Sentences with phrase «value of the policy until»

Not exact matches

«If you have ample funds and are looking to get rid of a little every month, it would not be irrational to buy a whole - life, universal - life or variable - life policy, where the cash value grows income tax - free as long as the policy is held until death,» Hunt said.

Property and casualty insurance companies invest a substantial percentage of book value and policyholder «float,» which is money they hold until policy claims are paid out but do not own, in investment - grade bonds, particularly corporate bonds.

Although the payment of the insurance premiums is not tax deductible, any increase in the cash value of the insurance policy due to investment gains is not taxed until you begin to withdraw the money after you retire.

«''» Until we have a consensus on the diminishing value of the notion of consensus as the keystone of the climate debate, we'll continue to see the politicization of climate science and the continued gridlock on climate policy.

What is needed instead is a fundamental shift in direction in federal education policy, and ESSA is not it; therefore every family that can afford it should opt out of state schooling whenever possible until No Child Left Behind's failed strategy for social improvement via annual testing and publishing the results is abandoned entirely, and until Sacramento gets serious about subsidiary devolution, which implies that assessing and reporting on the results of local schools should be left to the local districts, whose citizens may have different priorities and values that the state and federal governments should learn to respect.

A major advantage of permanent life insurance is that cash value increase (or «gain») is not realized (for tax purposes) until it is withdrawn from the policy.

Even if cash is withdrawn from the policy cash value (verses taking it as a policy loan), this cash withdrawal is NOT considered income, or gain, until the amount exceeds the amount of premiums that have been paid into the policy.

You can access cash value, through loans and withdrawals, potentially free of current income tax as long as the policy stays in force until the Insured's death.

The insurance part of the death benefit shrinks over time as the cash value grows, until eventually the cash value makes up all of the money the insurance policy will pay out.

Beyond that, it works like a standard term policy: you apply for a policy of a certain face value and term, and the policy is in force until the term expires (or you stop paying your premiums).

That means, the value of the policy will grow each year, tax - deferred, until it matches the face value of the policy.

This is because funds that are inside of the policy's cash value component are allowed to grow and compound on a tax - deferred basis, and no taxes are due until you take the money out.

Term Rider: Due to the higher initial cost of permanent policies, you can supplement your coverage with a term rider to increase your death benefit coverage until your cash value has a chance to catch up.

While initial premiums are higher than with a typical term policy, it is possible for coverage to continue until death of the insured, and cash value may accrue in the policy on a tax - deferred basis that can be used to help meet financial needs during your life.

However, most of the growth in your cash value doesn't come until you've held the policy for two or three decades.

Just as with the cash value component of other types of life insurance policies, the funds that are in the investment component of a variable insurance plan are allowed to grow on a tax - deferred basis, meaning that the money will not be taxed until the time of withdrawal.

If the policy has a cash value, Mostly Mutts Animal Rescue would have the option of either holding the policy until the maturity date or surrendering the policy to receive the policy's current cash value.

If the policy has a cash value, Grey Muzzle would have the option of either holding the policy until the maturity date or surrendering the policy to receive the policy's current cash value.

Unless and until we have reliable models that can accurately predict what the rainfall and temperature will be at the local or regional level as a function of specific CO2 levels the models are not of value to policy makers.

When an insured defaults on his / her obligation to remit payment of a premium, and the policy lapses as a result, the policy may acquire a paid up value such that the face amount of coverage under the policy is reduced in proportion with the number and amount of premiums paid until the date of default.

If there is cash value in a permanent life policy it can grow tax - deferred, meaning that there will be no taxes due on the growth of these funds unless or until they are withdrawn.

When you borrow any portion of the cash value from your Whole Life policy, the outstanding loan will reduce the face value (or death benefit) until the withdrawn funds are repaid with interest.

Like «period certain» payouts, «amount certain» benefits pay out in equal amounts until the face value of the original policy has been exhausted.

Of course, loans go against the policy value, and interest accrues until it is paid back.

After 25 years, Gerber promises that the cash value of the policy will be at least equal or greater than the total amount of premiums paid up until that point.

The buyer (funder), usually an investment company, pays the patient a lump sum of 50 — 80 percent of the policy's face value, pays the premiums until the patient dies, and receives the death benefit.

Over the life of the policy, the death benefit shrinks and the cash value component grows until the policy consists entirely of the cash value.

The cover under these term plans rises at a pre-specified rate and keeps increasing until the overall value of the cover is 1.5 times the original cover under the term policy.

Beyond that, it works like a standard term policy: you apply for a policy of a certain face value and term, and the policy is in force until the term expires (or you stop paying your premiums).

However, most of the growth in your cash value doesn't come until you've held the policy for two or three decades.

The money in the cash value portion of your whole life insurance policy is tax - deferred, meaning you don't pay taxes on it until you withdraw it, but many other investment vehicles (like 401 (k) s and traditional IRAs) also offer this option.

That means the value of the policy may grow each year, tax - deferred, until it matches the face value of the policy.

Coverage may also be continued beyond the level premium period by payment of increasing annual premiums, and the policy will continue to build cash value until the policy anniversary nearest the insured's 95th birthday when the cash value will equal the face amount of the policy.

The face value of a policy decreases as the loan is paid off until both equal zero.

Perhaps you've always preferred a permanent policy, but until now, you couldn't afford it; or maybe you're now considering the benefit of a policy with cash value.

The cash that is within the policy's cash value component is allowed to grow on a tax - deferred basis, meaning that there is no tax due on the growth of these funds unless or until they are withdrawn.

The cash value that is associated with a whole life policy is allowed to grow on a tax deferred basis — meaning that there is no tax due on the gain until the time of withdrawal.

For cash value policies, a missed payment is likely to result in the equity of your policy being used to cover the policy payments until the equity is exhausted.

Just as with the cash value component of other types of life insurance policies, the funds that are in the investment component of a variable insurance plan are allowed to grow on a tax - deferred basis, meaning that the money will not be taxed until the time of withdrawal.

Level term life insurance policies provide coverage with unchanged premiums and face value from the start of the policy until the expiration date.

These loans do accumulate interest and if left unpaid until you die, the outstanding balance will be deducted from the face value of your policy.

That means, the value of the policy will grow each year, tax - deferred, until it matches the face value of the policy.

It will continue to decrease until it reaches 20 percent of the original face value of the policy.

The insured person is covered for life (sometimes until age 100), and a portion of the policy is invested by the insurance company, building cash value on a tax - deferred basis over time.

The face value amount of the insurance policy typically will decrease as the balance of the debt goes down — until both reach zero.

They will also have a cash value component of the policy where funds can grow and compound on a tax advantaged basis and are not taxed unless or until they are withdrawn.

The funds that are in the cash - value component of the policy are allowed to grow on a tax - deferred basis, meaning that there will be on tax due on this growth unless or until the money is withdrawn.

This means that the money that is inside of the policy's cash value can continue growing — without being taxed — unless or until it is withdrawn.

Some may like to take full advantage of a policies cash value that will build during the duration of their life, while others may not be ready to purchase such a plan until a situation that necessitates insurance arises.

This is because funds that are inside of the policy's cash value component are allowed to grow and compound on a tax - deferred basis, and no taxes are due until you take the money out.