Sentences with phrase «value component accumulates»

The idea behind them is that their cash - value component accumulates interest at a rate tied to market indexes.

Not exact matches

As you pay your premiums, over time you begin to accumulate a cash - value component you can borrow against.

The loan - to - value ratio is a critical component of mortgage underwriting, whether it be for the purpose of purchasing a residential property, refinancing a current mortgage into a new loan, or borrowing against accumulated equity within a property.

The investment component builds an accumulated cash value the insured individual can borrow against or withdraw»

The loan - to - value ratio is a critical component of mortgage underwriting, whether it be for the purpose of purchasing a residential property, refinancing a current mortgage into a new loan, or borrowing against accumulated equity within a property.

Cash component riders: Some insurance policies, like whole life, have a cash component — one part of your premium goes towards life insurance and another part towards accumulating cash value via investments.

You're entitled to go fishing (for eligibility requirements): A traditional fully underwritten whole life or universal life policy gives you coverage for life, pays out the insurance benefit upon your death and includes an investment component of accumulated cash value.

Not only would your beneficiary receive the death benefits, or «face value» of the life insurance policy, but you are also accumulating a «living» benefit — the cash value that accumulates in the saving / investment component of your policy.

In addition to the life insurance coverage that is provided with a permanent plan, this type of policy will also include a cash value component where cash can accumulate on a tax deferred basis over time.

Unlike term life insurance, which does not accumulate cash value, universal or whole life insurance has a cash component, especially later on.

Whole Life and other policies with an investment component accumulate cash value over time.

Whole life insurance has a cash value component that may accumulate over time, and is one of the key benefits of owning a whole life insurance policy.

Whole life insurance also includes a component that can accumulate cash value.

Permanent life insurance policies also contain an investment component that allow the policy to accumulate cash value over time.

While permanent life insurance policies have a cash - value component that accumulates savings and can be invested, you'll have the greatest control over your money and the potential to earn the highest returns if you invest it yourself, through the brokerage of your choosing, rather than through a life insurance policy.

It does have a cash value account attached to it, but if you're just paying the minimum and aren't looking to accumulate cash in an insurance policy, you don't really need to understand that component.

These policies also include an investment component, which accumulates a cash value that the policyholder can withdraw or borrow against.

The living benefit is the cash value or savings component of the policy that grows over time as interest income accumulates.

Permanent life insurance offers an insurance component that pays a stated amount of proceeds upon the death of the insured, while at the same time providing a cash value or investment component that accumulates cash value that the policy holder may withdraw or borrow against.

One of the unique advantages of whole life plans is that they accumulate a cash value component inside of the plan.

Not only would your beneficiary receive the death benefits, or «face value» of the life insurance policy, but you are also accumulating a «living» benefit — the cash value that accumulates in the saving / investment component of your policy.

Included in these policies is a cash value component that lets the holder accumulate tax - deferred savings.

While not to take the place of a savings account, some permanent insurance products have a cash value component that accumulates interest which can be used, via surrendering the policy or borrowing against it, for future expenses such as medical bills; however, the value grows more slowly than a typical investment plan and if you don't repay the policy loans with interest, your death benefit will be reduced.

In addition to providing a death benefit, whole life also contains a savings component where cash value may accumulate.

While insurance protection offers a death benefit once the policyholder dies, the savings component accumulates value that can be used for different purposes.

Value - accumulating whole life or universal insurance is often offered as death benefit protection with a cash value component that you can borrow against or eventually cash in by surrendering the poValue - accumulating whole life or universal insurance is often offered as death benefit protection with a cash value component that you can borrow against or eventually cash in by surrendering the povalue component that you can borrow against or eventually cash in by surrendering the policy.

Only permanent policies, such as whole life or universal life, feature a cash value component, which is an accompanying savings account that accumulates on a tax - deferred basis.

Policy premium payments are typically fixed, and, unlike term, whole life has a cash value, which functions as a savings component and may accumulate tax - deferred over time.

This policy type has only one insurance component — it is a purely an insurance product that protects the policyholder and does not accumulate any value.

This type of permanent policy has fixed premiums as well as a cash value component that accumulates over time.

Accumulated value can be an integral component of a tax - savings strategy because it maximizes the amount of money you get to keep.

The investment component builds accumulated cash value the insured individual can borrow against or withdraw.

Certain policies also have an investment component that, structured the right way, may accumulate a cash value.

Thus this policy has a dual function: it protects your loved ones through the life insurance component, and it accumulates value, similar to an investment account.