Which premium structure allows for a gradual increase over time?

The grades premium structure is designed to allow for a gradual increase in premiums over time. This approach can be beneficial for individuals who might expect their financial capacity to improve as their careers advance or as they achieve various life milestones. By starting with lower premiums that grow incrementally, policyholders can manage their cash flow more effectively, making it more feasible to maintain coverage in the long run.

In contrast, a fixed amount structure typically requires a set premium that does not change over time, potentially making it less flexible for those whose circumstances may evolve. The no-lapse guarantee provides coverage as long as premiums are paid but does not inherently allow for gradual increases; rather, it ensures that the policy remains in force even in cases where the cash value might otherwise lapse. The life income option focuses on providing a steady stream of income rather than on the structure of premiums paid.

Therefore, the grades premium structure stands out as the option that explicitly allows policyholders to experience a gradual increase in their premiums over time.