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Digg it UP - New Kid on the Block - Indexed Universal Life
Crisis Management is a critical part of life, no matter who we are or what is our vocation. Handling matters such as the downsizing of a company or trauma in the workplace are often cause to take positive action in finding the way to great success. This lesson can only be discovered if purpose and the urge to move forward can be achieved.It took twelve years to get far enough past the crisis and trauma of my kidnapping, torture and rescue to be able to relay my story. It was in January of 1992 I was a businesswoman, wife and mother of two when I found myself caught up in the political disintegration of the
When you speak with your life insurance agent about IUL, there are a few new terms you will need to understand:
1. Crediting Options
Crediting options are the math behind how the insurance company determines how much to credit your cash value at the end of each crediting period. The two most common are point to point and monthly average.
Point to point loo
First off, you need to know what an ecommerce solution is. An ecommerce solution can be defined in many ways. An ecommerce solution is a way to define electronic shopping carts. An ecommerce solution is used for businesses that sell things on the web. An ecommerce solution makes it possible for any sale or transaction to be made. They enable the use of credit cards and other forms of payment to be used right on your website. It is used for large companies like Ebay or Amazon. But now an ecommerce solution is for small companies and businesses as well.There are other aspects and definitions of this sub
Now there is a new kid on the block: Indexed Universal Life.
Here are the salient features:
1. Indexed Universal Life (IUL) is similar to Universal Life (UL); premiums and death benefits are flexible. You can increase or decrease premiums, or even stop them altogether. As your situation changes, you can decrease or increase (subject to insurability) the death benefit.
2. IUL is similar to Variable Life (VL) or Variable Universal Life (VUL) as the cash value is based on the increases of one or more stock indexes. The most common are the DJIA, NASDAQ 100 and the S & P 500.
Variable Life contracts allow direct investment in equities, much like a mutual fund. Indexed Universal Life policies do not invest directly in equities, so you do not have the same downside risk. The insurance company assumes all the risk.
If the index that you have chosen goes up over a given time frame (usually one year), your cash value goes up. However, if the index goes down, your cash value either stays the same or is credited with a minimum guaranteed interest rate, i.e. 2%.
3. How cool is that? If the market goes up, you get to participate in the growth. However, if the market goes down, your account doesn't go down; it stays the same. It gets even better. Any gains are locked in. They can never be taken away due to future decreases in the market. It's like walking up a flight of stairs. If the market goes up, you take a step up; if the market goes down, you stay where you are.
4. Indexed Universal Life has only been around for a few years. Only a few companies offer this contract. However, since 2000 the annual growth rate for this type of policy has been 24%.
When you speak with your life insurance agent about IUL, there are a few new terms you will need to understand:
1. Crediting Options
Crediting options are the math behind how the insurance company determines how much to credit your cash value at the end of each crediting period. The two most common are point to point and monthly average.
Point to point look
Site usability. It sounds a complex term that is thrown around by high-paid web design experts – but the reality of it is quite simple: Is the user of a website able to do or find what they set out to accomplish on your website?If they came to buy something, did they find it and successfully purchase it? If the user was doing research, did he find the information he was looking for? Or if he was trying to create something using tools on your site, was he able to complete the task without getting stuck somewhere along the way?It’s just that simple. Does your site make your users successful at wha
1. Indexed Universal Life (IUL) is similar to Universal Life (UL); premiums and death benefits are flexible. You can increase or decrease premiums, or even stop them altogether. As your situation changes, you can decrease or increase (subject to insurability) the death benefit.
2. IUL is similar to Variable Life (VL) or Variable Universal Life (VUL) as the cash value is based on the increases of one or more stock indexes. The most common are the DJIA, NASDAQ 100 and the S & P 500.
Variable Life contracts allow direct investment in equities, much like a mutual fund. Indexed Universal Life policies do not invest directly in equities, so you do not have the same downside risk. The insurance company assumes all the risk.
If the index that you have chosen goes up over a given time frame (usually one year), your cash value goes up. However, if the index goes down, your cash value either stays the same or is credited with a minimum guaranteed interest rate, i.e. 2%.
3. How cool is that? If the market goes up, you get to participate in the growth. However, if the market goes down, your account doesn't go down; it stays the same. It gets even better. Any gains are locked in. They can never be taken away due to future decreases in the market. It's like walking up a flight of stairs. If the market goes up, you take a step up; if the market goes down, you stay where you are.
4. Indexed Universal Life has only been around for a few years. Only a few companies offer this contract. However, since 2000 the annual growth rate for this type of policy has been 24%.
When you speak with your life insurance agent about IUL, there are a few new terms you will need to understand:
1. Crediting Options
Crediting options are the math behind how the insurance company determines how much to credit your cash value at the end of each crediting period. The two most common are point to point and monthly average.
