Non-guaranteed element in illustrations?

• A. Guaranteed values
• B. Premium schedule
• C. Projected dividends or credited interest
• D. Policy issue age

Answer: (C)

In life insurance illustrations, guaranteed values are the numbers the insurer promises will be there regardless of performance. The non-guaranteed element is the projected dividends or credited interest because these depend on future financial results, company performance, and declared dividends. Dividends on participating policies and interest credited to cash value aren’t guaranteed; they’re shown as projections based on assumptions and can be higher or lower in reality. The premium schedule and the policy issue age are contractual or factual details that influence costs and coverage, not the variable portion that the illustration presents.