Universal Life Insurance Ohio

  Auto Motorcycle Home Life Health Auto Loan

Reader’s Question:

I have a few friends in Cleveland Ohio trying to win me into buying my own life insurance. They say universal life insurance is generally beneficial. Who can actually benefit from universal life insurance?

Charlie

Cleveland, OH

Hello Charlie

Before I answer your question, let me run you through the basics of universal life insurance.

A universal life insurance is a permanent insurance where you pay premiums at a flexible rate for cash accumulation. In other words, a universal life insurance is not purely life insurance. It is also an investment at the same time.

In comparison with term life which pays for the death benefit alone, universal life insurance is actually a savings. In essence, both the insured and the beneficiary benefit from universal life insurance. Unlike term life where only the beneficiaries can get the life insurance amount upon the death of the insured, the insured will be able to benefit the amount invested with universal life insurance.

In fact, the accumulated cash can be used to pay the premiums to keep the insurance in force. And if the cash have accumulated enough, it ca be withdrawn for other use and returned to keep the investment and insurance enforced and increase cash value. What is even more beneficial about the universal life insurance is that payment of its premiums is flexible so the policyholder pays based on current interest rate.

A universal life insurance is beneficial also to those who want to accumulate cash up to the person’s 70th year. When the person started investing at age 30, he could have accumulated enough cash to supplement his retirement.

I think it is best for you to talk to a local insurer in Cleveland Ohio about your options for insurance before you will get convinced by your friends to buy universal life insurance. Once you get the agent’s opinion, you can proceed to comparing their quote to the ones you will get free online. I encourage you to get free quotes now while you are online which can also be done in this page.