Maximum Fixed Loan Interest Rate applicable to the policy year as shown on the Policy Specifications page. The Loan Interest is due each year on the policy anniversary.

Interest Crediting Rate on Borrowed Funds:
If you borrow against the Cash Value, the interest rate used to calculate the interest earned on the Cash Value securing any Loan.

Cash Value / Interest Crediting Rate:
The interest credited to the non-loaned Cash Value for a specific month will be at an effective annual rate not less than the Minimum Cash Value Guaranteed Interest Rate shown on the Policy Specifications page.

Total Current Death Benefit:
As of the statement date, this is the amount that would be paid to the beneficiary(ies) upon the death of the insured.  Full details on how this amount is calculated may be found in your policy. 

You could possibly see one or more of the following sections:

1. continuation of insurance
2. continuation of insurance with no-lapse guarantee
3. continuation of insurance without no-lapse guarantee

1. Continuation of Insurance

This section contains projections with and without the Coverage Continuation Benefit. 

Each scenario indicates how long your coverage continuation benefit is expected to keep your policy inforce as of the statement date, based on the related assumptions and assuming no future loans or withdrawals.

The projections without the Coverage Continuation Benefit show you if your policy is expected to lapse this policy year based on guaranteed and current assumptions.

2. Continuation of insurance with the no-lapse guarantee

This section will appear on your statement if you have an Active Coverage Continuation Rider/Benefit.  

Each scenario indicates how long your coverage continuation benefit is expected to keep your policy inforce as of the statement date, based on the related assumptions and assuming no future loans or withdrawals. If one or more scenarios indicates that your coverage will not remain in effect for as long as you would like it to, you should contact us at 1-800-638-5000, or your financial professional, to discuss your options. 

Options available to you may include: 

• Increase your premium payments to get them to a level that can help meet your coverage goals.
• Put in a lump sum now to help maintain your policy’s length of coverage and death benefit, subject to federal guidelines.
• Reduce the policy’s face amount.
• Surrender the policy entirely, taking the cash value to use for some other purpose.
• Or you may choose to do nothing, which may reduce the policy’s length of coverage and may result in your policy lapsing and you losing benefits as shown in the scenarios on your statement.

3. Continuation of insurance without no-lapse guarantee

This section contains projections without the Coverage Continuation Rider/Benefit.

There are 3 key factors that will affect your policy’s performance:

 1. The premiums you make to the policy 

2. The interest rate we credit to your policy

•  The current interest is credited to your policy at a rate declared by us and may be changed from time to time. The rate declared by us can never fall below the minimum guaranteed interest rate stated in your policy.

3. The charges we deduct each month for the cost of insurance and any other expenses.

• The cost of insurance charges pay for your life insurance death benefit. As a person gets older, these rates increase to reflect the higher probability of death. Current cost of insurance charges reflect rates that are currently in effect. We also deduct administrative charges each month. Both the cost of insurance rates and administrative rates can also change from time to time but can never be more than the guaranteed rates included in your policy.

We’ve calculated how long your coverage is expected to remain in effect based on four sets of assumptions: 

Scenario 1: Paying scheduled premiums on time, minimum guaranteed interest rates, and guaranteed maximum cost of insurance and any other expense charges. 

Scenario 2: Paying scheduled premiums on time, current interest rates, and current cost of insurance and any other expense charges.

Scenario 3: Paying no more premiums, minimum guaranteed interest rates, and guaranteed maximum cost of insurance and any other expense charges.

Scenario 4: Paying no more premiums, current interest rates, and current cost of insurance and any other expense charges.

Each scenario indicates how long your coverage is expected to last as of the statement date, based on the related assumptions and assuming no future loans or withdrawals. If one or more scenarios indicates that your coverage will not remain in effect for as long as you would like it to, you should contact us at 1-800-638-5000, or your financial professional, to discuss your options. 

Options available to you may include:

• Increase your premium payments to get them to a level that can help meet your coverage goals.
• Put in a lump sum now to help maintain your policy’s length of coverage and death benefit, subject to federal guidelines. 
• Reduce the policy’s face amount.
• Surrender the policy entirely, taking the cash value to use for some other purpose.
• Or you may choose to do nothing, which may reduce the policy’s length of coverage and may result in your policy lapsing and you losing benefits as shown in the scenarios on your statement.

This section contains the transactions that occurred during the previous policy year that impact your cash value and your loan balance, if applicable.  

Premiums paid: The amount of premium we received from you, prior to any deductions. 

Interest credited: The interest that has been generated by and added to your cash value. This amount is based on the current declared interest rate.

Expense charge:  The fees and charges related to your policy, which are subtracted from your cash value.

Withdrawals/Adjustments: The total value you have received through withdrawals or adjustments that are made when reducing your coverage.

Cost of Insurance: The monthly cost of the base policy and any riders, which is subtracted from your cash value. The cost of insurance charges pay for your life insurance death benefit. 

Ending Cash Value: The ending cash value as of your current anniversary equals the cash value plus net premiums and interest credited minus expense charges and insurance charges.

If you have taken any money from your policy as a loan, this section summarizes the loan activity during the statement period. For more information on loans please visit Universal Life FAQs | Life Insurance Products (metlife.com).

Loan Balance: Shows the balance at the beginning of the statement period. 

New Policy Loan: If another loan was taken on the policy, the amount of that loan will be given here.

Loan Interest: Shows the loan interest accrued during the statement period. Any unpaid loan interest will be added to the loan balance. 

Loan Repayments: Contains the repayments made, including those applied to interest. 

Ending Loan Balance: The beginning loan balance plus new policy loan plus unpaid loan interest minus loan repayments. 

The financial transaction history section is a more detailed section showing month by month activity including premium payments, policy charges and interest credited.

This section provides information on the current crediting rate that is applied to your unborrowed cash value. This rate will not be changed more frequently than once each quarter.

This section provides important information such as requesting an illustration to obtain a better understanding of how your policy will perform in the future.