Life Insurance is the most neglected financial product by many, where in fact, it is the most important asset to have, especially by breadwinners of the family. In earlier years, if you introduced yourself as an “insurance agent”, people will automatically try to avoid you. Why? Because people perceive life insurance as related to death and buying it is like a premonition of dying.
But today is different from yesterday. Everything is evolving, and Life insurance is no exemption. In line with the fast changing need of human, insurance companies have also introduced Variable Unit Link (VUL) or Unit Link Product (ULP)! This is a life insurance policy with an investment component attached to it. This have truly adapted with Filipino’s attitude towards packaged items. We love to buy value meals! And in that sense, VUL is its counterpart on insurance. You get to have insurance coverage and investment fund at the same time. Amazing right?!
In a VUL product, aside from having a life insurance, a portion of premium is being placed in an investment fund which could serve as savings for a particular goal in life like retirement fund or educational fund for your children. In other words, it’s like hitting two birds in one stone. Life Insurance is essential as it is considered as income continuation for those who will be left by the insured once he died. It’s about securing your loved ones financially anytime an unexpected happens. On the other hand, investment fund is equally important. This is one vehicle on how to achieve one’s dream or goal in life.
VULs are also flexible in terms of budget allocation. Payment of premium varies from 5 year, 7 year or 10 year-pay period. One-time payment is also available, which is commonly preferred by someone who has a bulk of extra money to be used for investing. Another option is a regular-pay VUL, with this, the insured is expected to pay for the premium for the rest of his life or until he surrenders his policy. Payment can also be made annually, semi-annually, quarterly, and even monthly.
If you are still deciding whether VUL is the right plan for you, you can contact me anytime and I’m much willing to conduct Free Financial Planning with you! Kindly like and contact me thru my fb page www.facebook.com/mannypascualpagaduan.