Universal Life Insurance
Universal life insurance is a type of permanent life insurance policy that is generally more affordable than other options. In addition to providing a death benefit, universal life insurance also provides flexible premiums and includes a cash value savings component which can be used to supplement income and pay expenses.
​
Beyond affordability, universal life (UL) policies are also considered to be the most flexible kind of life insurance. Rather than simply providing a fixed death benefit amount for a fixed premium payment, UL policies offer policyholders flexibility with their premium payments and their death benefit amount.
People who own universal life insurance policies can make periodic adjustments according to their needs. UL policies also offer a built-in cash value, so you can set money aside on a tax-deferred basis, right inside your policy.
Why Do I Need Universal Life Insurance?
The reasons for buying universal life insurance are almost as varied as the number of policies available for purchase.
For most people, providing a ready source of funding for grieving loved ones after death is an important consideration. When you die, will your loved ones be able to afford to pay your final expenses and debts and be able to maintain their current standard of living? If the answer is "no", it's time to explore various life insurance options to determine what makes the most sense for your situation.
How Does Universal Life Insurance Work?
Just like other forms of insurance, you'll need to apply for coverage and pay an initial premium. Once your policy is in-force, you'll need to make periodic premium payments to keep your life insurance benefits.
One of the best features of universal life insurance is the flexibility with your premium. You can pay higher premiums to add to your policy's cash value when you're able. Or, if you need to reduce the premium for a period of time, you can make adjustments to the policy to accommodate that.
-
What is the difference between mortgage protection insurance and homeowners insurance?Mortgage Protection Insurance: • Makes your premiums in case of job loss* • Money goes to your family • Pays your mortgage if you become sick or injured • Money your family receives is tax free • Is portable – new home? It travels with you *Available in most states. Limitations may apply. Benefits and carriers will vary for coverages and are subject to underwriting approval, product limitations and availability. Home Owner's Insurance • Damage to your home in severe weather and water conditions • Theft of your belongings • Vandalism of your house and property • Fire damage to your home • Personal injury lawsuits if someone gets hurt on your property
-
Do I qualify for mortgage protection insurance?In most cases, yes! Mortgage protection insurance has a very high acceptance rate as most plans are offered with simplified underwriting (you won’t have to take a medical exam to qualify).
-
When should I buy mortgage protection insurance?If you have a mortgage on your home, or if you are in the process of obtaining a mortgage, you should consider buying mortgage protection insurance.
-
Can I afford mortgage protection insurance?Mortgage protection is one of the most inexpensive types of insurance, and it’s often a more affordable option than purchasing a separate whole life policy to pay off your mortgage in the event of your death.