Cash Value Life Insurance Creditor Protection and Bankruptcy Protection By State Over time, a policy’s cash surrender value builds up, earning interest and serving as a versatile financial asset useful in retirement and estate planning. With guaranteed cash value growth rates, whole life provides portfolio stability and a hedge against market uncertainty. Creditor Protection Just as importantly (and often overlooked), whole life policies also offer the benefit of protection against creditor claims, making whole life an great choice for asset protection. In general, when a creditor obtains a judgment or when a debtor files bankruptcy, the debtor’s assets can be “attached” to satisfy debts...
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Royal London commissioned Opinium to run our State of the Protection Nation research to find out how people felt about their own protection needs and the industry as a whole. We surveyed people who had already taken out some kind of protection insurance and those who didn’t have any. We also asked advisers how they felt about their own protection needs, and the challenges they faced selling it. Does everyone need protection? Almost half (47 per cent) of all consumers in the survey say life insurance is essential for anyone with a mortgage or dependants. The research revealed differences across the age ranges with 58 per cent of those aged 55+ believing that life insurance is essential...
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OnePlan Protection from Irish Life You work hard to look after your family’s needs but it’s worth every minute. Should something unexpected happen, you want to be able to continue looking after them. That’s why it’s important to plan for the future and ensure you have the right cover in place for you and your family. OnePlan Protection is a new type of protection based on the cover people and families in Ireland need most, such as: A replacement income for your family if you die before your cover ends Money to cover your bills if you cannot work due to illness or injury A lump sum if you were to suffer from one of the specified illnesses covered under the plan An innovative approach to...
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This year will be moderate for ULIP inflows though focus on the protection business will continue to drive value of new business for large insurers. Private life insurance companies reported 9% growth in individual premium in June 2018, somewhat better than 4% during May 2018. We expect FY19 to be a moderate year for ULIP inflows though focus on the protection business will continue to drive value of new business (VNB) for large players; in that sense, monthly annual premium equivalent (APE) data is incrementally less relevant. Private sector APE was up 12% yoy in June 2018, leading to 6% yoy growth for 1QFY19. With 3% yoy growth in LIC for the month (21% in May 2018, 7% in 1QFY18), the...
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Policyholder Protection Protection issues For life assurance companies, the Isle of Man's Life Assurance (Compensation of Policyholders) Regulations 1991 ensure that, in the event of a life assurance company being unable to meet its liabilities to its policyholders, and subject to the Regulations, the scheme manager shall pay to the policyholder out of the Policyholders' Compensation Fund a sum equal to 90% of the amount of any liability of the insurer under the contract. The Island's scheme operates globally, providing protection to policyholders no matter where they reside. The scheme would be funded by a levy on the funds of the other life assurance companies. The Financial Services...
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The June quarter (Q1) results of HDFC Life, ICICI Prudential Life Insurance Company, Max Financial Services and SBI Life indicate these four major listed life insurance players are focusing on protection products, which provides impetus to their profitability. From a stock perspective, too, analysts see gains for most of these companies. Life insurers’ profitability is measured in terms of value of new business (VNB) margin, which is VNB as a percentage of the present value of future premium. Protection products are seen as more profitable. The value of new business margin at HDFC Life and ICICI Life expanded 370 bps and 680 bps, respectively, over a year. While the metric for Max...
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Universal Life Insurance Understanding Universal Life Coverage Leaving a financial benefit for your family when you pass on is one of the most fulfilling things in life. Universal life insurance (UL) allows you to save for your future while at the same time giving you access to your accumulated cash value. One feature of the universal life coverage is that it runs throughout your life until you pass on as long as you maintain a flexible premium payment plan. UL remains a favorite for most people due to their broad range of benefits. Insurers break down the premiums into two fold, which comprises of cost of insurance and the saving component. Policyholders must pay monthly premiums to avoid...
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Life Insurance Life insurance can help you secure your family's financial future by providing the funds they need to: cover burial expenses, uninsured medical bills, pay off your mortgage and other outstanding debts, and maintain a comfortable standard of living. There are a variety of life insurance policies that we can provide. The kind of policy you choose depends on your needs: Term Life Insurance is a low-cost way of providing maximum coverage for your family. Protection is provided for a limited number of years. The insurance expires without value if the insured lives beyond the policy period, usually 5 to 20 years. Other policy life periods are available, including 1 year annual...
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Social Security provides the primary life insurance protection for most children This year’s debate over Social Security has focused primarily on retiree benefits and has largely neglected the survivors and disability portions of the program. The fact that two-thirds of retirees receive at least half of their income from Social Security has become well-known.1 Yet many people seem unaware that about one in six Social Security beneficiaries receive survivor benefits as the spouses and dependents of deceased workers and another sixth receive disability benefits.2 In 2003, some 1.9 million children received survivor benefits at an average of $603 per month, totaling $14 billion a year....
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How Does Life Insurance Protect My Family? While you may not be able to provide for your family forever, the good news is you can plan to help financially protect them with the purchase of life insurance. What are the benefits of life insurance and how exactly does life insurance protect your family? Let’s take a look. Life Insurance Can Financially Protect the Ones You Love When it comes down to it, the purchase of life insurance isn’t meant for yourself — it’s designed to take care of your loved ones when you’ve passed away. And if you’re responsible for the financial security of anyone, whether it be a spouse, partner, children, aging parents, disabled...
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