Common use of DEATH OF THE INSURED Clause in Contracts

DEATH OF THE INSURED. In the event of the death of the Insured while this Agreement is in effect, a portion of the proceeds of the Policy equal to the Policy Interest shall be paid to the Assignee and the balance of the proceeds of the Policy shall be paid to the beneficiary or beneficiaries under the Policy (as their interests may appear); provided, in computing the value of Assignee's Policy Interest upon termination, Assignee shall be deemed to have repaid to Insurer the amount of any outstanding Policy loans or advances to Assignee (including accrued interest) immediately prior to such termination, and such deemed repaid amount in turn shall be deemed to have been distributed to Assignee.