Universal Life Insurance
Universal life insurance is a type of permanent life insurance that combines lifetime coverage with flexible financial control. Like whole life, it includes a cash value policy component that grows over time—but with the added benefit of adjustable premium life insurance. This flexibility allows you to increase or reduce your premiums (within plan limits), helping you adapt to life’s changing financial situations without losing protection. Whether you’re looking to leave a legacy, cover future expenses, or supplement your retirement plan, universal life insurance gives you options designed to evolve with your needs.
Table of Content
Ideal for long-term planning, universal life insurance can support everything from estate planning insurance to income replacement or emergency funding. Many policies also include life insurance with living benefits, allowing early access to funds for qualifying medical needs or unexpected financial events.
At CoverCare Insurance, we guide you through top carriers and custom features to build a flexible life insurance solution that fits your financial goals today—and protects your family tomorrow. Whether you want steady growth or adaptable premiums, we’ll help you find a policy that works for both security and strategy.
Universal Life Insurance
You can talk about Universal Life Insurance with the following specialists in any of our offices:
Self-service
Explore health, Medicare, dental, vision, and life insurance options with easy self-service tools. Enroll online at your convenience, or reach out to us anytime for expert guidance.
Why Use Our Self-Service Tools?
- Instant quotes from top carriers
- 24/7 enrollment access — no waiting on hold
- Compare benefits, costs, and networks in one place
- Secure online applications
- Licensed agents available if you need guidance
Need Help Enrolling? We’re Here for You
Prefer a personal touch? Our licensed agents are always ready to answer questions, explain plan details, and guide you through the process step by step.
Related FAQs
What types of LTC policies are available?
- Traditional LTCI: covers only long-term care.
- Hybrid policies: combine life insurance or annuity with LTC benefits.
- Life policy riders: add LTC benefits to a life insurance policy.
What is Universal Life (UL) insurance?
Universal Life is a type of permanent life insurance that provides lifelong protection while letting you build tax-deferred cash value and adjust premiums and death benefits over time.
How do Universal Life insurance premiums work?
You pay a flexible premium: part covers the cost of insurance, fees, and the rest goes into your cash value component. You can pay more to grow the cash value or less, as long as the cash value can cover monthly costs.
Can I change my death benefit in my UL policy?
Yes—Many UL policies let you increase or decrease the death benefit subject to policy limits and underwriting requirements.
What types of Universal Life insurance policies are available?
Common types include Traditional UL, Indexed UL (IUL), Guaranteed UL (GUL), Variable UL (VUL), and Single-Premium UL—each offering different cash-value growth or guarantees.
How does cash-value growth work in a Universal Life policy?
Cash value accumulates through interest credited by the insurer. It may include a minimum guaranteed rate, or for IULs, interest tied to index performance.
Can I access my cash value of my UL policy?
Yes—you can withdraw funds (partial withdrawals) or take policy loans, but this will reduce both cash value and death benefit, and may incur charges or tax consequences.
What happens if cash value is insufficient in my UL policy?
If cash value can’t cover the cost of insurance, premiums remain unpaid—your policy may lapse unless you add funds or reduce benefits.
Are Universal Life insurance policy premiums guaranteed?
Premiums are flexible—not guaranteed. You must consistently manage contributions and monitor cash value; otherwise the policy may lapse.
What are UL insurance policy living benefits?
Some UL policies include accelerated death benefit riders, allowing you to access part of the death benefit for critical illness or long-term care expenses.
How do UL and Whole Life differ?
UL offers premium and benefit flexibility, with cash value on a declared interest rate. Whole Life provides fixed premiums, guaranteed cash value, but less flexibility.
What are the pros and cons of UL insurance?
Pros include flexible premiums, adjustable death benefits, access to cash value, and potential tax-advantaged growth.
Cons include policy complexity, risk of lapse, non-guaranteed returns, potential for high fees, and responsibility to actively manage policy .
Do I need to monitor my UL policy?
Yes. Monitoring is essential to ensure your cash value can support costs—interest fluctuations or loans may require increased premium payments.
Can UL support retirement planning?
Yes. UL cash value can be accessed tax-free via loans or withdrawals for retirement needs—housing, income supplementation, or education.
Who is UL insurance best suited for?
UL is ideal for those seeking lifetime protection, cash-value flexibility, and comfort with active policy management. It’s especially popular for business uses, estate planning, or high-net-worth individuals .