Universal Life
The biggest advantage of universal life insurance is that it empowers policyholders to adjust the size and timing of their premium payments, reduce the size of their policy’s death benefit in exchange for greater cash value, and make other adjustments to adapt to their changing financial needs and different stages of life.
+ More affordable than whole life insurance.
+ Flexible payment options – The policyholder can decide how much and when to pay – if at all!
+ Adjustable death benefit – The death benefit can be reduced or increased depending on the policyholder’s needs.
+ Guaranteed interest rate – Cash value is guaranteed to keep growing.
+ Adjustable coverage for changing needs.
Of course, the policyholder still needs to keep making premium payments and avoid borrowing too much from the cash value of the policy. But as long as the policy is in force, the cash value is guaranteed to keep growing at a steady rate of interest.