What if you could create your own personal bank, without putting up the required reserves and the government regulations. What would it look like? What features would it have?
For me I would want:
• Tax-Free accumulation on my earnings.
• Tax-Free income when needed.
• It to be self-fulfilling, meaning that should I not be in the picture it would still produce immediate and perpetual Tax-Free cash for my family.
• It to be funded should I become disabled.
• It to earn interest without the worry of uncontrollable market risks. Steady, consistent, year after year “upside only” accumulation, somewhere between 5% and 8%. No home runs, just single after single, each and every year.
• It to make certain that any gains I earned would be locked away and not subject to market downturns.
There are numerous types of permanent life insurance, but the most common are: whole life, universal life and variable life. Permanent life insurance provides lifelong protection. As long as you pay the premiums, the death benefit will always be there. Furthermore, you never have to medically re-qualify for permanent insurance like you do when you renew term insurance.
By Todd Phillips
Whole life is the most standard type of permanent insurance. As it is rightly called, “whole life” provides permanent protection for your entire life; from the date you purchase it until you die. The premium payments in whole life are fixed, meaning they will not change over the life of the policy. It has a guaranteed cash value and death benefit, and includes a minimum guaranteed interest rate to hold the entire product together.
By Todd Phillips
The interest paid on standard universal life products is determined by the board of directors of the company based on the company's interest earnings, and is influenced by their level of expertise and competition in the field. While this may be comforting to some, many insured investors think the investing of the cash values is better off in their own hands. Thus, the creation of the variable line of products: variable life, variable universal life and variable single-premium life.