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Universal Life Insurance

Control how you save, spend and protect your assets

 
Universal life insurance provides important insurance protection while offering the opportunity to build cash value. Because it's flexible, you can adjust benefits as your needs change. Some changes may require underwriting approval. Key benefits include:

  • An income tax-free death benefit to your heirs
  • Tax-deferred growth of your assets
  • Optional no lapse guarantees (All guarantees are based on the continued claims-paying ability of the issuing company.)
  • Guaranteed minimum fixed interest rate
  • Flexible death benefit and premium amounts
  • A source of income tax-free access to your cash value (when properly structured) for:
    • Emergencies
    • College education
    • Retirement income
    • Other needs

For indexed universal life:

  • Index-linked interest crediting for greater growth potential
  • Downside protection from negative market returns

Indexed universal life may not be available in all states, including New York.

Before you purchase, be sure to ask your sales representative about the life insurance policy's features, benefits and fees, and whether the life insurance is appropriate for you, based upon your financial situation and objectives.

Accessing policy cash value through loans and surrenders may cause a permanent reduction of policy cash values and death benefit and negate any guarantees against lapse. The amount that can be borrowed or surrendered will be affected by the surrender charges applicable to the policy. Loans may be subject to interest charges. Although loans are generally not taxable, there may be tax consequences if the policy lapses or is surrendered with a loan (even as part of a 1035 exchange). It is possible that the amount of taxable income generated at the lapse or surrender of a policy with a loan may exceed the actual amount of cash received. Surrenders are generally taxable to the extent they exceed basis in the policy. If the policy is a modified endowment contract (MEC), pre-death distributions, including loans, from the policy are taxed on an income-first basis, and there may also be a 10% federal income tax penalty for distributions prior to age 59-1/2.