What is that thing mean in those life insurance commercials?

Question

They keep saying your benefits will never decrease and your premium never increase?

Answer 1

Good question.

It means that the life insurance coverage they are explaining is a form of whole life insurance protection.

The premiums will never increase for your entire life. You'll never have to pay more money than you currently pay for that policy.

The coverage amount remains the same for your entire life. As long as the premiums are paid, your coverage will remain in force.

Also, whole life policies build cash value within the policy which you may take a loan from in the future - you pay yourself back the money into the policy at a specified rate of interest. You're actually paying yourself back. The money grows tax-deferred within the policy. The cash value of the policy is paid to the benficiary upon the insured's death, in addition to the face amount, or death benefit of the whole life insurance policy.

I hope that helps! Take care.

P.S. - If you are interested in whole life insurance protection, take a look at http://www.simplewholelife.com/launch.aspx?refnumber=000002341-035-055&roi=FOIQA-1-750.html

Answer 2

It means that the benefits (the amount paid when you die) will never shrink. It also means that your premiums will never go up.

So if you buy a policy for $50,000, it will always be worth $50,000 (some policies adjust the payout up or down over time). If your premium is $50/month, it will be that until you die (also some policies will adjust the premium or monthly payment over your lifetime).

Hope this answers your question.

Answer 3

The benefit is the death benefit, the amount of money the insured person's heirs will receive when the insured person dies.

The premium is the amount paid to the insurance company each year (or month or whatever).

p.s. I wouldn't put too much stock in Ric Zenbach's response. One of his questions has the word "reguardlessly" in it.

Answer 4

You are a retard. "What is that thing mean..." Makes no sense. A benefit is something that works in your favor, decrease means less than once was, premium is your payment, increase is the antonym of decrease. You figure it out, there are all of the pieces to your puzzle. I can't get over how dumb people can be sometimes.

Answer 5

The benefit is small and a few years premiums guarantee them a profit.

Answer 6

It means if you have a 25,000 dollar death benefit, it will always be at that level as long as you pay your premiums. And that your premiums will always be the same amount.

Answer 7

As you get older, you are insured for less and pay more per month. The example you gave states these things will not happen with their company.

Answer 8

It means it's a whole life insurance policy.