What is Universal Life Insurance?
Universal life insurance is an insurance policy that addresses two important needs: lifelong insurance protection and funding long-term financial goals.
How is Ameritas No-Load Universal Life Insurance Different?
The Ameritas difference is no commission and no surrender charge. In other words, we've lowered our costs and passed those savings on to the policy owner. Of course, the policy has costs, which are unbundled and itemized in the Full Disclosure Ledger.
Why should you consider No- Load Universal Life Insurance for your clients?
It can provide ready cash.
-
To use for emergency or planned purposes during the insured's lifetime.
-
To replace lost income at death, pay debts, retire the mortgage, or cover tuition bills.
-
To avoid liquidation of assets to pay estate taxes.
-
To allow businesses to continue, rebuild, or smoothly transfer ownership if an owner or key employee dies.
It is tax-advantaged.
-
As long as the policy is properly structured, the death benefit is usually paid income tax free without the delays and expense of probate.
-
The cash value is tax-deferred, which means the policy's cash value can grow faster because earnings that would have been lost to taxes each year remain in the policy to potentially generate even more earnings.
-
Unlike most tax-deferred investments, there is no federal penalty for withdrawal before age 59½.
-
Although it will lower the policy's value and death benefit (and may cause the policy to lapse), the policy owner can access the value of the policy through tax-free withdrawals and loans.
Keep in mind, many of the tax advantages of universal life insurance disappear if the premiums paid or the withdrawals made in the first 15 policy years exceed IRS restrictions. Also, while the policy can be surrendered at any time without charge, the full tax advantages of the policy remain intact only if the policy is kept in force during the lifetime of the insured.
It is private.
- With proper ownership and beneficiary designations, it is not subject to probate.
- In most states, cash values are protected from the claims of creditors.
 |