Sentences with phrase «amount of premiums paid»

Surrender charges impose a cost to exiting the policy within the early years, but once the cash surrender value of the policy climbs above the total amount of premiums paid (which, in the case of the Policy, is projected to occur at the end of the 4th year), the policyholder should be able to get out without experiencing a loss.

Under the percentage limitation, the amount of the premiums paid for a contract under the plan may not exceed an amount equal to 25 percent of the employee's account balance on the date of payment.

In the first year you will receive the greater of either the total amount of premiums paid into the policy and 4.5 % interest or 30 % of the death benefit.

The short answer is, unless the amount of cash value in the contract exceeds the amount of premiums paid into the contract, no taxes will be due..

Guaranteed Surrender value will be equal to 30 % of the total amount of premiums paid excluding the premiums for the first year and all the extra premiums and premiums for accident benefit / term rider.

The guaranteed surrender value available under this plan for all modes, except the single premium mode, will be equal to 30 % of the total amount of premiums paid excluding the first year's premium and the extra premiums.

Any cash value beyond the total amount of premiums paid is mostlikely taxable at ordinary income tax rates.

Remember, you determine the amount of the premiums paid into the policy, the amount has to at least meet the minimum premium set by the life ins.

The minimum guaranteed Surrender Value payable is 30 % of the total amount of the premiums paid.

If the amount of premiums paid is higher than the cash value of the policy, then you should have no taxes to pay.

During that time, the beneficiary will receive 120 % of the amount of premiums paid.

GSV of Sum Assured = (Applicable GSV Factor) X (Total Amount of Premiums Paid) less Guaranteed Payouts already paid plus,

Generally, withdrawals up to the amount of premiums paid can be taken without being taxed.

However, you will be taxed if you withdraw cash above and beyond your cost basis, i.e. the amount of premiums you paid into the policy.

However, return of premium term insurance gives back to policyholders the amount of premiums paid at the end of the policy term, minus any administrative charges, fees or other costs.

The amount of premiums paid during that duration is gone.

Return of premium is a type of insurance policy in which all or a portion of the amount of premiums paid during a policy period will be returned to the policyholder if claims are not filed, or if the amount of claims filed is smaller than the amount of premiums paid.

A certain amount of the premiums paid for the insurance coverage is invested on the policyholder's behalf by the insurance company.

We also mentioned that no taxable income (or capital gain) is realized for amounts that do not exceed the total amount of premiums paid into the policy.

If the insured person survives to the end of an ROP policy's term, the insurer refunds the total amount of the premiums paid.

Withdrawals up to the amount of premiums paid are not subject to income taxation under income tax law.1 Also, unlike annuities, cash value withdrawn from your policy (so long as it is not a MEC) is not subject to IRS pre-59 1/2 withdrawal penalties.

On survival, policyholders» get back the full amount of premiums paid by them throughout the policy tenure, excluding tax.

Under the dollar limitation, the amount of the premiums paid for a contract under the plan may not exceed $ 100,000.

Financial performance depends upon the amount of money paid out in claims over the course of a year, the sales of the company, the amount of premiums paid to the company compared to the amount expected to be paid, and prevailing interest rates as these strongly effect the amount of money earned on company reserves, which are massive in terms of total assets.

Some clients may intend a policy to gain significant amounts over time, and then withdraw the amount of the premiums paid tax free.

Aviva Wealth Builder: It is designed in a way that that doubles the total amount of premiums paid and provide returns it as a lump sum at maturity KNOW MORE

In this case, you pay about double the premium but when your 40 years of coverage are up, you would receive the entire amount of premiums paid back.

As a form of permanent coverage, universal life policies provide a guaranteed tax - free death benefit to policyholder beneficiaries based on the amount of premiums paid over time.

[x] It is the ratio between the total claims that paid to the policy holder along with the adjustment and the total amount of premiums paid by the insured.

The 7 - pay test determines whether the total amount of premiums paid into a life insurance policy, within the first seven years, is more than what was required to have the policy considered paid up in seven years.

One of these reasons is that dividends on whole life insurance policies are only paid out the accumulated amount that you have in your cash account, not the total amount of premiums paid out.

Cash value allocated to the variable investment options is subject to market fluctuations so that, when withdrawn or surrendered, it may be worth more or less than the amount of premiums paid.

In addition, you can always withdraw from your cash value up the amount of the premiums paid in without being taxed because those premiums were paid in after - tax dollars.

These policies offer cash value accumulation along with the flexibility to modify the time and amount of premiums paid and death benefits paid out.

This flexibility to decide the size and frequency of payments is viable, as long as the total amount of premiums paid over a period of time is enough to keep the policy in force.

The amount of premiums paid for this coverage varies based on the type of life insurance, the amount of coverage and other factors.

The amount of premiums paid up to a limit of Rs. 1.5 lakhs and claims received up to any amount enjoy tax exemption as mentioned in the tax laws.

Section 80C and Section 10 (10D) of the Income Tax Act exempts the amount of premiums paid and the amount of claim received respectively under this LIC term plan from the scope of tax

The amount of premiums paid and the amount of claim received under this LIC term plan are both exempted from tax under sections 80C and 10 (10D)

After 25 years, Gerber promises that the cash value of the policy will be at least equal or greater than the total amount of premiums paid up until that point.

Because every person's lifestyle is different, even if you're a smoker, the criteria the insurance underwriters will use can vary widely and make a big difference to the amount of premiums paid.

Shop Around Take the time to shop around and find the best rates and policies to suit your personal circumstances as the type of life insurance and also the amount of life insurance you require, will also affect the amount of premiums paid.

If, however, death is due to suicide, then the beneficiary will only receive the amount of the premiums paid in, plus interest (in most states).

When clients use some of their assets to purchase a life insurance policy, they secure a death benefit amount higher than the amount of premiums paid right away.

But the total amount of premiums paid is only $ 7,500.

The type of coverage a person selects can also make a difference in the amount of premiums paid.

These dividends are not taxable until or unless the dividends you receive exceed the total amount of premiums paid on your particular policy.

When an insured defaults on his / her obligation to remit payment of a premium, and the policy lapses as a result, the policy may acquire a paid up value such that the face amount of coverage under the policy is reduced in proportion with the number and amount of premiums paid until the date of default.

This reduction in retirement income is due to the amount of premiums paid to buy the income inflation rider - plus all of their built - in fees.

Enter the amount of premiums paid for long - term health care insurance, provided that they were not actually included as a deduction on Schedule A of your federal income tax return.