Permanent Life Insurance
Permanent life insurance provides you and your family flexible lifelong coverage with the opportunity of both death benefits and cash value. The cash value grows in total value at a guaranteed rate of return and can be borrowed via partial surrender or policy loans to meet your financial needs. Permanent life insurance lasts from when you buy it till when you pass on as long as you pay the agreed premium amount. Types of permanent life insurance that an oncologist can choose from are:
Whole Life Insurance
Whole Life Insurance, just like every other type of permanent life insurance, builds cash value. In many states, it is considered an “exempt asset”, which automatically protects it from the claims by creditors. Additionally, its periodic premium rate remains the same.
Universal Life Insurance
Apart from the cash value advantage, what typically distinguishes Universal life insurance from other permanent life insurance policies is that it affords you the opportunity of adjusting the benefit amount up or down without having to buy a new policy.
Variable Life Insurance
Variable life insurance also comes with cash value benefits. However, the premium paid for this type of policy is set to cover three areas: the cost of insurance, administrative expenses, and investment in a mutual-type subaccount. The interest gained from your investment is added to boost your policy’s cash value. Financial expert advice should be sought before choosing an investment in variable life insurance as the performance of your selected investment can make or break the growth of your cash value.