Which term refers to the additional payment required to maintain coverage after an initial payout?

The term that refers to the additional payment required to maintain coverage after an initial payout is "premium." In the context of insurance, a premium is the amount that the policyholder must pay periodically—typically monthly or annually—to keep the insurance policy in force. This payment can be thought of as the ongoing cost of insurance coverage, which allows the insured to receive benefits as specified in the policy.

Understanding premiums is essential because they directly affect the cost of maintaining coverage over the life of the policy. If premiums are not paid, the policy could lapse, leaving the insured without coverage.

The other terms do not accurately describe this ongoing payment requirement. A dividend refers to a portion of the insurer's profit that may be returned to policyholders, cash value pertains to the savings component in certain types of life insurance policies that accrue over time, and the face amount is the amount the insurer will pay upon the death of the insured or upon policy maturity, but it does not involve the ongoing payment of premiums.