what is a modified premium whole life policy?

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A captive agent is unable to offer you an alternative insurance company.

Be aware that there is a 2-year waiting period for all company policies where there are no questions about your health.

Compare these costs with term life insurance. The same 35-year-old male would pay $30.44 monthly for a $500,000 20-year policy.

what is a modified premium whole life policy?

Premiums that have increased are usually stable throughout the Policy's term. The premiums are usually only increased once.

As mentioned in the previous section, not all policies require that you wait two years before your death benefit becomes payable.

A modified whole life insurance policy is something you should seriously consider.

graded death benefit life insurance policy

As a short recap, there are partial coverage plans that payout a portion of the death benefit during the first two years and there are plans that will pay out 100% of the benefit right away.

Unfortunately, a captive agency cannot offer another insurance company to you.

As mentioned in this section, some policies don't require waiting for the death benefit to become payable.

graded death benefit life insurance policy
cancel term life insurance refund

cancel term life insurance refund

Insurance companies can cover every health concern. They have to pick where they are willing to compete for particular conditions.

Be it Coach B. or another agency, the only way for you to truly get the best Coverage at the lowest rate is by working with an independent agency that will review 15 or more life insurance companies on your behalf.

Most people shouldn't buy a modified whole life insurance policy. Traditional whole life is already more expensive and complex than you probably need. If you buy a modified whole life policy, you're:

automatic premium loan provision is activated at the end of the

Some modified whole-life policies won't let you contribute to your Policy cash value during the initial period.

No insurance company can cater to every single health issue. They have to choose where they compete for specific health conditions.

Some companies offer a two-year waiting period for modified premium whole lives, while others require you to wait three years.

single premium whole life insurance calculator
single premium whole life insurance calculator

If you work with what's called a "captive agent", they will only be able to sell you the one company they represent. But what if that company dislikes your health issues?

Coach B. or another agency. The only way to get the best Insurance at the lowest price is to work with an independent agency. They will review 15 or more insurance companies for you.

The company determines the interest that is granted. Remember that the interest granted depends on how much you have paid for premiums and not your death benefit.

what does life insurance pay for?

For example, ABC insurance company excels at ensuring people with diabetes and offers them rock bottom rates. Their underwriting is set up to work that way.

Lastly, you might see some companies refer to modified whole life plans as "final expense life insurance ", "funeral insurance", or "burial insurance".

Meanwhile, XYZ insurance company isn't very fond of people with diabetes. They might deny them or charge them much higher prices.

what does life insurance pay for?

Frequently Asked Questions



CEO, The Annuity Expert. A Modified Endowment Contract, or MEC, is a life insurance policy modified from the traditional whole life insurance policy. A MEC offers tax-deferred growth and allows you to take out loans against the policy's cash value without penalty.


Modified whole life insurance is permanent life insurance in which premiums increase after a specific period. Usually, the premiums increase after five or ten years but remain constant. Traditional whole-life insurance premiums, in contrast, remain the same throughout the policy's life.