What is Universal Insurance? What are the advantages?

What is Universal Insurance?

Universal insurance is a life insurance that can arbitrarily pay insurance premiums and adjust the death insurance premium, and is a life insurance product that includes two major functions: investment and protection. After the insurance premium is paid to the insurance company, the policyholder will go into two separate accounts, part of the insurance premium will go to the risk protection account for protection, and the other part will go to the investment account for investment.

The policyholder can set the amount of protection and the amount of investment by himself, and can also make appropriate adjustments according to the needs of different periods. The amount of the investment account is invested by the insurance company on behalf of the insurance company, and the interest of the investment is not capped, and there is a minimum guaranteed interest rate.

What are the advantages of universal insurance?

1. The protection function of universal insurance is flexible and diverse

In the past, when buying traditional insurance, the division of protection responsibilities is clear, the various insurance functions are not the same, relatively inflexible, and universal insurance can also be attached to critical illness insurance, accident insurance and other types of insurance, set investment income, death protection, critical illness protection in one, an insurance agreement with multiple protection, not only financial management, but also treatment, pension, but also used as education, better convenience for policyholders.

2. The burden of universal insurance policies is smaller

Traditional insurance generally cannot be changed after the payment method is determined in the insurance contract, and due to the uncertainty of the future payment ability, the policy may increase people's financial burden, while universal insurance will not do so. When the universal insurance policyholder pays a certain amount of premium, he can adjust the amount and time of monthly premium payment according to his own situation, and can even choose not to pay the premium temporarily, the policy will not lapse, and the premium will not be charged late interest.

3. Universal insurance policy account is clearer and clearer

Universal insurance will let the policyholder see a transparent account when applying for insurance, in addition to the monthly announcement of settlement interest, income transparency, the policy will be in accordance with the risk protection provided by the insurance according to the corresponding actuarial data deduction fees, the amount insured, expenses, income, expenses at a glance.

4. The use of universal insurance insurance funds is more flexible

Insurance is often considered a long-term investment, and there is no way to cope with unexpected needs, so the cost of surrender of traditional insurance is high. Universal insurance has a lot of changes in this aspect, it has a high degree of flexibility, and the policyholder can also withdraw the cash in the personal account at any time.

To sum up, the advantages of universal insurance and traditional insurance are: flexible protection, flexible payment, clear policy account, convenient investment and financial management, which solves the problems of most insured users in the future capital pressure, insurance fund management, investment and financial management, etc., so compared with traditional insurance, it is a good choice to insure a universal insurance for yourself or your family.

Compiled from the National Shou Lecture Hall.

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To put it simply, universal insurance is a kind of insurance that not only has a protection function, but also can be used for investment and financial management, with the characteristics of free payment, transparent fees, and flexible collection. In this regard, the following senior sister will briefly popularize the content of universal insurance with you.

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1.Universal insurance analysis.

Under normal circumstances, universal insurance is composed of two accounts, namely an account with protection function and an account with financial management function; Among them, the wealth management account can achieve the purpose of compound interest and appreciation, and make money at a certain interest rate every year.

You should know that in addition to the protection function, the account needs to pay a certain premium every year to get the corresponding protection; If an account with a wealth management function wants to realize benefits, it also needs to invest a certain amount of money, such as initial fees, policy management fees and other expenses are paid in accordance with the requirements of specific insurance products.

Wealth management with universal insurance, stable and safe income? Doxxing universal insurance!

2.Precautions for applying for universal insurance.

The universal account can not only provide us with insurance protection, but also realize "money to make money"; But universal insurance can't be bought indiscriminately, what do you need to pay attention to? Senior sister, I will support you with two tricks:

1) Since universal insurance is a wealth management insurance, it is recommended to configure health insurance such as critical illness insurance before applying for insurance, and then consider wealth management insurance.

2) When applying for universal insurance, be sure to read the terms and conditions of the insurance, especially the deduction ratios such as the initial expenses and policy management expenses mentioned above.

Top 10 [Worth Buying] Universal Insurance Points!

1.It is possible to balance protection and investment. Universal insurance not only provides basic protection to the insured, but also provides investment support to the policyholder.

