What is the term for a guaranteed whole of life assurance policyholder who has ceased paying premiums but the life company has maintained the policy with reduced cover?

The term "paid up" describes a situation in which a policyholder of a whole of life assurance policy has stopped making premium payments but the insurance company allows the policy to remain in force with reduced coverage. In this scenario, the insurance company typically adjusts the policy and provides a lower death benefit based on the premiums that have already been paid. This option ensures that the policyholder maintains some level of protection without the need for ongoing premium payments.

In contrast, "surrendered" refers to completely relinquishing the policy, often in exchange for its cash value. "Subrogated" pertains to the legal right of an insurer to pursue recovery from a responsible third party after compensating the insured, which does not apply to this context of life assurance. "Assigned" involves transferring rights to another party, which also is not applicable when discussing a policy that continues with reduced coverage after premium payments have ceased.