Main Features

There are different aspects to evaluate in a Universal Life Quotation and you can take a look at these pointers

a. Premium Amount

This is one of the main things that customers look at; one is however cautioned to keep an eye on the quotation just in case they have special features. There are different features within the Universal life quotes which might change the premiums. The first one is to check if the plan has a no-lapse guarantee feature, if yes, you have to check after how long the feature ends. Secondly, does the plan endow to zero? This could be a key determinant factor for premium rates.


b. Break Even Year

This will help you know when you can end or stop the plan without suffering any losses. This is mainly mentioned in technical jargon. Many of those who have purchased it will continue on the plan even after it breaks even thinking they will lose the coverage if they stop paying premiums.


c. Financing Rates

This is mainly looked at by those who go for Single Premium Universal Life Plans, where customers can decide to fund their own premiums through a bank. Distinctive rates for financing are between 1.2 and 1.75 percent. There are different ways to finance the premiums. Our staff will be able to better advise in this aspect.


d. First Day Cash Value

This value is used when premium financing is applied. The quantum determines the amount of financing allowed.


e. Surrender Value

Some prefer to look at the annual earnings. This process can be tedious since different insurers might have different and varying values at different periods of the plan.


f. Premium Frequency & Term

Many customers prefer to go for single frequency that is One Time Single Premium, although clients can decide to pay the premiums over 5 to 20 years. It is however important to note that premium frequency can vary for different insurers..


g. Credit Rating of Insurer

The credit rating aids in determining the stability of the insurer as some of the insurers are not based locally. You can use the credit rating to evaluate their financial standing.