Which term describes a policy that is renewable at the insurer's discretion?

A policy that is renewable at the insurer's discretion is described as "Conditionally Renewable." This means that the insurer has the right to determine whether to renew the policy under specified conditions, which could include factors like the insured's health status or other criteria defined in the terms of the policy.

In this context, a conditionally renewable policy offers some level of security to the insured, but also allows the insurer to exercise discretion based on certain conditions being met, thus protecting the insurer from overexposure to risk.

The other terms refer to different types of renewal provisions:

• Guaranteed Renewable refers to policies that the insurer must renew regardless of changes in health status, as long as premiums are paid.
• Noncancelable signifies that the insurer cannot cancel or refuse to renew the policy and cannot change the premium as long as premiums are paid.
• Term Insurance pertains to a type of insurance that provides coverage for a specified period, after which coverage ends and does not inherently relate to renewal provisions.

Thus, in contrast to the concrete guarantees found in guaranteed renewable and noncancelable options, conditionally renewable policies provide the insurer with flexibility, making it the correct descriptor for the type of policy in question.