Life Insurance Quotes Online
Reader’s Question:
I have heard of the new life insurance product called the universal life insurance. What are the special features of universal life? Would it be available in Nebraska ?
Judith
Omaha, NE
Certainly, Judith, your insurer in Omaha will carry the universal life as part of the life insurance product line. Thank you for the question as it will give me an opportunity to explain the special features of the universal life insurance.
The closest life insurance to universal is whole life insurance. Both offer permanent protection, as well as tax-free cash values and competitive interest rates. Their biggest contrast is the payment of premium and in the calculation of death benefit. Whole life insurance is the more conventional kind of insurance where the owner pays a fixed monthly rate for a fixed death benefit package. Universal life is at the opposite end of the pole, in this case. Universal life lets the owner choose the amount and frequency of payments, just as long as the annual premium is completed. Consequently, coverage and death benefits can vary depending on your needs and cash value. You can also expand your coverage by paying a higher premium. Also, universal life can have several rider policies, dependent on your wishes. Ask your insurance company in Nebraska on the available riders that can be included in your universal life policy.
You can also try several combination’s or packages and get free quotes for them by entering your zip code on the space you find on this page. Universal life insurance will appeal to more daring investors, I guess. It has high risk components but with equally high yielding investments. Also, if you have an irregular income, universal life will be the ideal life insurance for you.
Universal Life Insurance
Reader’s Question:
Since I am planning to buy my own life insurance, I’d like to ask what are the benefits of getting a universal life insurance policy?
Lovely
Hillsboro, OR
A universal life policy can be atoned to a fusion between a term life and a tax-deferred interest accruing savings account.
In buying one, a benefit that you will get is that you not only accumulate tax deferred savings, but you also may not have to pay premiums throughout the entire duration of the policy. If the money required to pay for the death benefit and other associated costs accrues in the savings fraction of the policy, premiums eventually may not be needed to keep the policy in effect.
Most people who would benefit from universal life insurance policy are those who need life insurance into their 70’s as it is an investment medium as well as a life insurance policy. This would give enough time for your savings part to accumulate into an investment. Most individuals will not want their life insurance to come too late in their lives. In that case, it might be more favorable to acquire a term life insurance policy and prepare a suitable retirement investment savings account such as an annuity.
If you feel like universal life is the right insurance for you, you might want to consider a few points. First, ensure that you plan to have the policy for a long period of time given that you will need to have the policy in effect for at least fifteen years to qualify for any return from the policy and second, make sure you have a well-informed insurance agent in your area who can help you review your other alternatives such as whole life and term insurance.
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