What significant feature distinguishes adjustable life insurance?

Adjustable life insurance is characterized by the flexibility it offers to policyholders in terms of premium payments and coverage amounts. The correct answer highlights that the premiums may be adjusted by the policyowner, which is a defining feature of this type of insurance.

With adjustable life insurance, policyholders have the ability to modify their premium payments and the death benefit according to their changing financial needs and circumstances. This adaptability is particularly beneficial for those whose financial situations may vary over time, allowing them to increase or decrease their premiums and adjust the coverage amount without needing to purchase a new policy.

This flexibility contrasts with traditional whole life insurance, where premiums and benefits are typically fixed and less customizable. Therefore, the option that states the premiums may be adjusted by the policyowner accurately captures the essence of what makes adjustable life insurance distinct.

While other options touch upon aspects of policy features, they do not accurately represent the core flexibility that adjustable life insurance offers its policyholders.