Sentences with phrase «accumulated cash value of»

Loans are not the only way to access the accumulated cash value of your whole or universal life policy — they're just the most common.

Withdrawals of any amount from the accumulated cash value of your whole or universal life policy are tax free up to the amount of the premiums you have paid.

The surrender (voluntary termination) of a life insurance policy involves the payment by the insurer, prior to the death of the insured, of the accumulated cash value of a whole life policy.

Borrowing from the accumulated cash value of one's life insurance policy is an often overlooked, but good source nevertheless, to fund a budding business.

Can an insurance company use the accumulated cash value of a policy if the policyholder is no longer able to pay the premium — without the policyholder's permission?

These policies often offer the option to take out loans against the accumulated cash value of your policy, which can offer an easy short - term influx of cash if you need it in exchange for a lower - than - average interest rate.

The accumulated cash value of a whole life policy could become a security blanket during life's ups and downs.

The accumulated cash value of the policy will be paid out to beneficiaries upon the insured's death.

Withdrawals of any amount from the accumulated cash value of your whole or universal life policy is tax free up to the amount of the premiums you have paid.

The policy has no outstanding loans or prior cash withdrawals, and an accumulated cash value of $ 5,000.

The death benefit is comprised of the full accumulated cash value of the account minus any previous withdrawals.

Not exact matches

The net cash value will generally be lower than your total accumulated cash value for the first several years of coverage as it's reduced by fees and surrender charges.

While life insurance is not a college funding vehicle and does not provide a source of guaranteed income in retirement, it does provide the opportunity to accumulate cash value.

Lifetime Builder ELITE also offers the potential to accumulate greater cash values over the life of the policy than other fixed - interest permanent insurance products.

The cash value of a universal life insurance policy accumulates based on the amount of premium paid, monthly deductions for policy costs and an interest rate that is declared by the insurance company.

It also offers the potential to accumulate greater cash values over the life of the policy than other fixed - interest permanent insurance products.

As the policyowner accumulates cash value inside the policy, the person can access the cash value, through loans or partial surrenders, which can be used for a variety of personal needs, such as quick cash for an emergency or to help supplement retirement income.

In later life stages, permanent life insurance may offer, depending on the type of policy, the opportunity to accumulate cash value on a tax - deferred accrual basis, money that can be used for diverse needs.

But as the cash accumulates and the size of Berkshire Hathaway expands, the pool of companies that can add significant value dwindles.

As you pay your premiums, a portion of each payment accumulates as cash value.

Under HP's stock ownership guidelines, non-employee directors are required to accumulate within five years of election to the Board shares of HP common stock equal in value to at least five times the amount of their annual cash retainer.

If $ 300,000 has been contributed on behalf of a teacher (including accumulated returns), then the cash value of an annuity provided to this teacher should also be $ 300,000.

The cash values accumulate more quickly because of the higher initial premiums and lower initial death benefit.

The target buyer of option B is a young family with a goal to accumulate tax - favored cash values.

During the first several years of coverage, there are surrender charges, so you wouldn't get the entire accumulated cash value.

The net cash value will generally be lower than your total accumulated cash value for the first several years of coverage as it's reduced by fees and surrender charges.

Whole life insurance is a type of permanent life insurance policy that accumulates cash value over time.

You can change the death benefits during the life of the policy, usually after passing a medical examination, and you can pay premiums from your accumulated cash value.

Another feature of permanent insurance is that it accumulates a cash value on a tax - deferred basis.

The main difference between term life and permanent insurance is that term insurance only pays death benefits to your beneficiaries, while permanent life insurance pays out death benefits and accumulates cash value which will continue to build up over the life of the policy.

In the world of annuities, there are a few different types of contracts which vary based upon how the cash value is accumulated on a tax deferred basi...

Cash value: This includes the cash value accumulated within a universal life or whole life policy, as well as the value of any segregated fuCash value: This includes the cash value accumulated within a universal life or whole life policy, as well as the value of any segregated fucash value accumulated within a universal life or whole life policy, as well as the value of any segregated funds.

Cash component riders: Some insurance policies, like whole life, have a cash component — one part of your premium goes towards life insurance and another part towards accumulating cash value via investmeCash component riders: Some insurance policies, like whole life, have a cash component — one part of your premium goes towards life insurance and another part towards accumulating cash value via investmecash component — one part of your premium goes towards life insurance and another part towards accumulating cash value via investmecash value via investments.

This means that the insurance company only had to pay out $ 300,000 at the time of your death, because you had accumulated $ 200,000 in cash value during the life of the policy.

You can also terminate the policy (or «surrender» it) if you want to, and get part of the accumulated funds, or you can sometimes borrow money against your policy's cash value.

The savings which accumulate in the cash account of your cash value insurance policy can be used as follows:

Cash value life insurance refers to a type of life insurance that, in addition to paying out a death benefit to your beneficiary or beneficiaries upon your death, accumulates cash value inside the policy while you are alive, that you can use for whatever you pleCash value life insurance refers to a type of life insurance that, in addition to paying out a death benefit to your beneficiary or beneficiaries upon your death, accumulates cash value inside the policy while you are alive, that you can use for whatever you plecash value inside the policy while you are alive, that you can use for whatever you please.

It also offers the potential to accumulate greater cash values over the life of the policy than other fixed - interest permanent insurance products.

When enough cash value has accumulated in your policy, you can use it to make premium payments over the lifetime of the policy, eliminating the need to make out - of - pocket payments.

Lifetime Builder ELITE also offers the potential to accumulate greater cash values over the life of the policy than other fixed - interest permanent insurance products.

This type of permanent life insurance policy offers death benefit coverage with the potential to accumulate cash value.

With this policy the value of your accumulated cash account and the death benefit may increase faster, but it carries more risk as well.

The cash value account earns a modest rate of interest, with taxes deferred on the accumulated earnings.

And unlike other types of life insurance, term insurance does not accumulate cash value.

This type of insurance accumulates a cash value up until the date of its maturation.

On top of the death benefit amount, this option allows any amount left in the policy fund to accumulate cash value and the total to be paid tax - free to the beneficiary.

As the cash value increases, the insurance company's risk decreases as the accumulated cash value offsets part of the insurer's liability.

You're entitled to go fishing (for eligibility requirements): A traditional fully underwritten whole life or universal life policy gives you coverage for life, pays out the insurance benefit upon your death and includes an investment component of accumulated cash value.

You can either receive a return of all your premiums paid income tax free or you can use the cash value that has accumulated to purchase paid - up life insurance.

Cash value can accumulate within a policy in a number of ways and the formula used will dictate the type of permanent life insurance policy.