Sentences with phrase «use policy cash value»
This difference may be a factor if simply securing a death benefit for purposes such as life insurance for SBA loans OR otherwise planning to use policy cash value for business purposes such as executive bonus plans or split dollar plans.
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Depending on the insurance company, at the end of the level term period, you may have the option to use the policy cash value to purchase a guaranteed paid - up «whole life policy» without having to prove your health.
With the safe bucket covered and generating passive, tax advantaged income, they then have the freedom to entertain opportunities such as real estate, business start ups, private lending and other lucrative opportunities by borrowing money at favorable rates, often from the mutual insurance companies general account using their policy cash value as collateral, or shopping the rate to other financial institutions to see who is most competitive.
Plus, before his death, Helen Woodward Animal Center would be able to use the policy cash values and dividends as they saw fit.
Not exact matches
Such risks, uncertainties and other factors include, without limitation: (1) the effect of economic conditions in the industries and markets in which United Technologies and Rockwell Collins operate in the U.S. and globally and any changes therein, including financial market conditions, fluctuations in commodity prices, interest rates and foreign currency exchange rates, levels of end market demand in construction and in both the commercial and defense segments of the aerospace industry, levels of air travel, financial condition of commercial airlines, the impact of weather conditions and natural disasters and the financial condition of our customers and suppliers; (2) challenges in the development, production, delivery, support, performance and realization of the anticipated benefits of advanced technologies and new products and services; (3) the scope, nature, impact or timing of acquisition and divestiture or restructuring activity, including the pending acquisition of Rockwell Collins, including among other things integration of acquired businesses into United Technologies» existing businesses and realization of synergies and opportunities for growth and innovation; (4) future timing and levels of indebtedness, including indebtedness expected to be incurred by United Technologies in connection with the pending Rockwell Collins acquisition, and capital spending and research and development spending, including in connection with the pending Rockwell Collins acquisition; (5) future availability of credit and factors that may affect such availability, including credit market conditions and our capital structure; (6) the timing and scope of future repurchases of United Technologies» common stock, which may be suspended at any time due to various factors, including market conditions and the level of other investing activities and uses of cash, including in connection with the proposed acquisition of Rockwell; (7) delays and disruption in delivery of materials and services from suppliers; (8) company and customer - directed cost reduction efforts and restructuring costs and savings and other consequences thereof; (9) new business and investment opportunities; (10) our ability to realize the intended benefits of organizational changes; (11) the anticipated benefits of diversification and balance of operations across product lines, regions and industries; (12) the outcome of legal proceedings, investigations and other contingencies; (13) pension plan assumptions and future contributions; (14) the impact of the negotiation of collective bargaining agreements and labor disputes; (15) the effect of changes in political conditions in the U.S. and other countries in which United Technologies and Rockwell Collins operate, including the effect of changes in U.S. trade policies or the U.K.'s pending withdrawal from the EU, on general market conditions, global trade policies and currency exchange rates in the near term and beyond; (16) the effect of changes in tax (including U.S. tax reform enacted on December 22, 2017, which is commonly referred to as the Tax Cuts and Jobs Act of 2017), environmental, regulatory (including among other things import / export) and other laws and regulations in the U.S. and other countries in which United Technologies and Rockwell Collins operate; (17) the ability of United Technologies and Rockwell Collins to receive the required regulatory approvals (and the risk that such approvals may result in the imposition of conditions that could adversely affect the combined company or the expected benefits of the merger) and to satisfy the other conditions to the closing of the pending acquisition on a timely basis or at all; (18) the occurrence of events that may give rise to a right of one or both of United Technologies or Rockwell Collins to terminate the merger agreement, including in circumstances that might require Rockwell Collins to pay a termination fee of $ 695 million to United Technologies or $ 50 million of expense reimbursement; (19) negative effects of the announcement or the completion of the merger on the market price of United Technologies» and / or Rockwell Collins» common stock and / or on their respective financial performance; (20) risks related to Rockwell Collins and United Technologies being restricted in their operation of their businesses while the merger agreement is in effect; (21) risks relating to the value of the United Technologies» shares to be issued in connection with the pending Rockwell acquisition, significant merger costs and / or unknown liabilities; (22) risks associated with third party contracts containing consent and / or other provisions that may be triggered by the Rockwell merger agreement; (23) risks associated with merger - related litigation or appraisal proceedings; and (24) the ability of United Technologies and Rockwell Collins, or the combined company, to retain and hire key personnel.
Variable and universal life insurance policies are often favored because they allow you to use the policy's cash value to pay premiums.
A life insurance policy loan is just a loan from the insurer in which the cash value of your policy is used as collateral.
The cash value behaves like an investment as it grows tax - deferred with interest, as determined by the type of policy, and can be used as collateral for a loan.
For some permanent life insurance policies, you're also able to pay premiums using the policy's cash value.
You can also pay premiums using the policy's cash value.
If they lived past their policy's maturity date, policyholders lost their coverage and received little cash value in return, since the funds had been used to pay premiums.
Universal life insurance policies are the only permanent policies that have «flexible premiums», meaning you can use the policy's cash value to make payments.
This clause provides that if the policyholder fails to pay the premiums on a life insurance policy, the insurance company may automatically use the accumulated cash value to pay the premiums.
Many people use a cash value life insurance policy to save for their retirement and to provide a death benefit to their beneficiaries.
Plus, the policy builds nominal cash value that you can use for a loan or cash withdrawal, should you need it later in life.
The selected stock market index is used to determine how much interest may be credited to your policy, subject to limitations such as a «cap»; however, your premiums and cash values are never invested directly in the stock market.
You can also take a tax - free loan from the insurer using the policy's cash value as collateral, so long as the loan doesn't exceed the cash value.
As the policyowner accumulates cash value inside the policy, the person can access the cash value, through loans or partial surrenders, which can be used for a variety of personal needs, such as quick cash for an emergency or to help supplement retirement income.
In later life stages, permanent life insurance may offer, depending on the type of policy, the opportunity to accumulate cash value on a tax - deferred accrual basis, money that can be used for diverse needs.
As cash values accumulate in the policy, you also have the option to use these funds to pay the premiums; however, this is still considered a loan and the same factors exist.
If you have a cash value policy and can no longer afford to pay the contract's premiums but still need insurance, for example, your carrier may be able to continue insuring your life by using your policy's cash value to buy term life insurance.
In a nutshell, while most whole life insurance is fixated on maximizing the death benefit of a policy and just allowing cash values to grow over time, strategic self banking focuses on maximizing life insurance cash values, so the whole life insurance plan can be used strategically as a savings and personal financing vehicle for the purpose of recapturing your cost of capital incurred when having to deal with third party lenders or using your own cash.
He or she will never outgrow a low - price policy that accumulates cash value for use later in life.
The cash value belongs to the policy owner, so you can use the cash within the policy however you like before you transfer it to your child.
Use of the accelerated death benefit with permanent policies may increase countable assets if the amount advanced exceeds the cash surrender value.
Variable and universal life insurance policies are often favored because they allow you to use the policy's cash value to pay premiums.
Universal life insurance policies are the only permanent policies that have «flexible premiums», meaning you can use the policy's cash value to make payments.
Policies such as variable universal life insurance combine components of the above, blending the investment flexibility of variable life with the ability to use the cash value to pay monthly premiums offered in universal life.
Universal life insurance is essentially a version of whole life insurance but with the added flexibility of using the policy's cash value to pay for premiums.
A permanent policy's cash value grows over time and can be used to pay premiums or take out a loan from the insurer.
The cash value behaves like an investment as it grows tax - deferred with interest, as determined by the type of policy, and can be used as collateral for a loan.
A life insurance policy loan is just a loan from the insurer in which the cash value of your policy is used as collateral.
If you have a permanent life insurance policy that accumulates cash value, you can borrow money from the insurer using the cash value as collateral.
You can also pay premiums by using the policy's cash value.
For some permanent life insurance policies, you're also able to pay premiums using the policy's cash value.
You can also pay premiums using the policy's cash value.
Whole life insurance policies typically won't let you pay premiums using the policy's cash value unless you convert to a paid - up policy.
This is actually a significant benefit as it means the cash value being used as collateral stays inside your life insurance policy and continues to accumulate interest, though it may be at a different rate.
One thing to consider is that term policies don't build cash value that you can use during your lifetime.
And if you utilize the policy correctly, using loans and avoiding coverage lapses or surrenders, you will never need to pay taxes on the cash value growth.
You have the right to borrow from the insurer, using your policy's cash value as collateral, for whatever you want.
Your policy's cash value is yours to use how you see fit.
Due to the fact that Peter decided to use a whole life insurance policy to fund the college education for his children, he now has a decent cash value saved up.
When you borrow against your policy (use your cash value as collateral), you are still receiving dividends on your full cash value, AND you get the use of the cash on loan to invest in something else.
When people start using their policies like this, they see the benefit and they want to do it more and more, over and over, to grow their cash value (infinitely).
If you're ever to get into financial trouble, universal life affords you the option to stop paying your premiums and use the cash value of your policy to cover that cost.
This is true as long as the policy qualifies as an insurance contract EVEN IF strategies are used to maximize the policy cash value through paid up policy additions.
Dividends can be used to purchase additional paid - up insurance, further increasing the death benefit and cash value growth of the policy.
You can also take a tax - free loan from the insurer using the policy's cash value as collateral, so long as the loan doesn't exceed the cash value.
Given the high costs, these policies generally require that you take advantage of the cash value component of the account, or use the policy as a part of an estate plan, in order for the investment to make sense.