Universal Life

Offers you several choices in flexible coverage

Universal Life (UL) is a popular alternative to whole life insurance. The following UL policies offer you the security and cash accumulation of whole life combined with flexible premiums and adjustable benefits:

• Universal life offers a no-lapse guarantee option, an extended maturity provision, and competitive premiums.
• Universal life has competitive premiums. This DeSpenza Capital Management, LLC product provides both insurance protection and long-term cash accumulation.
• Universal life is designed especially for large, lump-sum premiums. It has a high crediting rate and rapid, early cash-value growth.
• Second-to-die universal life is excellent for retirement and estate planning, including wealth transfer and payment of estate taxes.
• Second-to-die universal life has all the benefits of Legacy Survivor plus a no-lapse guarantee option.
• Combines life insurance with professionally managed investment sub-accounts.
• Combines a death benefit with professionally managed investment sub-accounts.

With its extraordinary package of features and benefits, DeSpenza Capital Management, LLC universal life is unlike most other universal life products. This new UL product combines the security you need today with the flexibility you want in the future. UL can protect you for as long as you live, regardless of current and future economic conditions. It can be adapted to a variety of needs and situations, while building exceptional cash value for living needs.

UL guarantee not dependent on cash value
Most universal life policies guarantee to pay a death benefit if the policy is active at the time the insured dies. But the same contracts don't guarantee that the policy will be active at the time of the insured's death. In fact, most UL policies lapse (the life insurance protection ceases) when the cash value decreases to zero.

DeSpenza Capital Management, LLC UL is different: It can guarantee protection until the insured's death whether or not there is cash value the life insurance guarantee is not dependent upon the existence of cash value, the performance of the stock market, the interest rate credited to the policy, or changes in policy expenses. The life insurance benefit is simply guaranteed by the payment of a specified premium.

With UL, the regular payment of premiums can result in greater policy cash values compared to other “no-lapse guarantee” UL policies, which typically do not build cash values to any significant degree. Most UL policies that build substantial cash values do not have a no-lapse guarantee.

This UL guarantee is also different in that it is available on both death benefit options—level and increasing. Practically no other universal life product offers such a guarantee on both death benefit options.

The UL also features a unique provision that allows a one-time transfer of cash value to increase the policy's no-lapse value. This benefit can be used as a “catch-up” opportunity to extend the guaranteed protection period, without having to pay additional premium.

Flexible lifetime options and features in addition to the death benefit, policy owners can take advantage of the following UL policy features during their lifetime:

1. Increased no-lapse value. UL policy owners have an option unlike any other universal life insurance product. As early as age 75, policy owners can use the accumulated cash value to enhance and extend the no-lapse guarantee and potentially reduce or stop paying premiums. This benefit is included in all UL policies at no additional cost.
2. Cash withdrawals. The policy owner may withdraw cash from the policy at any time. Cash withdrawals from other companies' universal life policies usually result in a reduction of the policy insurance benefit . With option A death benefit, the owner may withdraw cash from the UL policy's cash value without reducing the life insurance benefit if the withdrawal does not exceed 10 percent of the cash value or $15,000, whichever is less. DeSpenza Capital Management, LLC gives policy owners' access to the cash values without sacrificing their life insurance protection.
3. Loans . The policy owner can borrow against the policy at favorable rates. Preferred loans—often referred to as “wash loans”—are available that allow them to borrow against the gain in the policy at zero net cost: the interest rate credited on preferred loans is the same effective interest rate charged on the borrowed funds. With most UL products, there is a 2–4 percent difference between the interest rate charged on the borrowed funds and the interest rate credited to the cash value. That difference is not only a significant cost, but can adversely affect the performance and longevity of a policy with an outstanding loan.
4. Flexible premiums. Universal life policies permit the policy owner to increase, and sometimes decrease, premiums over the life of the policy. The policy allows for payment of additional premiums that can increase the growth of the cash value and/or the death benefit. If the policy owner doesn't want to pay premiums until death, DeSpenza Capital Management, LLC can calculate a premium he or she may pay for a specified period of time that will result in guaranteed permanent life insurance protection. No life insurance product better accommodates changing financial pressures and economic conditions than universal life.
5. Competitive interest rates. The UL policy is interest-sensitive, so the cash value earns current market interest rates. The cash value is also protected by a guaranteed minimum crediting rate stated in the policy. The UL traditionally increases the credited interest rates of policies that have been active for 20 years or longer.
6. Tax-free growth. Under most circumstances, the cash value grows tax-free. Interest on the cash value compounds tax free, producing a greater amount of money than if it was taxed every year.
7. Extended maturity. A policy that matures is subject to income taxes on the entire gain in the policy. Most UL policies have a maturity date. Universal life policies that do offer an extended maturity date usually require cash value in the policy when it matures to continue coverage, or they change the insurance benefit to only be equal to the policy's cash value on its maturity date. UL policies never automatically mature.
8. New mortality table. Insurance costs for UL are based upon the latest industry mortality table that extends life expectancy to age 120. The benefit of this new table is passed on to policy owners in the form of lower premiums.
9. Adjustable coverage . The policy owner may increase (with proof of insurability) and decrease coverage.
10. Enhanced living benefits. Withdrawal and loan features are not the only living benefits provided by a UL policy. The following three benefits are included at no cost:

Feel free to contact us for a no obligation, no cost analysis of your investment portfolio. Our clients benefit from our counsel and process of customized service. We are not just selling a single investment or idea. DeSpenza Capital Management, LLC is proposing a serious investment process by which you can manage you money for a lifetime. Please contact us for a free Complimentary Consultation to discuss diversification opportunities for income, savings, and legacy. This intro page gives you a brief synopsis of each investment category of service we offer.

  Complimentary Consultation

  877-337-7369

email: adespenza@despenza.com

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