Some whole life insurance plans have a Minimum Required Fixed Interest Strategy Allocation (MRFISA), which is defined as follows:
Minimum Required Fixed Interest Strategy Allocation (MRFISA): A dollar amount equal to the estimated Monthly Deductions for a 12 month period, assuming no changes to the policy during that policy year. This amount is determined each year and until this requirement is met, no value will be allocated into an Indexed Interest Strategy.
MRFISA amount will go toward Fixed Interest Strategies instead of Indexed Interest Strategies.
Why do some whole life insurance plans have a Minimum Required Fixed Interest Strategy Allocation (MRFISA)?