What is variable universal life insurance?

by Guest » Fri Oct 28, 2011 06:22 am
Guest

I'm considering to take out a life insurance policy and would like to know about variable universal life insurance. Thanks for any comments.

Total Comments: 21

Posted: Fri Oct 28, 2011 07:58 am Post Subject:

Variable universal life insurance is a permanent life insurance policy that combines the flexibility of a universal life insurance with the investment account features of a variable life insurance.

Like variable life insurance, variable universal is considered a security investment. It can only be sold by agents who have passed the National Association of Securities Dealers exam.

Posted: Fri Oct 28, 2011 08:03 am Post Subject: difference between reinstatement and revival

I would like to know what is the difference between life insurance reinstatement and revival? Please comment.

Posted: Fri Oct 28, 2011 08:44 am Post Subject:

Reinstatement & Revival are two different terms for the same thing.
It is:
The process by which an insurer puts back into force a life insurance policy that has been terminated for non-payment of premiums or a life insurance policy that has been continued as an extended term or reduced paid-up insurance.

Posted: Mon Nov 07, 2011 09:37 am Post Subject:

Hi,
Variable Universal Life Insurance (often shortened to VUL) is a type of life insurance that builds a cash value. In a VUL, the cash value can be invested in a wide variety of separate accounts, similar to mutual funds, and the choice of which of the available separate accounts to use is entirely up to the contract owner.

Posted: Thu Nov 24, 2011 01:50 pm Post Subject:

Variable-Universal Life offers premium and death benefit flexibility, as well as the potential to increase cash value based on the performance of your choice of underlying funds. Because VUL is tied to the performance of various securities markets, it may provide an important hedge against inflation. This can help keep the value of your life insurance policy from eroding due to rising costs of living. VUL allows you to withdraw money or to borrow from the policy during your lifetime.

Posted: Sat Nov 26, 2011 10:13 pm Post Subject:

Before purchasing a Variable Universal Life policy, make sure that you are comfortable with the market risk. Just as it can go up in value, it can also go down. You may want to consider Indexed Universal Life as an alternative if you want the ability to gain interest when the market does well, but not be exposed to the losses when it does poorly.

Posted: Sat Nov 26, 2011 11:38 pm Post Subject: Variable life

Quite honestly, one should not use Variable life insurance as their foundation of life insurance. One should use Variable life insurance as a secondary policy. If you want a life insurance policy that participates in the stock market growth, look to a indexed universal life policy with a guaranteed death benefit.

Posted: Sun Nov 27, 2011 02:51 am Post Subject:

participates in the stock market growth



I can't stand when people post this crap. It doesn't participate in stock market growth. It gets interested credited based upon a formula that is partially based upon changes in a stock index.

This may sound like semantics, but it is a huge difference.

Posted: Sun Nov 27, 2011 05:34 am Post Subject:

"It gets interested credited based upon a formula that is partially based upon changes in a stock index."

Sounds like participating in the stock market growth to me.

Posted: Mon Nov 28, 2011 06:44 am Post Subject:

There is a world of difference between getting interest based upon the performance of an index, and participating in the growth of the stock market.

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