Sentences with phrase «policy pays a death benefit to your beneficiary»

This kind of policy pays a death benefit to your beneficiaries if you pass away before the term expires.

The policy pays the death benefit to your beneficiary whether you die tomorrow or in 50 years.

The policy pays a death benefit to your beneficiary only if you (the insured) dies during the time or period the policy is in effect.

If you pass away before the term ends, the policy pays a death benefit to your beneficiaries.

Not exact matches

If you were to die before paying back your policy loan, the loan balance plus interest accrued is taken out of the death benefit given to your beneficiaries.

With a guaranteed issue life insurance policy, if you die because of an accident (e.g. a car crash) within the first two years, the full death benefit will be paid to your beneficiaries.

The policy's death benefit will be paid to your designated beneficiaries.

In case of death before retirement, your policy will pay a benefit to the beneficiary — in most cases, the spouse or children.

If the insured dies within this term (10, 15, 20, 25, 30, or 35 years), the life insurance company pays a lump sum death benefit to the policy's beneficiaries.

Life insurance policies have a variety of tax benefits, such as the death benefit paid to beneficiaries being free of income tax.

Another reason to pay back the policy loan is that the total outstanding balance would be deducted from the death benefit your beneficiaries received if you passed away.

Take life insurance as an example: you pay for a policy, and if you die during the term then that money (the death benefit) goes to the person you named as your beneficiary on the policy.

Term life insurance pays a death benefit to the policy beneficiary if the policyholder dies within the term of the policy.

Term life insurance policies are temporary and only pay out a death benefit to the beneficiary if the policyholder dies within the term of the policy.

With most term life insurance policies, the death benefit — the portion of money that's paid out to beneficiaries — works the same way.

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.

A whole life policy pays a guaranteed lump sum death benefit to your beneficiary.

Both IUL and VUL policies provide permanent coverage, pay a lump sum death benefit to your beneficiary and provide cash value growth and access to your cash value via withdrawals or loans.

The bank that holds your mortgage is the beneficiary of the policy, and the death benefit will be paid directly to the bank to clear your mortgage.

Basically, the death benefit is how much the life insurance policy pays to your beneficiary, untaxed and in a single lump sum, should you die.

With a life insurance policy, if the insured person dies, the life insurance company will pay out a death benefit to the beneficiaries.

That $ 42,000 could be used to pay the premiums on a life insurance policy, on the trustmaker's life, with the death benefit to pass to the 3 beneficiaries.

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 please.

The main purpose of the policy is to pay a death benefit to the beneficiary named in the policy.

Term life insurance is defined as a contract between the owner of the policy and the insurer, for a policy on the life of the insured, whereupon the insured's death, the insurer pays a lump sum death benefit to the beneficiary.

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.

In the event of the insured's death, a life insurance death benefit will be paid to the named beneficiary on the policy - provided a claim is filed.

However, the primary purpose of these policies is still to pay out a death benefit to your beneficiaries when you pass away, and this benefit makes up a significant portion of the cost of buying a policy.

The insurance company will pay the death benefit to your named beneficiary if you die while your policy is in effect.

With a guaranteed issue life insurance policy, if you die because of an accident (e.g. a car crash) within the first two years, the full death benefit will be paid to your beneficiaries.

The insurance company pays out a lump sum death benefit to the beneficiary of the policy upon the death of the insured.

The inner - workings of cash value life insurance consists of a life insurance policy, which is a contract between the policy owner, the insured (often the same person), and the insurer, where the insurer agrees to pay a death benefit to the policy's beneficiary, based on the owner continuing to make the policy's premium payments.

Whole life requires the policy owner to pay a fixed monthly premium for the rest of their life, and upon death, the company will payout the face value of the policy (death benefit) to the beneficiary.

There are certain instances where this is not the case, but the typical life insurance policy arrangement will have the death benefit paid to the beneficiary tax free.

If you die, the policy pays out a lump sum death benefit to your beneficiary.

Just like we saw with whole life insurance, the death benefit works in exactly the same way in that it will be paid to the beneficiary as long as the insured passes away within the dates of the policy, i.e. the contract.

Back in the day, any form of flying was considered extremely hazardous and most life insurance companies would either force the applicant to pay an exorbitant amount or they would add an aviation exclusion clause to the policy, in other words, if you died as the result of a plane crash, your beneficiaries wouldn't receive the death benefit.

The repayments that you then make to your life insurance policy will usually have a low rate of interest — and, if you do not end up paying back these funds, the amount of the unpaid balance will be deducted from the death benefit that your beneficiary receives.

If you have an outstanding loan on your whole life insurance policy when you die, the death benefit that is paid out to your beneficiary (or beneficiaries) will be reduced by the unpaid amount of..

An accident death benefit rider pays out an additional death benefit to the beneficiary (that's above the current benefit limit of the policy) if you should die as a result of an accident.

If the policyowner dies while the policy remains in effect, the death benefit is paid out to the listed beneficiary or beneficiaries, while the cash value becomes the property of the insurance company.

Cash value life insurance is more applicable to wealth building discussions because cash value is typically used during the policy owner's lifetime and is forfeited upon death in lieu of the death benefit being paid to surviving beneficiaries.

For life insurance policies that pay death benefits in the form of a lifetime payout, the portion of the payout that is not subject to tax if the policy has no refund provision or stated time period guarantee which is determined by dividing the amount of the death benefit by the life expectancy of the beneficiary.

If the insured dies early in the policy's life, the death benefit paid to beneficiaries will be much lower than would be the case if option A was chosen.

In cases where the employer of your spouse is the owner of the policy on behalf of your spouse, and the beneficiary is you or the employer, any proceeds above the premiums paid are considered to be taxable income to the death benefit's recipient.

While paid - up additions increase the death benefit received by your beneficiaries, they are often used primarily to increase a policy's cash value.

Permanent coverage essentially means that whether you die 5 years from now or fifty, the net death benefit of your policy will be paid to your beneficiary.

If the policyholder dies while the policy is in force, the coverage amount (grimly called a «death benefit») is paid out in one tax - free lump sum to the beneficiaries named in the policy.

If the policyholder outlives the term of the policy, no death benefit is paid to their beneficiaries.

In return for a premium payment, an insurance company will pay out a stated amount of tax - free death benefit to a named beneficiary — assuming, of course, the policy is in - force when the insured passes away.