A | B | C | D | E | F | G | H | I | J | K | L | M | N | M | O | P | Q | R | S | T | U | V | W | X | Y | Z Show 401(k) plan A savings program that allows employees to set aside tax-deferred income for retirement, thereby reducing current federal taxes. 403(b)
plan 457 plan Back to top AAccelerated
death benefit Accumulated value Accumulation period The period when contract owners make contributions to their annuity and build up its value. After-tax dollars Annuitant Annuitization Annuity Back to top BBeneficiary Back to top CCash surrender value Cash value Convertible term insurance policy Back to top DDeath benefit Deferred annuity A type of annuity that delays payments until the contract owner chooses to receive them. Disability income insurance (DI insurance) Insurance designed to compensate an insured person for a portion of income lost because of a disabling injury or illness. Benefit payments are made either weekly or monthly for a specific period during the insured's disability. Distributions Dollar cost averaging Back to top EEarly withdrawals Electronic funds transfer (EFT) Endorsement See rider. Evidence of insurability Back to top FFinancial planner Fiscal
year Fixed annuity Flexible premium Back to top GGrace period Guaranteed death benefit Back to top IImmediate annuity See income annuity. Income annuity Individual retirement arrangement (IRA) Insured Insurer IRA Back to top JJoint life insurance Back to top KKey person Key-person insurance Back to top LLapse Level term life insurance Limited benefit medical insurance Long-term disability income insurance Lump sum A single payment for the total amount due, as opposed to several smaller payments or installments. Back to top MMinimum distributions Back to top PPension plan Period-certain annuity An annuity that guarantees benefit payments for a designated period of time, regardless of whether the annuitant lives or dies. Permanent life insurance Policy term Portability Portfolio Pre-tax contributions Proceeds Prospectus Back to top QQualified
retirement plan Back to top RRequired minimum distributions (RMDs) Rider Risk tolerance Roth IRA Back to top SSingle-premium policies Stop loss insurance Surrender charge or
withdrawal charge Surrender value Back to top TTax-deferred basis Terminal illness benefit Term life insurance Third-party administrator (TPA) Back to top UUniversal life (UL) insurance Back to top VVariable annuity Variable life insurance Variable universal life (VUL) insurance Back to top WWithdrawal charge Back to top Who owns the cash value of a life insurance policy?Consider a policy with a $25,000 death benefit. The policy has no outstanding loans or prior cash withdrawals and an accumulated cash value of $5,000. Upon the death of the policyholder, the insurance company pays the full death benefit of $25,000. Money collected into the cash value is now the property of the insurer.
What is the cash value in a life insurance policy may fluctuate to reflect?Universal Life policy - has a cash value that may fluctuate to reflect changing assumptions regarding mortality cost, interest, and expense factors. Which policy combines investment choices with a form of Term coverage? Variable Universal Life - combines investment choices with a form of Term coverage.
What is life insurance with cash value called?Universal life insurance is also referred to as "flexible premium adjustable life insurance." It features a savings element (cash value) that grows on a tax-deferred basis. The insurer invests a portion of your premiums. The return on the investment is credited to your policy tax-deferred.
What is a variable insurance policy?A variable life insurance policy is a contract between you and an insurance company. It is intended to meet certain insurance needs, investment goals, and tax planning objectives. It is a policy that pays a specified amount to your family or others (your beneficiaries) upon your death.
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