Co-Founder, TermInsuranceBrokers.com, Goldenzweig Financial Group, Las Vegas, Nevada
Universal life insurance is a type of permanent insurance program - meaning it can last for the rest of your life.
Most universal life policies (UL) will pay a death benefit up to age 121 so you can make sure the death benefit will be paid out at some point in the future. UL policies can be dialed down to a specified age (to age 90, to age 100, etc.) to reduce the premiums - please note, doing so affects the guarantees and assumptions inside the policy.
There are several different types of universal life - Guaranteed UL, Current Assumption UL, Indexed UL, and Variable UL. If you're just buying coverage for the purposes of the death benefit, you would likely want to look at a Guaranteed UL or Current Assumption UL as they will almost always maximize your dollar to death benefit ratio (meaning you're getting the most bang for your buck in terms of death benefit).
With permanent insurance, there has to be money in the cash value to keep the policy going - if the cash value hits $0, then the policy crashes and is no longer paying coverage. Guaranteed ULs are a great way to protect against this because they state that even if the cash value hits $0, the policy will still pay a death benefit as long as you're still paying your premium.
When you're looking to buy life insurance, you should talk to an independent insurance agent who can work with you on a personal level and help you determine what program structure will be most suitable for your needs and budget and which carrier will work with your medical history best to offer the coverage to you at the lowest possible cost (independent agents generally work with a multitude of insurance companies and can sell a wide range of carriers' products).
I hope the information is helpful - please feel free to contact me for assistance with your life insurance coverage needs, including quotes, policy comparisons, shopping your case, and other tasks, and if you have any other questions. Thanks very much.
Business Development Officer, T.D. McNeil Insurance Services, Fresno, California
The length of time that a universal life policy is in force is determined by the payment pattern of the owner of the policy. If the policy is continuously underfunded, it will lapse at a relatively early age, sometimes in the early 50s. However, if guidelines and targets are followed a universal life plan can last up to the time of death.
How long does Universal Life Insurance last? Great question, and one that is dependent on many variables. When you buy Universal Life insurance, you are buying a product whose longevity can fluctuate with a changing interest rate and/or COI (cost of insurance). Therefore, it is safest to buy a "guaranteed no-lapse" policy for which you commit to pay a set amount that will guarantee your policy not to lapse to age __ (you fill in the blank).
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Most universal life policies (UL) will pay a death benefit up to age 121 so you can make sure the death benefit will be paid out at some point in the future. UL policies can be dialed down to a specified age (to age 90, to age 100, etc.) to reduce the premiums - please note, doing so affects the guarantees and assumptions inside the policy.
There are several different types of universal life - Guaranteed UL, Current Assumption UL, Indexed UL, and Variable UL. If you're just buying coverage for the purposes of the death benefit, you would likely want to look at a Guaranteed UL or Current Assumption UL as they will almost always maximize your dollar to death benefit ratio (meaning you're getting the most bang for your buck in terms of death benefit).
With permanent insurance, there has to be money in the cash value to keep the policy going - if the cash value hits $0, then the policy crashes and is no longer paying coverage. Guaranteed ULs are a great way to protect against this because they state that even if the cash value hits $0, the policy will still pay a death benefit as long as you're still paying your premium.
When you're looking to buy life insurance, you should talk to an independent insurance agent who can work with you on a personal level and help you determine what program structure will be most suitable for your needs and budget and which carrier will work with your medical history best to offer the coverage to you at the lowest possible cost (independent agents generally work with a multitude of insurance companies and can sell a wide range of carriers' products).
I hope the information is helpful - please feel free to contact me for assistance with your life insurance coverage needs, including quotes, policy comparisons, shopping your case, and other tasks, and if you have any other questions. Thanks very much.