Single-Premium Life Insurance

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Dictionary Says

Definition of 'Single-Premium Life Insurance'

An insurance plan in which a lump sum of cash is paid up front to guarantee payment to beneficiaries. Because single-premium policies are instantly fully funded, the money invested builds up rapidly, making for a potentially sizable benefit even in the event of the policyholder's sudden death. Following the Tax Reform Act of 1986, this type of insurance policy became a popular tax shelter.

Investopedia Says

Investopedia explains 'Single-Premium Life Insurance'

There are a couple of popular single-premium policies: 1) Single-premium whole life, which offers a fixed interest rate paid by the insurance company which taken on any potential risk rather than the policy holder; and 2) