Using cash value
You can tap into your policy’s cash value by making a withdrawal or taking a loan against your policy. Policy loans are not dependent on credit checks, and borrowing rates tend to be relatively low.
It is important to understand that policy loans and withdrawals may create an adverse tax result in the event of lapse or policy surrender and can impact your policy surrender value and death benefit. You may be required to repay the loan or make additional premium payments in order to keep your policy in force.
Protection and growth: Fixed or flexible?
The type of permanent life insurance you choose should partially be based on how much flexibility you want. A financial advisor can help you choose the type of product that works for you.
Whole life insurance provides guaranteed death benefit protection for your entire life while offering a fixed rate for cash value growth. You pay fixed premiums that will not increase. It’s a great way to protect your family while accumulating lower-risk, predictable cash value growth.
Learn about whole life insurance
Universal life insurance also provides death benefit protection – but as your needs change, you have the flexibility to make changes to your policy. You have the ability to modify both your amount of coverage and your amount of premiums.1
Learn about universal life insurance