Universal Life Insurance

The Universal Life Insurance policy is also called adjustable life insurance policy because it offers more flexibility than term or whole life insurance policies. The highlights of the policy are its death benefit, saving element, and low premium.

The policy offers flexibility to policyholders to adjust premiums and death benefits. Another aspect that makes this policy different is that its premium consists of two components:

•  A cost of insurance amount —This is the minimum amount of premium payment needed to keep your policy active. It includes several items like
  • Policy administration
  •  Mortality charges
  • Other directly associated expenses, All these items are rolled together into one payment. Furthermore, the cost of insurance amount varies depending on the policyholder’s age, insurability, and risk amount.
• A saving component/cash value.

Furthermore, the Universal Insurance Policyholders have the option to pay the premium above the minimum required amount for life insurance coverage. Besides this, you can shift money from the saving component when needed and premiums can be paid from your accumulated savings.

For instance, let’s say John bought a UL policy with a $25 monthly premium. Every month he pays $50. The premium $25 will goes to the policy and rest $25will be added to his tax-deferred saving component of the UL policy. After some time, he will be able to pay a monthly premium from his savings. Also, as the interest rate on the UL saving component is higher than the bank rate, it helps build up saving faster than the bank savings.
If you need more information about Universal Life Insurance policy or need assistance finding the best policy, contact our agent today.

If we add these together it becomes a very safe and secure investment for you and the family, such as if you live up to 90 year, you can enjoy retirement at any age 45, 50, 55, 60 or 65.

Unfortunately, if you have a heart attack or stroke, the medical part of the insurance will pay for treatment. If you pass away early, your family gets a tax free death benefit. Otherwise you will enjoy retirement. As well as it will pay for critical illness or terminal illness, or chronic illness

An Index Universal Life Insurance’s key features and benefits:

• Flexible premium, skip premium
• Option to pay a minimum premium to keep policy in force
• Option to pay maximum within federally established tax lay
• Hearing
• Tax free retirement
• No plenty and age limit on early withdrawal
• Take loan against the cash value while cash value is earning interest
• Saving never run out as long as you live
• Death benefit – Family protection
• Fast cash accumulation, Cash Value – Saving account
• Risk free – Never loses money even the market crash. In 2008, 401k lost money but IUL didn’t
• Loan option to buy house, car, medical bills
• Tax free education plan
• Full access to saving account
• Not considered an asset when calculating the amount for financial aid
• Use money at any College & University