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What is indeterminate premium life insurance?
Indeterminate premium life insurance is a type of whole life insurance that specifies two premium rates: a guaranteed maximum, and a lower rate you actually pay. The lower premium level is for a set period of time. Then the company establishes a new rate that may be higher or lower than the initial premium. But your premium can never be more than the guaranteed maximum.
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No. That's why the proceeds aren't taxed as income. Answer Correct...premiums are taxable. Death benefits are generally not taxed as income. Also if it is permanent life insu…rance policy and has some cash value built up and you take that cash out, the amount of cash less the premiums paid into the policy ("your gain") is taxable. Additional comment: Actually, if you take your cash value out as a loan, you do not have to pay taxes on "gains" as long as the life insurance is in place, hopefully until you die.
-Total cost of insurance coverage. You are to consider all the insurance policies you are having on your life,total the premiums for payment on the pre fix…ed mode
a total cost of insurance coverage
Life insurance a/c......... Dr to cash a/c
A "premium holiday" is a provision contained in some whole life insurance policies that permits the cessation of premium payments, usually in the event of economic hardship. P…remiums are paid from the accumulated cash value within the policy during this period. When the cash value has been exhausted, the policy is subject to lapse for nonpayment of premium.
NO. Life insurance premiums would NOT be deductible on your 1040 federal income tax return.
Graded Premium Life is actually Graded Premium Whole Life Insurance coverage under which the initial premiums are less than normal for the first few years of the policy,… then the premiums gradually increase each of the next several years, until they become level (or the same) for the duration of the life insurance policy.
You can calculate life insurance premium for a life insurance policy by requesting free life insurance quotes online or from a life insurance company. Rates for lif…e insurance vary by insurer. Some of the factors that insurers consider when determining your premium include the following: Age, gender, height-to-weight ratio, amount of coverage, type of policy, smoker/non-smoker, your health, your family's health history, etc.
Flexible Premium Adjustable Life Insurance is a policy usually called Universal Life but some companies may use different names. This type of policy is basically a term life i…nsurance policy with an interest bearing side fund as part of the policy. The mechanics are that you can pay any premium above the minimum premium and within federal tax limits. You can change the premiums and the amount of insurance which makes it a very flexible policy. The trick is that as with term insurance the cost of insurance goes up as you age so you must pay more than the cost of insurance expecially in the beginning or the policy always has a danger of running out of money and the insurance cancelling. This type of policy looks good when interest rates are high but is very dangerous when rates drop.
I would like to pay on line for my reassure life insurance
Yes, but it might not be a good idea as then the benefit would be taxable. Are you talking about YOUR coverage or for your employees? for more info see www.steveshorr.com/life….htm
Life Insurance is not tax deferred as someone mentioned erroneously here... Life insurance is a tax free benefit, so in general you cannot write it off on taxes.. And loans ar…e also not taxable, so you can access the growth in your whole life tax free even if it grew interest (generally taxable) by utilizing a policy loan... In the case of S Corp's there are a number of allowable instances in writing off life insurance... Such as when an employer pays for life insurance as a part of a beneits package.. The business can write off those premiums.... But personally, its not the case... In general, if uncle sam can't touch the proceeds of a death benefit or tax its growth, then there is no way uncle sam will let you write those premiums off.. You have to pay taxes on those premiums in exchange for a much larger tax free benefit, or a tax free loan against what would be taxed if outright withdrawn..
Life insurance premiums can be paid in any manner you like just about. Insurance companies generally have payment plans to accommodate any ones desires. Monthly, quarterly, se…miannually, annually, and also there are single premium payment policies whereby you pay with a lump sum payment one time. Life insurance carriers will also offer discounts for paying in advance. For instance, say you wish to pay the first 10 years in advance on a policy it may only cost you 8 years of premium instead of the full 10. You can also change the method of payment on an existing policy if you like.
Term life insurance is an insurance one would buy if they are looking to insure themselves for a specific term such as 20 years. This is a relatively low cost and basic insura…nce plan. Premium term life insurance is when one insures their life for a longer period, such as 30 years, and if they do not die in that time, the premiums that were paid are returned back to them.
Return-of-premium life insurance is like an ordinary life insurance policy, but payments made on premiums are returned to the insured individual if the policy ends and they ar…e still alive. Thus, return-of-premium life insurance policies do not punish one for outliving their life insurance. The average such policy might cost 25% to 50% more in premiums, compared to an ordinary life insurance policy.
A premium life insurance package have many different features compared to standard insurance packages. Depending on the insurance provider, it will vary on what extra features… are included, and therefore it would be best to inquire to local insurance providers what they are.
Premium financing involves the lending of funds to a person or company to cover the cost of an insurance premium. Premium finance loans are often provided by third party finan…ce entity known as a Premium Financing Company.