If you're building your retirement package, now's the time to invest in indexed universal life insurance. If you already have life insurance, you might not think you need a new policy. That's not the case though. Indexed universal life insurance offers benefits that you might not have considered. One benefit is that indexed universal life insurance policies provide higher coverage limits. That means you can provide your family with increased protection. But, there are other benefits to consider. Read the list provided below. Here are four reasons to invest in indexed universal life insurance.
Annual Cash Returns
When you make investments, you want options that will provide you with annual returns. Most life insurance policies don't provide those returns. That's where indexed universal life insurance is different. One of the great things about this type of life insurance is that you'll receive annual cash returns on your investment. You can use the cash for current living expenses. Or, you can put your returns into a protected retirement account. That way, you're building your retirement account while protecting your family.
If you have a traditional life insurance policy, it might not have the features you need. That's because you can't customize traditional life insurance policies. Indexed universal life insurance is different. Indexed universal life insurance policies can get customized to meet your specific needs. You can use insurance riders to get the coverage you need. Some of those riders include coverage for long-term medical care or advance death benefits. A death benefit rider will allow you to collect life insurance benefits if you're diagnosed with a life-ending illness.
Increased Tax Benefits
If you're looking for investments that are protected against capital gains taxes, now's the time to invest in an indexed universal life insurance policy. One of the benefits of indexed universal life insurance is that the cash value isn't subject to capital gains taxes. That means you can use your cash returns without worrying about capital gains taxes. As an added benefit, indexed universal life insurance also provides social security protection. That's because the cash returns don't count against your social security income limits.
Expanded Death Benefits
If you want to make sure your family is protected, indexed universal life insurance can help. You know that your life insurance will take care of your family's financial needs. But, there are also funeral costs and immediate expenses to worry about. Indexed universal life insurance policies provide expanded death benefits. That means your family will have access to funds for their immediate needs.
For more information on indexed universal life insurance, contact a professional near you.