Sentences with phrase «subaccount policy value»

Not exact matches

If you own a variable life policy, you may allocate your account value among a variety of investment subaccounts.

In most indexed universal life insurance policies, the new cash value of this subaccount then becomes the baseline for the next year when calculating the amount that will be credited to your account.

Instead, fixed universal life policies generally earn an interest rate in the cash value, while variable universal life policy returns depend on the performance of the funds offered within each policy's subaccounts, which are analogous to mutual funds, except that the insurance company owns the shares rather than the policy owner.

Since cash value depends on the performance of the subaccounts you choose, there is the potential for losing cash value, which could cause your policy to lapse.

The policyholder takes on the risk of the subaccount performance rather than the insurance carrier, creating a policy that is most appropriate for individuals who want to manage their own cash value accounts and risks associated with them.

Variable Subaccounts When you invest in a variable life insurance policy, there are subaccounts that you can pick from to invest your cashSubaccounts When you invest in a variable life insurance policy, there are subaccounts that you can pick from to invest your cashsubaccounts that you can pick from to invest your cash values in.

If you own a variable life policy, you may allocate your account value among a variety of investment subaccounts.

Variable Universal Insurance policy guarantees cash value on a fixed account and it fluctuates depending on subaccount performance.