Sentences with phrase «payouts over the term of the policy»

Not exact matches

These policies are more expensive than term policies to ensure that the benefit payout remains the same over a long period of time.

While a permanent policy is always a possibility, and it will accumulate a cash value over time, a term life policy is a simple solution for this type of payout.

While a 10 to 20 year term may save you premium over the long run (and offer additional death benefit beyond your mortgage), this type of policy works if your only real purpose for the benefit payout is to coverage the remaining principal on your home when you pass.

To begin with, decreasing term life insurance premiums stay the same, but over the term of the policy, the payout amount decreases.

In insurance terms, an aggregate limit is a defined threshold that shows the maximum payout of a policy over the lifetime of the policy.

The payouts from term life policies are almost always tax - free, except in situations where the person being insured, the policy's owner, and the beneficiary of the policy are all different people (agents refer to this type of arrangement as the «unholy trinity» or the «Goodman Triangle,» based on the court case that established this rule), or if they would put your estate over the estate tax threshold.

In case of death over the policy term, the beneficiary gets the full sum assured irrespective of the payouts already made.