Multivalued Dimension or Multiple facts w/conformed dimensions

I am trying to model for insurance industry, with data as follows:

We have data at different levels:
Policy level with related facts. ((Premium , face amount, mode etc)
Policy Fund level (combination with related fact values.)
Policy Rider level (combination with related fact values.)

Now, should I create:

1. Policy dim, policy status dim, product dim etc... along with policy fact.
2. Policy dim, Fund dim, Policy Fund Details Fact
3. Policy dim, Rider dim, Policy Rider Fact.

How would I build a multivalued dimension for the above combination? Is there pros/cons in using either of these two approaches.

Please let me know.

If you have the three fact tables, why would you need a multivalued dimension?