Final answer:
The APL provision pays premiums on a life policy until the policy's cash value cannot cover the premiums anymore, which may happen if the cash value is depleted by loans and interest.
Step-by-step explanation:
The Automatic Premium Loan (APL) provision on a life insurance policy allows the insurer to automatically take out a loan against the policy's cash value to pay the premiums, ensuring the policy remains in force without requiring direct payment from the policyholder. However, the APL provision will no longer pay premiums when the cash value of the policy is no longer sufficient to cover the premiums due. This could occur if loans and interest deplete the cash value or if the cash value has not accumulated enough to keep up with the premium payments.