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does term life insurance premium increase?

Losing out on cash value savings, one of whole life's main benefits

Your Policy could be cancelled if you cannot pay your premiums as they increase. You may also be subject to high surrender fees. Your family could lose financial protection under your policy.

Prices cannot increase over time. There is no way to decrease coverage; the Policy cannot be cancelled at any time.

You still pay more for your coverage than for term life insurance

The most important fact about life insurance is that there are many options.

The good thing about a whole-life modified policy is that people with severe health conditions can obtain new coverage. Modified life plans usually have little or no medical/lifestyle insurance. You can still get new coverage even if your condition is severe. Depending on your current health condition, you may need to modify your whole life.

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can i cancel whole life insurance

For example, if a company grants 10% interest and you made $1000 in payments, you will get back $1100 (if death occurred during the waiting period).

Are you curious about modified whole-life Insurance?

Premiums: Standard whole life Insurance has the same premiums, but modified whole life premiums change only once.

can i cancel whole life insurance
what happens to social security benefits when spouse dies?

what happens to social security benefits when spouse dies?

A modified whole life insurance policy is something you should seriously consider.

Some modified whole-life policies won't let you contribute to your Policy cash value during the initial period.

Modified whole life insurance offers lower premiums for a short time (usually two to three years but occasionally up to five or 10), followed by a higher rate for the remainder of the Policy. The initial savings may be tempting, but it's not the best life insurance policy for most people because of the high premiums and complicated policy options.

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Although the death benefit protection is the same, premiums are not equal.

Insurance companies prices and quality of life are significant factors in their competition.

First, you will almost certainly have the option of a modified whole-life contract. Senior citizens over 80 are exempt from this rule. Modified plans can only be obtained by those over 80.

what is a flexible premium adjustable life insurance policy?
what is a flexible premium adjustable life insurance policy?

Also known as modified premium whole life, a modified whole life policy comes with low introductory premiums. The premium goes up only once after the introductory period and remains the same the rest of the time the Policy is in force. Buying a modified premium policy is a way to obtain a higher death benefit sooner, before you'd typically be able to afford the premiums, instead of waiting to buy Coverage or buying more Coverage when you're older.

Many modified whole-life policies don't allow you to contribute to your Policy's cash value during the introductory period.

The company will determine the amount of interest granted. Understanding that the interest granted will be based on your premiums and not the death benefit.

modified life insurance policy

Below are a few common health issues you could likely qualify for a non-modified whole-life policy.

This section will help you understand the details of these Plans, their actual prices, and whether this Policy is suitable for you.

This contrasts with traditional or level life insurance policies, where premiums are locked in and stay the same over time.

modified life insurance policy

Frequently Asked Questions


Modified whole life insurance offers lower premiums for a short time (usually two to three years but occasionally up to five or 10), followed by a higher rate for the remainder of the policy.



CEO, The Annuity Expert. A Modified Endowment Contract, or MEC, is a life insurance policy modified from the traditional whole life insurance policy. A MEC offers tax-deferred growth and allows you to take out loans against the policy's cash value without penalty.