Description: Universal life insurance is a type of whole life insurance that offers some
additional features and advantages. Like whole life insurance, universal
life insurance accumulates cash value through investment of the premium
payments. Universal life insurance is unique in that it has variable
premiums, benefits and payment schedules, all of which are tied to market
interest rates and the performance of the investment portfolio. Features: Benefits:
Universal life policies normally provide you with more consumer
information. For example, you are told how much of your policy payments
goes for insurance company overhead expenses, reserves and policy proceed
payments, and how much is retained and invested for your savings. This
information isn't usually provided with whole life policies. |
