What Does Put Option Mean?

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What does Put Option mean? Read on to discover the definition & meaning of the term Put Option - to help you better understand the language used in insurance policies.

Put Option

Put Option

A put option is a contract that allows an investor to sell a particular security, or other investment at a particular price for a specific amount of time. In the context of insurance, put options exist for life insurance policies. Such put options allow life insurance policyholders the option to sell their policies for a specified price for a certain period of time.

We hope the you have a better understanding of the meaning of Put Option.

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