A difficulty with universal life insurance has been that if projections of interest and costs in the policy did not work out, one could lose or “lapse” the policy because of insufficient funds in the policy. Over the last few years some life insurance companies have come up with a method of guaranteeing the insurance amount even if policy cash values were insufficient to keep up the policy.
These are called “secondary guarantees.” How it works is that you make deposits to the policy of at least a minimum premium each year and no matter what happens to interest rates your policy will be guaranteed to pay the death benefit. These secondary guarantees can last a number of years or even to age 100 or beyond. This strategy works well for planning that involves insurance where there’s less emphasis on cash values because if the guarantee does come in, it means the cash values will no longer be there (but the insurance will).
To get quotes for this type of policy for one individual go the universal life insurance quotes section of the www.LifeInsure.com site or for survivorship life insurance (also known as second to die life insurance or joint and survivor life insurance) go to survivorship life insurance quotes page.
Another unique feature that some insurance companies have for these guaranteed universal life insurance policies is a “catch up” feature. You can “underfund” the secondary guarantee universal life policy and if it doesn’t work out then make up the difference between what you paid and what you need to guarantee the policy.