A financial product which has been gaining traction in the insurance markets is no lapse guarantee universal life insurance. The properties of a no lapse guaranteed universal life insurance policy makes it an attractive option for consumers across many age groups and income levels. It fits nicely between a whole life insurance policy and a term life insurance and blends many of the advantages of each type of policy. A no lapse guarantee universal life insurance policy will give you the length of a permanent life insurance policy with more affordability for most people than a whole life insurance policy.
When the general consumer thinks about permanent life insurance, meaning a policy which is designed to be kept for the rest of their life, they probably would not consider no lapse guarantee universal life insurance. No lapse guarantee universal life insurance fills a growing niche of people who are looking for permanent protection to cover them the rest of their life and cannot afford the high price of whole life insurance, or have no need for the cash growth which is featured in a whole life contract.
We have witnessed a shift in life insurance sales to an older demographic as many term policies people bought 20-30 years ago are now coming to an end. Many of these people are beginning to realize they still need life insurance coverage. Most do not need as much coverage as they once did, but they do need a policy which will last the rest of their life. The reality is people are living longer, and still have a need for life insurance. This is where no lapse guarantee life insurance comes to the rescue.
The argument against permanent life insurance for most people is it does not fit in the budget for most people. I can agree for most people whole life insurance can be expensive and often times does not make sense. At if you are not planning on using the cash value from a whole life insurance policy, or if it will not generate enough to be used to offset premium than it does not make sense to pay a higher premium. No lapse guarantee life insurance does not generate cash value which allows it to have lower premiums than a whole life insurance policy of the same face amount.
One of the main reasons why more people do not purchase a no lapse guarantee universal life insurance policy is because they don’t understand how they work or the many advantages of this type of permanent life insurance policy. A no lapse guarantee universal life insurance policy is designed to be a long term insurance solution which is guaranteed to stay in force until a certain age. These ages usually range until age 90, all the way to age 120. You can choose how long you would like to keep your coverage when you apply for your policy. The longer you keep the policy the more expensive it will be, but you will be covered for longer.
One of the best things about owning a no lapse guarantee universal life insurance is level premiums. When you are looking for a policy in which you want to be able to budget for it the rest of your life than you want to make sure it’s level. If you are on a fixed income than you will be able to lock your premiums in for the rest of your life when you purchase no lapse guarantee universal life insurance policy. Unlike a term life insurance policy, it will not increase at a certain point since it is designed to be kept late in life. The affordability and flexibility of these plans make them very attractive options for people looking for permanent life insurance.
To get a good idea of how much a no lapse guarantee universal life insurance policy could cost you, or a loved one, check out our online life insurance quoting tool. We have access to multiple carriers in order to find you the best rates in the industry. If you have any additional questions please give us a call and our experienced agents will be happy to help you.