Sentences with phrase «traditional whole life contracts»

The overall rate of return on the cash values inside traditional whole life contracts has not always been competitive in a before - tax comparison with alternative investments.

Not exact matches

You may have heard about a modified premium whole life contract, but may not fully understand how it works or why it is different compared to traditional life policies.

Unlike term life insurance, which covers the contract holder until a specified age limit, a traditional whole life policy never runs out.

A traditional whole life insurance policy provides the policyholder with a guaranteed amount to pass on to his / her beneficiaries, regardless of how long he / she lives, provided the contract is maintained.

A traditional whole life policy is a type of life insurance contract that provides for insurance coverage of the contract holder for his / her entire life.

A traditional whole life insurance contract has scheduled premiums that do not change, the dividend growth is relatively predictable and has minimum guarantees, and as long as the premiums are paid as scheduled, the policy will not lapse.

While insurers guarantee stated benefits on traditional contracts far into the future based on long - term and overall company experience, they allocate investment earnings differently on interest sensitive whole life in order to better reflect current fluctuations in interest rates.

The simple answer is that in most cases, a traditional whole life insurance policy is a better choice than a variable universal life insurance contract.

This is because it's likely this condition may become an ongoing occurrence which is why most (if not all) life insurance companies are going to automatically decline someone from qualifying for a traditional term or whole life insurance police if they first contracted their hydrocephalus as a baby.