What requirement must be included in renewable policies?

Renewable policies are specifically designed to give the insured the option to extendor renew their coverage without having to undergo additional medical underwriting. The requirement that renewable policies must include the word "renewable" serves a crucial purpose. It ensures transparency and clarity for the policyholder, allowing them to easily identify the terms of the policy regarding renewal.

By stating that the policy is renewable, it informs the policyholder about their rights and the options available at the end of the policy term. This clarity helps policyholders to make informed decisions about their insurance needs and provides assurance that they have the right to continue their coverage under specified conditions.

In contrast to this, the other options either do not align with the specific requirements of renewable policies or misinterpret the nature of these policies. For example, while some renewable policies may indeed allow upgrades in benefits, this is not a universal requirement. Similarly, not charging additional premiums may apply to some policies but does not represent a core requirement of all renewable policies. Lastly, requiring a fixed premium for life does not align with the nature of renewable policies, which typically involve premium adjustments upon renewal based on the insured's current underwriting risk profile.