Universal Life - States

  • California
  • Florida
  • Kansas
  • Texas

 

  • Kansas - Year?? - Kansas - Life, Annuities and Long-Term Care Shopper’s Guide - 36p
  • Universal life — A variation of whole life insurance that allows you, after your initial payment, to pay premiums at any time in virtually any amount, subject to certain minimums and maximums.
    • You also can reduce or increase the amount of the death benefit more easily than under a traditional whole life policy.
    • Universal life may be a good fit for those who prefer to purchase term insurance at a lower premium cost and invest the difference.
    • With a universal life policy, the amount of premium not used to purchase the death benefit or pay policy expense charges accumulates as interest in a cash value-type account.
    • The interest rate paid on this money may vary with the market.
    • Unlike a regular whole life policy, surrender penalties for early withdrawal are common on this type of policy.

Texas - tdi.texas.gov/pubs/consumer/cb018.html

  • Universal Life
    • Universal life insurance is more flexible than whole life.
      • You can change the amount of your premiums and death benefit.
      • But any changes you make could affect how long your coverage lasts.
    • If your premiums are lower than the cost of insurance, the difference is taken from the cash value.
    • If the cash value reaches zero, your policy could lapse.
    • The company will send you a report each year showing your cash value and how long the policy might last.
      • The estimate is based on the cash value amount, the cost of insurance, and other factors.
      • Review it carefully. You might need to pay more in premiums to keep the policy in effect until the maturity date.

Texas