Universal Life Insurance (UL)

Universal Life is defined as a flexible policy with two components:

  1. Life insurance coverage, and
  2. Cash accumulation.

UL gives you with the flexibility to adjust your premium payment and death benefit, and provides life-long protection with death benefits and may build up cash value.  This policy remains in place for the entire life of the insured individual unless the policy lapses or is cancelled.  If premiums are paid over the life of the policy to keep it in force, there will be sufficient funds to cover the cost of the insurance component (COI) and add to the cash value.  If you do not have a long-term need for life insurance, this could be the wrong type of insurance for you.  This type of policy may work best if your earnings fluctuate from pay period to pay period.

Universal Life Insurance includes:

  • Death benefit (face amount) may be adjusted up1 or down depending on the amount of premium payments you are comfortable with
  • Premium payments are flexible depending on your financial circumstances and after the initial payment is made
  • Premium amounts can be the minimum amount, the target/ideal amount, or a larger amount
  • Cash value earnings are calculated monthly and earn a variable rate of interest
  • Ability to select a payment schedule that fits your needs (annual, semi-annual, quarterly, monthly or a combination)
  • Mortality rates, administrative expenses, and fees apply, and may possibly negatively affect your accumulated cash value should the insurance company’s investment portfolio underperform or premium payments are insufficient
  • Offers a Secondary Guarantee (aka No-Lapse Guarantee). Policies with No Lapse Guarantees tend to have less cash value
  • Premium costs are generally lower than whole or variable life


1Evidence of insurability is required if the face amount is increased.

Guarantees are based on the claims paying ability of the issuing company.


The Investment Representatives at EECU Member Investment Services are registered representatives with, and securities and advisory services offered through LPL Financial (LPL), a registered investment advisor and broker-dealer (member FINRA/SIPC).  Insurance products are offered through LPL or its licensed affiliates.  EECU and EECU Member Investment Services are not registered as a broker-dealer or investment advisor.  Registered Representatives of LPL offer products and services using EECU Member Investment Services, and may also be employees of EECU.  These products and services are being offered through LPL or its affiliates, which are separate entities from, and not affiliated of EECU or EECU Member Investment Services.  Securities and insurance offered through LPL or its affiliates are:

The LPL Financial registered representatives associated with this website may discuss and/or transact business only with residents of the states in which they are properly registered or licensed. No offers may be made or accepted from any resident of any other state.

Not Insured by NCUA or Any Other Government Agency

Not Credit Union Guaranteed

Not Credit Union Deposits or Obligations

May Lose Value


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