Ans.This entirely depends on the policy terms and conditions. In most cases, if you miss a premium payment, you have a 30 or 31-day grace period during which you can pay the premium with no interest charged. However if you are unable to pay, you can declare the policy paid-up for that year, provided that at least two year’s premium has been paid. The company with your authorization will then withdraw the charges from your permanent policy's cash value to keep that policy in force. In some flexible-premium policies, premiums may be reduced or skipped as long as sufficient cash values remain in the policy. However, this will result in lower cash values and a shortened coverage period.