After all, the annual premiums paid by the policyholder or the survival insurance money paid by the insurance company can be entered into the universal account for compound interest increase;

2.Payment is more flexible. Universal insurance allows the policyholder to choose at will, or even change the payment period, and the policyholder can also choose to defer the payment of premiums, stop paying premiums or make up premiums according to their actual needs, or choose to increase premiums, etc.;

3.The sum insured of universal insurance can be adjusted;

4.The money in the universal account can be withdrawn at any time, but there is generally a limit on the minimum amount to be withdrawn, and if it is withdrawn in full, then it is equivalent to surrendering the policy.

1.The investment cycle of universal insurance is relatively long, the return on investment is relatively slow, and it is more suitable for long-term holding, rather than short-term investment, and it will be difficult to see returns;

2.Surrender may incur losses, especially in the early stage of universal insurance, the insurance company also needs to deduct the cost of protection, so the economic loss that the policyholder needs to bear will be relatively large;

3.There is investment risk.

Universal insurance is a life insurance product that includes two major functions of investment and protection, and the policyholder will enter two accounts after paying the premium to the insurance company, one part will enter the risk protection account for protection, and the other part will enter the investment account for investment. Among them, the initiative to set the protection amount and investment quota is in the hands of the policyholder, which can be adjusted according to the needs of different periods, and the funds in the investment account are invested by the insurance company on behalf of the insurance company, and the investment interest is not capped, and the minimum guaranteed interest rate is set below.

Advantages: 1. Flexible payment. The policyholder can choose to change the premium payment period at will, defer or stop paying the premium when the income changes in the future, continue to pay the premium after three or five years or more, and increase the premium one or more times.

2. The sum insured can be adjusted. Policyholders can choose within a certain range or change the basic sum insured at any time to meet different needs for protection investments.

3. It is convenient to receive the value of the policy account. The policyholder can receive the policy value amount at any time.

Disadvantages: 1. The actual income may be discounted. Universal insurance has a guaranteed return, but the part above the guaranteed return is uncertain.

2. The return on investment is not immediate. When buying universal insurance, consumers should carefully read the part of the insurance terms about costs, knowing that the income part of the previous account will be offset by some expenses, and the product needs to be held for a period of time before it can really generate income.

3. There is a risk of surrender. Since buying universal insurance requires deducting many expenses such as initial costs and risk management fees, the value of the personal account of the policy will be very low in the first few years, so if the surrender loss is very huge.

Extended Materials. What to pay attention to when applying universal insurance:

1. Check the terms clearly. When buying universal insurance, don't just look at the insurance liability, but also understand the percentage of the initial fee, policy administration fee, and risk management fee. You can roughly calculate how long it will take to pay for yourself.

2. Understand the settlement interest rate of the account in the recent period. The interest rate of universal insurance is generally settled on a monthly basis. When applying for insurance, you can first understand the settlement interest rate of the insurance in recent months to determine whether it is worth buying.

When buying insurance, we should pay attention to the principle of protection first and then financial management, and when considering the purchase of universal insurance, you should first improve other basic protection.

1. Advantages of universal insurance: flexible payment: you can choose and change the payment period at will, and you can postpone or stop paying the premium.

Second, the disadvantages of universal insurance:

1. Long investment cycle: The income of the previous account will be offset by some expenses, and it is difficult to see the income for short-term investment, and the product needs to be held for a period of time to really generate income.

2. Large surrender loss: the initial cost is high, the initial cost is linked to the investment time, the longer the investment time, the lower the proportion of deduction expenses, so the early surrender loss is larger.

Extended information: 1. Universal insurance is a kind of life insurance that has both protection and financial management functions. The income of universal insurance mainly depends on several interest rates:

1. Guaranteed interest rate: This will definitely be obtained, generally between;

2. Expected interest rate: also known as the demo interest rate, the insurance person will use the highest settlement interest rate of the latest year to demonstrate to you, so that you feel that you can really get so much money in the end; Balancing protection and investment: The premiums of universal insurance are mainly used to provide protection and make investments.

3. The actual settlement interest rate: This is what you can actually get in the end, it will fluctuate, and it may reach 4% or even higher.

4. Universal insurance is flexible and conditional, and after deducting various expenses, there is little income left.

Second, universal insurance, suitable for whom to buy:

1. Young people who have just worked and do not have a lot of income are not suitable for young people with limited income, and if they buy universal insurance with all these funds, they will lose a lot of money once economic risks occur.

