Sentences with phrase «lower cash value»

Lower cash values typically mean higher insurance charges for the policy because the amount at risk is higher.

For instance, if you you own a vehicle with a considerably low cash value you might not financially benefit from collision and comprehensive coverage.

Because of low cash values, Tom has little leeway in skipping premiums.

This keeps the policy from expiring, but also lowers the cash value amount available to you, so it's important to know how your policy handles a lapse.

This keeps the policy from expiring, but also lowers the cash value amount available to you, so it's important to know how your policy handles a lapse.

Professionals have much lower cash values.»

Theoretically, if poor investment performance and / or high cost of insurance charges lower the cash value to $ 0, your policy will be terminated.

Whole life normally has low cash value in the beginning, Sabo said, because the insurance company keeps the bulk of the premiums in the early years to cover its costs of selling the policy, including your physical exam and the agent's commission.

Naturally, a policy buyer would prefer the insured to be elderly, in poor health, with a policy that has low cash value and a high death benefit, because all of these factors might increase the buyer's yield - to - maturity on the policy when you die.

But most people don't choose to withdraw their money because that lowers their cash value — and thus their potential earning.

Just know that the lower the whole life insurance premiums the lower the cash value accumulation growth in the early years.

However, this will result in lower cash values and a shortened coverage period.

We mention this because the «whole life insurance is not a good investment» pundits make stupid generalizations about whole life, such as high commissions and low cash value growth.

However, this will result in lower cash values and a shortened coverage period.

If all you need is inexpensive lifetime insurance protection, consider a universal life policy with secondary guarantees or a low cash value whole life policy that blends term life with whole life for low - cost coverage.

Adjusting the premiums of the universal life policy can lower the cash value of the policy.

Another thing to keep in mind is with some universal life insurance policies you might actually have to pay a higher premium because you have withdrawn from the policy and lowered the cash value and in order to restore the amount of the death benefit, you will need to make higher premium payments for a period of time.

We mention this because the «whole life insurance is not a good investment» pundits make stupid generalizations about whole life, such as high commissions and low cash value growth.

However, a policy that allows for paid - up additions may initially have a lower cash value and much lower death benefit.

Just know that the lower the whole life insurance premiums the lower the cash value accumulation growth in the early years.

But most people don't choose to withdraw their money because that lowers their cash value — and thus their potential earning.

Let us make one thing absolutely clear, all things being equal, the lower the premium the lower the cash value, The higher the premium the higher the cash value...

However, trade off with lower premiums is lower cash value, which has many benefits for estate planning.

Therefore, if the variable subaccounts within the policy do not perform well, then the variable policyholder may well see a lower cash value than someone with a straight universal life policy.

Also, if the paid - up additions are participating, future dividends will be less than they would otherwise have been as a result of the lower cash values in the paid - up additions, even if the policy loan is later repaid.

One additional method to access cash values without giving up coverage entirely may be to exchange a policy for another policy with a lower cash value under the exchange rules of IRC Section 1035.

correct me if i am wrong - i should pay difererent premiums at different times so to have low cash value?

However, in true Bitcoin Believer fashion, he took the lower cash value Bitcoin deal.