I am a licensed agent and I am also in the market for some permanent life insurance. I am looking at purchasing either a guaranteed universal life product or a flexible premium UL. I am in my early 50's. I have not sold a lot of permanent life insurance over the past several years, but I have always used the GUL and I sell it as a term to 100.
I recently compared the cost of the two. The GUL will cost me about $130/month for $100,000. The Flexible Premium UL will run about $30 more/month at $160/month. Obviously, there is no cash value build up in the GUl. The flexible premium UL does build up pretty good cash value over my life expectancy, about $60,000 by the time I am 80 years old and I know I can borrow against the CV if I needed to, however, I don't plan on accessing the cash in the Flexible premium because the purpose of the life insurance is solely for the DB.
I am looking for feedback on the pros and cons of each option.
The interest rate for the flexible premium right now pays 5% so I could build some some pretty good cash value over time compared to other placed to put my money. The GUL floor for my company is the $100,000 so I would not have the opportunity to lower the face amount, whereas the floor on the flexible premium is $25,000. Any other advice on which product to choose would be appreciated.
I recently compared the cost of the two. The GUL will cost me about $130/month for $100,000. The Flexible Premium UL will run about $30 more/month at $160/month. Obviously, there is no cash value build up in the GUl. The flexible premium UL does build up pretty good cash value over my life expectancy, about $60,000 by the time I am 80 years old and I know I can borrow against the CV if I needed to, however, I don't plan on accessing the cash in the Flexible premium because the purpose of the life insurance is solely for the DB.
I am looking for feedback on the pros and cons of each option.
The interest rate for the flexible premium right now pays 5% so I could build some some pretty good cash value over time compared to other placed to put my money. The GUL floor for my company is the $100,000 so I would not have the opportunity to lower the face amount, whereas the floor on the flexible premium is $25,000. Any other advice on which product to choose would be appreciated.