Life Insurance

There are a number of types of permanent life insurance^[1], including:

• Whole Life
  A guaranteed required premium and guaranteed minimum cash value and death benefit are all fixed at the time the policy is issued.^[2] However, the cash value may grow beyond the initial guarantees through dividends or a declared crediting rate.

• Universal Life
  A premium schedule is provided at policy issue based on a set of current assumptions, but policy owners have the flexibility to skip, reduce, or increase premiums based on their needs. As long as the policy expenses and cost of insurance are covered by premiums paid or available cash value, the policy will remain in force and excess premiums will accumulate and grow in the cash value account. Cash value growth is based on the insurer’s declared crediting rate.

• Variable Universal Life
  A premium schedule is provided at policy issue based on a set of current assumptions, but policy owners have the flexibility to skip, reduce, or increase premiums based on their needs. As long as the policy expenses and cost of insurance are covered by premiums paid or available cash value, the policy will remain in force and excess premiums will accumulate and grow in the cash value account. Cash value growth is based on the performance of subaccounts chosen by the policy owner to align with their goals and risk tolerance. Subaccount returns are subject to market risk and account value fluctuations.

• Indexed Universal Life
  A premium schedule is provided at policy issue based on a set of current assumptions, but policy owners have the flexibility to skip, reduce, or increase premiums based on their needs. As long as the policy expenses and cost of insurance are covered based on premiums paid or cash value, the policy will remain in force and excess premiums will accumulate and grow in the cash value account. Cash value growth is based on the performance of an equity index such as the S&P 500.