All of the following are considered to be nonforfeiture options available to a policyowner EXCEPT?

Nonforfeiture options are benefits provided by a life insurance policy that allow the policyowner to retain some value or benefits from their policy if they stop paying premiums or if the policy lapses. These options include cash surrender value, extended term insurance, and paid-up insurance, which are specifically designed to preserve some form of value within the policy.

The reduction of premium is not classified as a nonforfeiture option because it typically refers to a situation where the policyholder pays a lower premium amount while still maintaining the policy's active status, rather than receiving a benefit from a lapsed policy or reduced benefits. Nonforfeiture options, conversely, focus specifically on the rights or values that exist when a policy is in force but potentially lapses or comes to an end due to non-payment of premiums.

Understanding the differences between these terms is essential for assessing policyholder rights and options in life insurance.