Some buyers want permanent protection with room to adjust premiums and benefits. Universal life insurance is a flexible permanent policy that separates the pure insurance charge from an accumulation account credited with interest. The owner can vary premium payments and, within limits, change the death benefit.

Monthly deductions for the cost of insurance and expenses are taken from the account value. If the account stays sufficiently funded, the policy remains in force for life. Low credited rates or high insurance charges can cause the policy to lapse unless additional premiums are paid.

Illustrations show how the account might perform under assumed interest rates; actual results differ. Policyholders should review annual statements to confirm the policy is funding as expected. Universal life suits those who want permanent coverage with more flexibility than traditional whole life provides.

• Flexible permanent life insurance with savings element
• Adjustable premiums and death benefits
• Account value supports the coverage
• Requires monitoring to avoid unintended lapse