Which of the following is a nonforfeiture option?

A nonforfeiture option refers to a provision in life insurance policies that allows policyholders to receive a benefit if they stop making premium payments. When a policyholder decides to discontinue their policy, nonforfeiture options ensure that they do not lose all the benefits they have paid for.

Cash surrender, as a nonforfeiture option, allows the policyholder to receive the accumulated cash value of their policy if they choose to terminate it. This option is crucial for whole life insurance policies, which build cash value over time. Instead of forfeiting their investment, policyholders can opt to receive this cash value, which reflects the premiums they have paid and any interest earned.

In contrast, term insurance typically does not have any cash value, and therefore does not offer nonforfeiture options. Health insurance and liability insurance similarly do not provide nonforfeiture options as they are structured differently, focusing rather on coverage for medical expenses and protection against legal liability, respectively. Thus, among the provided choices, cash surrender is the correct option representing a nonforfeiture provision.