Each policy of life insurance shall contain a provision that a grace period shall be allowed within which the payment of any premium after the first may be made. The grace period shall be: 30 days; at the option of the insurer, 1 month of not less than 30 days; or 4 weeks, for a policy of industrial life insurance with premiums payable more frequently than monthly. The policy continues in full force during the grace period. If a claim arises under the policy during the grace period, the amount of any premium due or overdue may be deducted from the policy proceeds.