Universal Life Insurance

Apr 14, 2019

  1. Melo5457
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    Melo5457 Expert

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    Help Please: American General (Secure LIfetime GUL 3) is this premium locked in for the duration on the policy?
    Also what about the North American Custom Guarantee UL.....I dont want something in which the premium may change in a few years...I really dont understand fully Universal insurance, I only know that people complained years ago about premiums increasing of COI.
    Thanks.
     
    Melo5457, Apr 14, 2019
    #1
  2. Tahoe Ray
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    Tahoe Ray Guru

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    Both are guaranteed as long as the initial product design is adequate and the premiums are paid on time.
     
  3. Melo5457
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    Thanks for the response
     
    Melo5457, Apr 14, 2019
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  4. WinoBlues
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    Request an illustration that shows the face amount of insurance, riders, your class rating, and premium quoted. Look at the Guaranteed column (not current). Make sure the death benefit runs to whatever year you want it to. Note the premium may stop earlier such as age 100.

    If you are not sure what you are looking at Post it here.

    If an agent ever balks at showing you the information you request. Think long and hard.
     
  5. pbar
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    pbar Expert

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    GUL3 is NOT the same as GUL, in which premium is the same till age 120. GUL3 has many moving parts and is just a IUL with a G which stands for it's Guarantee. The way I understand is, that Guarantee is a rider which cannot be exercised till age 65. If you have sufficient cash value at that time, that CV needs to be locked away in the fixed account(can't borrow or surrender or can't be in the Index account) and the DB it guarantees is determined at that time.

    For example: If $14k per year for 10 years guarantees $1m DB till age 120 and COI changes after a few years, you need to pay more premium or get reduced DB at age 65.

    If you want guarantees, go with GUL or WL but don't get into GUL3. It's very misleading and in my experience, even "expert" agents didn't explain this to me.
     
    pbar, Apr 19, 2019
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  6. Melo5457
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    Melo5457 Expert

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    Thanks Pbar
     
    Melo5457, Apr 20, 2019
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