The following two individuals would like to reinstate their life insurance policies: $*$ Katlyn Marsh surrendered her policy for its cash surrender value six months age. $*$ When Martin Stacy's policy lapsed one year age, it had an outstanding policy loan. The insurer processing these requests for policy reinstatement most likely would permit the reinstatement of $1)$ both Ms Marsh'a policy and Mr Stacy's policy $2)$ Ms Marsh's policy only $3)$ Mr Stacy's policy only $4)$ Neither Mr Marsha's policy nor Mr Stacy's policy