Sentences with phrase «endowment policies over»

The reason being they get a higher commission on endowment policies over a term life plan.

Not exact matches

He said: «Already, in little over 160 days, we have delivered major policies such as restoring free education by abolishing the graduate endowment, scrapping tolls on the Forth and Tay bridges, saving vital A&E units, and establishing the Council of Economic Advisers to help boost growth in Scotland.

Granted, it was wise to move the endowment's cash policy target from -5 % to -3 % to +2 % over the past two fiscal years.

Certain cash value life insurance policies can become modified endowment contracts if they're paid - up over a shortened period, which can have negative tax implications.

If you are using paid up additions to increase your cash value you need to be aware that over funding your policy will change the tax status of your policy to that of a modified endowment contract (MEC).

However, when using a PUAR it is important to understand that over funding a policy can result in the policy being considered a modified endowment contract (MEC).

The «banking» policy's cash account is over funded up to the limits allowed without becoming a modified endowment contract through the use of a paid up additions.

Saving for the future: An endowment policy, in particular, ensures that the policy - holder saves regularly over a specific period of time so that they will receive a lump sum amount on the policy maturity in case they survive the policy term.

If you're using the policy to grow cash in a tax deferred manner, you'll want to use a trained agent to build a custom policy for you to ensure you're gains are not eaten entirely with policy fees, as well as to avoid a modified endowment contract (MEC) if you're over funding.

If you have multiple children to whom you'd like to leave inheritance, but only one child who is primed to take over your business, a permanent policy can help provide your other kids with an equitable endowment.

Certain cash value life insurance policies can become modified endowment contracts if they're paid - up over a shortened period, which can have negative tax implications.

Unlike term plans which pay out the sum assured, along with profits, only in case of an eventuality over the policy term, endowment planspay out the sum assured under both scenarios — death and survival.

As the policy approaches its endowment date, the actual amount of true insurance coverage (over and above the cash value reserves) shrinks, which makes the overall cost manageable.

If you are using paid up additions to increase your cash value you need to be aware that over funding your policy will change the tax status of your policy to that of a modified endowment contract (MEC).

An endowment plan is a life insurance policy that provides life coverage along with an opportunity to save regularly over a specific period of time so that they can receive a lump - sum amount on the maturity of the policy.

A money back policy is an endowment plan with guaranteed return options over the period of the policy.

This is because endowment policies provide returns that are higher than the term plans and may also provide the payout over a considerably longer period.

To sum up, an endowment policy is essentially a life insurance policy, which in addition to covering the life of the insured, also helps him or her save regularly over a specific period of time so that he or she receives a lump sum amount at maturity in the event of him / her surviving the policy term.

Unlike term plans which pay out the sum assured, along with profits, only in case of an eventuality over the policy term, endowment plans pay out the sum assured under both scenarios — death and survival.

Features of an endowment plan An endowment plan is essentially a life insurance plan which provides the policyholder with a life cover and also helps the policyholder save regularly over a specific period of time so that he / she receives a lump sum amount once the policy matures.

The returns generated by endowment policies are low as compared to the potential returns that can be generated from balanced mutual funds over the long term.