What is the Longest Term for Universal Life Insurance?

Posted in Life Insurance , Universal Life Insurance

March 19th, 2009

Universal life insurance is a form of permanent life insurance. Permanent life insurance, as opposed to term life insurance, lasts for your entire life (or as long as you want it to). It’s more expensive than term insurance, and the money you pay each month builds up in a fund. Many people withdraw money from this fund when they reach retirement age. The money they take out reduces the amount of money left for the beneficiary of the death benefit. Term life insurance, by contrast, only covers a certain amount of years, and you don’t get any money back when the term ends. It’s a lot like car insurance.

With universal life insurance, the money you put into your universal life insurance program account earns interest, at a rate set by the life insurance company. Universal life insurance can be for your entire life, and it’s up to you to determine when you want to pull out of the policy. In other words, there is no limit to the length of your universal life insurance policy.

To learn more about life insurance, universal life insurance, variable universal life insurance and other important insurance topics, be sure to consult with an expert.