Point to point loo
Health insurance is always a good thing to have. Some might say that it is mandatory to have one for you and your family. With the ever-rising medical costs, having an insurance (or load and loads of money!) seems to be the only way with which one can afford decent medical care.But getting the right health insurance is not so easy.There does not exist a “perfect” insurance plan provided by a “perfect” insurance company. There only exists a whole myriad of insurance plans covering some form or another of your medical needs. Sifting through these choices and finding the choice that suits you best c
Variable Life contracts allow direct investment in equities, much like a mutual fund. Indexed Universal Life policies do not invest directly in equities, so you do not have the same downside risk. The insurance company assumes all the risk.
If the index that you have chosen goes up over a given time frame (usually one year), your cash value goes up. However, if the index goes down, your cash value either stays the same or is credited with a minimum guaranteed interest rate, i.e. 2%.
3. How cool is that? If the market goes up, you get to participate in the growth. However, if the market goes down, your account doesn't go down; it stays the same. It gets even better. Any gains are locked in. They can never be taken away due to future decreases in the market. It's like walking up a flight of stairs. If the market goes up, you take a step up; if the market goes down, you stay where you are.
4. Indexed Universal Life has only been around for a few years. Only a few companies offer this contract. However, since 2000 the annual growth rate for this type of policy has been 24%.
When you speak with your life insurance agent about IUL, there are a few new terms you will need to understand:
1. Crediting Options
Crediting options are the math behind how the insurance company determines how much to credit your cash value at the end of each crediting period. The two most common are point to point and monthly average.
Point to point loo
What is Pip?Pip stands for percentage in point. It is the smallest price unit of a currency.In Forex (foreign exchange), each currency has different value of 1 pip. 1 pip is equal to 1 point at the last number on each currency pair. For example, if you see Eur/Usd are traded at 1.2945 then price moves to 1.2946. We could say that price is moving upward for 1 pip. And if price moves to 1.2950 then we could say that price is moving upward for 5 pips.Other example, Usd/Jpy are traded at 117.10. If price moves to 117.11 then we could say that price is moving upward for 1 pip. And if it moves to 11
3. How cool is that? If the market goes up, you get to participate in the growth. However, if the market goes down, your account doesn't go down; it stays the same. It gets even better. Any gains are locked in. They can never be taken away due to future decreases in the market. It's like walking up a flight of stairs. If the market goes up, you take a step up; if the market goes down, you stay where you are.
4. Indexed Universal Life has only been around for a few years. Only a few companies offer this contract. However, since 2000 the annual growth rate for this type of policy has been 24%.
When you speak with your life insurance agent about IUL, there are a few new terms you will need to understand:
1. Crediting Options
Crediting options are the math behind how the insurance company determines how much to credit your cash value at the end of each crediting period. The two most common are point to point and monthly average.
Point to point loo
I gave some advice recently to someone who’s website wasn’t quite ready. They owned the domain, they had the hosting organised, but because their website wasn’t ready they just let the webhost default page stay there. To me that’s a waste of valuable online real estate ! why advertise your host when you are paying them and it should be YOU getting the benefit if anyone happens to come across your site. So what do you do?Well for a start,don’t put up one of those annoying “under construction” banners, if anything is going to drive people away from your website that will. It also gets frustrating if you pu
When you speak with your life insurance agent about IUL, there are a few new terms you will need to understand:
1. Crediting Options
Crediting options are the math behind how the insurance company determines how much to credit your cash value at the end of each crediting period. The two most common are point to point and monthly average.
Point to point looks at the value of the stock index you chose at the beginning of each contract year and compares it to the value at the end of the point-to-point period. This is normally one year, but could be 2 or 5 years, depending on your contract choice.
Whatever happens in the interim doesn't matter. You could have a very high growth rate if the market and the corresponding index have a growth spurt during the last few months of the term. On the other hand, you could end up with a healthy loss if the index takes a dive during the latter part of your term with what to a regular investor would be a gain for the year.
The monthly average method takes a reading of the index each month. Then at the end of the year, adds them up and divides by twelve. This approach tends to smooth out the fluctuations.
Which one is better? It depends on your tolerance for risk and how the market performs during your policy's time frame. Since a life insurance policy is a long-term proposition, in the real world both should end up about the same over an extended period of time.
2. Participation Rate
Participation rate is the percentage of the increase in the index credited to your Indexed Universal Life policy each year. It could be, for example, 55%, 80%, 100% or 135%. Any given percentage rate is not necessarily better than another. It is simply the insurance company’s way of factoring in their downside risk and is a component that allows you to negate a cash value decrease if the market goes down.
3. Cap Rate
The cap rate is the maximum rate of return the insurance company will credit to your policy each year. For example, if the cap rate is 12% and the index you chose went up 10%, your policy is credited with a 10% gain. However, if the index increased 15%, your policy is credited with 12%, the cap. Not all Indexed Universal Life contracts have a cap. Participation rates and cap rates work in conjunction with each other.
Indexed Universal L
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