Printer Friendly
Dictionary, Encyclopedia and Thesaurus - The Free Dictionary
3,898,189,578 visitors served.
forum Join the Word of the Day Mailing List For webmasters
?
Dictionary/
thesaurus
Medical
dictionary
Legal
dictionary
Financial
dictionary
Acronyms
 
Idioms
Encyclopedia
Wikipedia
encyclopedia
?

Variable Life Insurance Policy

    0.03 sec.
Variable life insurance policy
A whole life insurance policy that provides a death benefit dependent on the insured's portfolio market value at the time of death. Typically the company invests premiums in common stocks, so variable life policies are referred to as equity-linked policies.

Variable Life Insurance
A whole life insurance policy in which some, or all, of the premium is allocated to a separate account, which is invested in common stock. If the common stock portfolio does well, the death benefit increases accordingly; if it performs poorly it decreases, though all variable life insurance policies have a benefit floor. A significant advantage to a variable life insurance policy is the fact that the policyholder does not have to pay taxes on earnings from the portfolio until it is cashed in, usually through death. In the United States, variable life insurance policies are considered securities contracts and, as such, they are regulated by federal law.


Want to thank TFD for its existence? Tell a friend about us, add a link to this page, add the site to iGoogle, or visit the webmaster's page for free fun content.
?Page tools
Printer friendly
Cite / link
Feedback
Add definition
Mentioned in?  References in periodicals archive?   Financial browser?   Full browser?
 
2: Variable Life Raiford priced a $1 million variable life insurance policy for a healthy 40-year-old man in New York.
This tool uses Monte Carlo simulations and evaluates the probability that a variable life insurance policy will mature according to expectations or disappear before the client's eyes.
Miscolta pointed out that a variable life insurance policy is primarily purchased to provide death benefit protection and owning a policy requires decisions about diversifying net premiums and accumulated value among the product's variable and fixed investment options.
 
 
 
Financial Dictionary
?

Terms of Use | Privacy policy | Feedback | Advertise with Us | Copyright © 2012 Farlex, Inc.
Disclaimer
All content on this website, including dictionary, thesaurus, literature, geography, and other reference data is for informational purposes only. This information should not be considered complete, up to date, and is not intended to be used in place of a visit, consultation, or advice of a legal, medical, or any other professional.