Universal Life

Universal life, simplified, is a combination of a term life insurance policy and a savings account that is earning interest. Every month, the insurance company adds any premiums that you pay to your existing account's balance, and credits interest on that money. That same month the company subtracts expenses and the cost of insurance (COI). The COI is very similar to Yearly Renewable Term premiums. Universal life premiums are very flexible and can be changed frequently at the insured person's election. However, there are negative ramifications to paying too little premium over a long period of time. If you are interested in universal life, you can get a quote or more detailed information by clicking here.