Purchasing universal life insurance is an adaptable, economical coverage for life that can change with your lifestyle. Based on your own goals and tolerance of risk, it is combined with an investment tax-advantaged component that you are able to manage.
Who Does It Suit?
Universal life insurance protects you and your family for life. This option has the ability to adjust your premiums (with certain restrictions) as your needs or situation changes. It is perfect for those who want flexible coverage. As long as you pay your premiums, you will be covered for life with an additional investment component growing your wealth. Over time, you can utilize your insurance while you are still alive. Things like funding your financial aspirations or leave it alone to ensure a larger payout to your beneficiaries.
How Does It Work?
This is two-fold – money you pay goes right into a policy fund (pays for the cost of your insurance coverage). Secondly, the balance left over is then invested on a tax-advantaged basis. The options are based on your goals and risk tolerance level. Obviously, your investment account growth will depend on how well your investments perform, and the size of your premiums. The funds in the account can be an excellent source of savings for the future. You can also use them to make future premium payments. The money can also be borrowed against, withdrawn or of course, left alone for your beneficiaries. Always remember that making a withdrawal or borrowing from your policy will reduce its cash value.
Who Does It Benefit?
With the flexibility of this lifelong protection plan, along with the chance to build tax-advantaged cash value, this insurance is perfect for you and your family. You can adjust your premium payments (within certain restrictions) without it impacting your coverage, provided your policy has enough in the investment account. You can choose from a host of investment options to align with your financial objectives and your level of risk.
See Your Wealth Grow:
Depending on what you want to use this plan for – be that adding to your retirement income, sending your children to further education or starting up your own business, the universal life insurance can help. All while you are still living.