2. Middle-aged people with heavy family responsibilities are not suitable.

If you are old and young, and you still have to pay off the mortgage and car loan, you should be equipped with sufficient protection insurance at this time, and make the leverage higher, rather than buying universal insurance.

3. Older people are not suitable for older people to buy universal insurance, and the cost of your protection account will be very high, and it will continue to increase with age. Universal Insurance's Account Transparency Universal Insurance offers a transparent account design. The proportion of premiums paid minus initial charges, cost of protection and the proportion of the premiums paid into the investment account are clearly stated.

The advantage of universal insurance is that it is flexible, and the disadvantage is that there are more expenses deducted from the universal account.

If you don't know the difference between universal insurance and other financial insurance, you might as well take a look at this article: What is the difference between participating insurance, universal insurance, and increased whole life insurance? Which one is the most cost-effective.

Considering that some friends are not familiar with universal insurance, the senior sister will give a brief introduction first.

Universal insurance is a kind of life insurance with insurance protection function and a universal account, which can be understood as "life insurance protection + 1 investment account".

1. Advantages of universal insurance.

The "omnipotence" of universal insurance is mainly reflected in its flexibility.

Subject to the requirements of the insurance contract, the universal account can be added at any time and cash can also be withdrawn at any time.

If you want to know more about the operation of the universal account, you can read this comprehensive popular science: Wealth management with universal insurance, stable and safe income? Doxxing universal insurance!

2. Disadvantages of universal insurance.

Every money that is ready to enter the universal account must be deducted from the initial fee first, and some products will also charge handling fees, etc., so that the remaining part of the money can be added to the universal account.

In addition, the universal account will also deduct the cost of protection on a regular basis, which is calculated based on age, risk level, etc., and will be ** year by year.

Therefore, the upfront income growth rate of universal insurance is slower and the payback time is longer.

Speaking of which, friends who want to manage their finances through universal insurance don't have to be too discouraged, the senior sister has counted ten excellent financial products, and you can shop around and decide: Top 10 financial insurance rankings Want to buy high-yield financial insurance? Don't miss out on these 10 again!

Advantages of universal insurance:

1. Flexible payment. The policyholder can choose to change the premium payment period at will, either by deferring or withholding the premium payment when there is a change in income in the future, or by making a premium payment after three to five years or more.

2. It is convenient to receive the value of the policy account. The policyholder can receive the policy value amount at any time.

Universal insurance can not only buy protection, but also manage money, so this kind of product is very concerned, but this insurance industry"Family bucket", really enough"Warranty"Is it?

In fact, this is not necessarily the case, this type of insurance only seems to be complete, but universal insurance usually has the following problems:

For example, the premium is not low, the cost performance is low, and sometimes some products purchased separately will be much cheaper than the products in universal insurance; Another point is that it seems that everything is guaranteed, but in fact, the amount of insurance for each item is very low, generally speaking, we pay the most attention to the amount of insurance when buying insurance, and the insurance with a high amount of insurance is worth buying; In addition to what I just said, there are some points that need to be understood clearly, the space is limited, and if you want to know, click directly on the original article to view:"About universal insurance, these are the things you need to know! 》

The income of universal insurance is also worth paying attention to, let's talk about this situation, now the guaranteed interest rate of universal insurance on the market is not higher than 3%, not less than, generally floating between this, in addition to the fixed guaranteed interest rate of this part of the income, more than the guaranteed interest rate of the part will also have income, but the specific situation can not be determined, and finally it depends on the operation of the insurance company. From this point of view, the income of universal insurance is not very high, far less than annuity insurance with special financial management functions. If you want to know more about annuity insurance, you can check out this article:

"Top 10 Annuity Insurance Points Worth Buying! 》

Combined with the above, the omnipotence of universal insurance lies in the fact that it can have a variety of functions such as protection and financial management at the same time, but you must know that it does not mean that the more functions the better, but the more functions can not meet the initial expectation of buying insurance. This kind of insurance allocation idea is more reasonable for most people: buy protection insurance products first, and then do financial management when conditions permit.

[Written at the end].

I am [Xueba Says Insurance], focusing on objective, professional and neutral insurance evaluation;

I will give you the most professional advice with years of experience in configuring insurance for 10w+ families.