The part of the premium not going toward the mortality charge is invested in a separate account of intermediate-term bonds. The flexibility of universal life appeals to consumers who want to adjust their payments to an uneven cash flow. If he died suddenly without insurance, his family would have no income until they could liquidate the business. To further complicate the situation, Kardel started a second family when he was already over 40, and his youngest child is only 11. Variable and variable universal life.
All variable policies allow policyholders to invest their premiums in a stock portfolio.
The hottest commodity in today's life insurance market is variable universal. It combines the investing feature and the fluctuating cash value and death benefit of variable with the adjustable premiums of universal. Time Inc. All rights reserved. Reproduction in whole or in part without permission is prohibited. Our Privacy Policy .