Money Insurance Universal Life Insurance
always risk involved in taking out a universal life insurance,
flexibility is the key when discussing its advantages.
life combines features of both whole life and term insurance.
As with whole life, you can build up a cash reserve. As with term
life, you can vary the premium payments and coverage amount from
year to year.
advantage of universal life is in the interest paid. While interest
on a whole life policy is adjusted annually, the interest paid
on universal life insurance is adjusted monthly. This translates
into the policy's cash value increasing much more rapidly in times
of high interest rates.
to the universal policy arrangement is, of course, in periods
when interest rates drop. As low interest rates continue, the
cash value drops along with it which means having to pay a higher
premium to cover the difference.
on your financial situation, you may decide to stick with the
safer, and more traditional term
life insurance or whole
life insurance policy.
On the Web,
discover more detailed facts about universal life coverage with
comparisons to whole and term insurance policies, its risks and
benefits, along with additional information on variable universal,
and adjustable life insurance...
More about universal life insurance around the Web:
Universal Life Insurance - How it Works - Benefits
vs. whole life, and a discussion on coverage amounts and death
Life Insurance - A guide from Investopedia with related
links to more information comparing term and universal life insurance,
term and whole life, and what to look for in LTC insurance policies.
Defining Universal and Whole Life Insurance - Expert advice
on weighing the pros and cons of both policies and how your financial
situation should affect your final decision.