Variable Universal LIfe Insurance Basics
If you like the idea of a permanent insurance with flexible premiums and options you’d probably like the idea of a variable universal life insurance policy. This type of policy combines features of universal life insurance with investment options, which means, you have the potential for a larger death settlement than you would have with an ordinary policy. Bestsyndication.com reports:
Variable universal life insurance has advantages over other life insurance policies, such as Globe Life Insurance or whole life insurance. With this type of life insurance you get to play the stock market and choose the investment funds where you want to put your money. With universal life insurance on its own, you can’t control how your cash value is invested. When you combine it with variable life insurance, you can switch investments two or three times a year if you wish to get a higher life insurance settlement.
Read more:What’s The Lowdown On Variable Universal Life Insurance?
If you enjoyed this article, please bookmark it at del.icio.us »
March 20th, 2007 at 8:46 am
again you must look at the costs. many of the products out there have break points, in which if you buy this much, the sales charge reduces. yes there are management fees but same goes with any investment out there. and cost of insurance (basically your own mortality) does increase each year, but that is why you want to do this type young. now take this example. say you buy $500,000 policy at age 21. now you are paying costs of insurance on $500,000. but as your account grows over time, the amount you are buying decreases. so now say you are 40 and the value of your account is $250,000. now you are only paying $250,000 worth of policy. again, ask your agent questions, all the questions when it comes to costs. you have to be smart as well.