A Life Policy Offers The Owner Investment In Products at Life

A Life Policy Offers The Owner Investment In Products. Variable insurance products, which include variable annuities and variable life insurance, differ from traditional fixed dollar insurance contracts in the way in which benefits are funded. A life insurance policy is an agreement between an insurance company & a policyholder that offers financial coverage under which the insurance company guarantees to pay a certain amount to the nominated beneficiary in the unfortunate event of the insured person's demise during the term of life insurance plans.

• there are no surrender charges, and the acquisition charges at inception are generally lower. The investment element of variable life insurance policies is made known to the policyowner at the onset and is invested in a separately identifiable fund which is made up of units of investment. Depending on the contract, other events such as terminal illness or critical illness can also trigger payment.

It is a policy that pays a specified amount to your family or others (your beneficiaries) upon your death. They also offer a wide array of investment products such as retirement income, investment annuities, mutual funds. A variable life insurance policy is a contract between you and an insurance company. Northwestern mutual is one of the best life insurance companies with one of the highest financial strength ratings in the industry.