When considering premium submissions, what does "forwarding" typically allow?

"Forwarding" in the context of premium submissions typically refers to the ability to defer payment by utilizing the cash value of a life insurance policy. This means that if a policyholder has accumulated cash value within their policy, they can choose to use that cash value to cover premium payments instead of having to pay out of pocket. This option can be particularly beneficial for policyholders who may be experiencing financial difficulties or who prefer to manage their cash flow more effectively.

The other options do not align with the concept of forwarding. For instance, reducing premium amounts or providing a grace period for payments does not directly relate to the method of utilizing cash value for premium submission. Meanwhile, converting term insurance to whole life refers to a different process involving policy types and does not connect with the mechanism of forwarding in premium submissions. Hence, the correct understanding of "forwarding" in this context directly relates to deferring payment using accumulated cash value, making option C the accurate choice.