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Did you know that return of premium life insurance policies offer a full return of premium payments in the event that policy holders keep the policy for the full term. If they are unable to carry the insurance for the full term then after a number of years there can be a partial return of premium. That's right (of course, the amount returned depends upon the length of time the policy was held before surrender). There are additional benefits of return of premium policies. The following tips outline a few.
Tip 1. Return of Premium Life Insurance is Flexible
• Policy holder may choose the number of years of the term usually 15, 20 or 30 years.
Tip 2. Return of Premium Life Insurance is Affordable
• With rates somewhere between those of standard term and permanent life insurance policies, return of premium policies offer extremely affordable premiums. Policy holder not only gets a great rate, they also can look forward to having the entire amount of their premium payments returned.
Tip 3. Return of Premium Insurance Payouts are not Diminished by Tax Burdens
• The money received from return of premium insurance is your own money. Funds are returned to you in full without any income or capital gains taxes. There is no guesswork involved in determining payout because policy holders enjoy the security of knowing they will receive exactly what was paid in premiums.
|Sheri Ann Richerson|