Advantages / Disadvantages of Variable Life Insurance
If you are investigating options toprovides more layers of financial protection for your family, friends or even favorite charity upon your death, a variable life insurance policy may be for you. The reason why it is called “variable” is when you pay your premiums towards your policy, a portion is directly allocated to an investment portfolio managed by the insurance company and is subject to market fluctuations. Those market fluctuations make the cash-value of the policy variable, while the death benefit is guaranteed.
If you are interested in investing in a variable life insurance policy, it is important to weigh the pros and cons before committing. Speaking to a specialist in the life insurance industry will prove to be extremely beneficial in helping you figure out your strategy as policies can be complex.