Understanding the two key provisions in your ivari universal life policy
Two Separate Rules
Death Benefit
2-year suicide limitation on the main death benefit
Living Benefit
Permanent exclusion for disability claims caused by self-harm
Death Benefit: The 2-Year Suicide Clause
Located under General Provisions — "Amount Payable is Limited in the Event of Suicide or Self-Destruction"
What Triggers the Limitation?
Suicide
Death by suicide — sane or insane
Intentional Self-Injury
Attempts suicide or intentionally injures themselves and dies from that act
Applies Regardless
Mental state (sane or insane) does not affect the rule
What Gets Paid Instead?
No Full Death Benefit
The face amount is not paid during the 2-year window
Refund Only
ivari refunds a portion based on net premiums / fund value for that coverage, minus previous withdrawals and refunds
Clients should expect money in, not face amount
When Does the 2-Year Clock Start?
The clock runs from the later of the policy effective date or the date of the latest reinstatement or change.
Coverage Increases & Life Insured Changes
Face Amount Increase
Fresh 2-year suicide limitation applies — but only on the increased portion
Change of Life Insured
Both Incontestability and Suicide/Self-Destruction limitations fully restart for the new insured
Living Benefit: Permanent Exclusion
Under the Living Benefit (Disability) section, self-harm is a listed general exclusion — no disability benefit is paid.
Living Benefit Exclusion — Key Details
What's Excluded
Any disability from intentional self-inflicted injury or any act of, or attempt to commit, suicide
Sane or Insane
Mental state does not affect the exclusion
No Exceptions
Even if the policy is in force and all other conditions are met — no Living Benefit paid
How to Explain This to Clients
Universal Life Basics
Lifelong coverage + investment account. Cash value and death benefit tied to investment choices.
2-Year Suicide Clause
Suicide or intentional self-harm within 2 years → refund of premiums paid, not the face amount. Increases restart the rule on the new portion.
Living Benefit
Disability lump sum claims caused by intentional self-harm or suicide attempts are not covered.
Suicide & Self-Destruction Rules