universal life insurance

types of universal life insurance


When you pass away and your policy is still active, your beneficiaries will only receive the death benefit – the insurance company keeps any funds above this amount. Beneficiaries typically receive a single tax-free payment or monthly or annual installments. Some insurers offer annuities as an additional option – these are contracts where the insurer agrees to pay the beneficiary a one-time fee or periodic payments for a predetermined time.


Consider the risk you are willing to take when purchasing universal life insurance. Do not believe in any promises of enormous investment returns that may not be true. Make sure you examine all parts of the policy illustration, not just the projections.

universal life insurance death benefit option 2


As long as you keep the cash in your policy, your funds can continue to experience tax-free income growth. If investments fail, the accumulated capital value might decrease. You'll still have to pay taxes for any withdrawals, and your death benefits may decrease. You can keep the majority or all of your accumulated money value if your policy is terminated.

universal life insurance death benefit option 2
what is a universal life policy in insurance

what is a universal life policy in insurance


Indexed universal life insurance (IUL) allows you to earn interest tied to the performance of index funds such as the S&P 500, though your insurer may limit your rate of return. Or, you may be able to choose to earn all or part of your cash value in a fixed-rate account.

uil insurance


Universal life allows you to build cash value and a permanent insurance policy. You can adjust the premiums to increase or decrease payments, provided that you do not exceed certain insurance company limits. Because the cash value allows you to withdraw and take out policy loans, providing coverage for people with variable incomes can be an option.

farmers universal life insurance

farmers universal life insurance


Universal life insurance might be the right choice for you if you're in the market for a life insurance policy with lifelong coverage. Universal life insurance can offer a guaranteed death benefit, allows you to tap into the policy's cash value, and may give you the flexibility to adjust your premium payments and death benefits.

best guaranteed universal life insurance companies


Universal life insurance can be described as a permanent type of insurance. A universal life policy covers the insured for their entire life, provided they pay their premiums and comply with any other conditions. Universal life insurance, like many permanent policies, combines a savings component ("cash value"") and lifelong protection. The policy's death benefit will be paid to your beneficiaries upon death.

best guaranteed universal life insurance companies