Flexible Premium Options
You can
vary the amount of premium you pay and also change the
death benefit while the policy is in force.
Universal life insurance is permanent
life insurance with a cash value tied to the equity
markets.
It is flexible, in that it allows you to decide how
much life insurance you need, and subject to certain
requirements and limitations, you can adjust the death
benefit and premium payments to fit your changing needs
to suspend or resume premium payments as you need to.
When you take out a universal life insurance policy, you have two options for determining the amount of the final death benefit:
Level death benefit, typically called Option A or
Option 1. The level death benefit is determined when
the policy is taken out.
Increasing death benefit, typically called Option B
or Option 2. The death benefit equals the sum of the
original face amount plus the cash value. The death
benefit increases with the increase in cash value.
Universal life insurance may make sense for you if you:
| Want to ensure that you have life insurance coverage over your entire lifetime. | |
| Want the flexibility to suspend or resume premium payments, as needed. | |
| Want the option to increase or decrease the death benefit of the policy. |
Universal life insurance Benefits:
| 1. | You can enjoy an income tax-free death benefit |
| 2. | Accumulation value bonuses are linked to a market index |
| 3. | You will receive a guaranteed yield with a minimum interest rate (may vary state by state) |
| 4. | Policy loans are also available on very attractive terms. |
