Universal Life Insurance

Life insurance that's flexible to your needs.

Universal life lets you protect the people you love with great coverage that's flexible to fit your life.

What is universal life insurance?

Universal life insurance gives you lifelong protection and cash value you can use for anything, anytime, plus the flexibility to adjust your policy along the way as your life and needs change. It lets you choose the amount of your death benefit and how much you pay in premiums, as well as when you pay them.

Flexible death benefit

You can start off with a specific amount to meet your current needs, but if things shift down the road, you have the option to increase or even change the type of death benefit (within limits) to fit your situation.

Flexible premiums

You get to choose how much you pay, and when, which can be helpful if your cashflow fluctuates. Keep in mind, premiums will increase with age (based on the difference between the death benefit and cash value) and as long as there's enough cash value to pay your policy's monthly fees, your coverage will continue.

Cash value

Use it for anything, anytime, usually without owing taxes. You can help pay for an emergency, home repair, college tuition, even invest in your business, whatever you need.2 However, your policy could lapse if the net accumulated value of the policy is less than the monthly fees.

Questions about universal life insurance? We've got answers.

Which is better universal or whole life?

Universal life gives you protection for the people you love, as well as the flexibility to choose the amount of your death benefit, how much you pay in premiums, and when you pay them (within certain limits). Cash value earns interest every day, and expenses are taken out monthly. As long as there is enough cash value to pay your policy's monthly expenses, your coverage will continue. It will also build cash value that can be used for anything, anytime.

The best one for you depends on your goals. Both universal life and whole life insurance give you lifelong coverage3 and build cash value over time that you can use for anything you need throughout your life.2 Universal life comes with flexible premiums, while whole life comes with set premiums. Plus, whole life can earn dividends (while not guaranteed, we've paid them every year since 1872) that can be taken as cash, used to pay premiums, or increase your coverage (and cash value). Find out which is right for you.

Yes, this pool of money is called cash value. The cash value of a policy is an asset that you can use for anything, anytime. It can be used for unexpected emergencies, like a home repair or a business investment. You can withdraw money from a universal life insurance policy up to the amount of the premium you've paid in so far without paying taxes. One of our advisors can give you more details

Yes. You can take a policy loan. Interest is charged on the loan, but there is no financial underwriting, so you can borrow at any time against your policy, and the repayment terms are flexible. You can repay on your own terms or allow the loan interest to be added to the loan. It's important to know that your death benefit will be reduced by the amount of the loan until it's repaid,2 and the loan must be carefully managed to avoid any tax consequences.

No, it cannot. However, whole life insurance does. While not guaranteed, we've paid them every year since 1872. You can take the dividend as cash, use it to pay premiums, or buy more coverage. Ask an advisor which insurance is right for your needs and goals.

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