Life Chart : Adjustable Life vs Universal Life vs Variable Life
Adjustable Life (Cash value)
Cash value : 1. Fixed rate of return (level), 2.General account
Universal Life (Cash value)
Cash value : 1. Guaranteed at minimal, 2. General account
Variable Life (Cash value)
Cash value : 1. Not guaranteed, 2. Separate account (policy profolio)
Variable Life (Face amount)
Face amount : 1. Can increase and decrease, 2. Guaranteed minimum.
Adjustable Life and Universal Life (Face amount)
Face amount : Flexible set by policyowner with proof of insurability
Adjustable Life (Key features)
Key features: 1. Can be Term or Whole Life; 2. Can convert from one to another
Universal Life (Key features)
Key features: 1. Permanent Insurance with Annual renewable term protection component. 2. Interest sensitive
Variable Life (Key features)
Key features: 1. Permanent insurance (whole). 2. Investment based
Adjustable Life, Universal Life and Variable Life
Policy loans : Can borrow cash value
Variable life (Premium)
Premium : 1. Fixed ( If Whole Life...level), 2. Flexible (If Universal life)
Adjustable Life (Premium)
Premium : Can be increased or decreased by the owner
Universal Life (Premium)
Premium: 1. Flexible 2. Minimum (keeps in force 1yr) or Target (keeps it in force)
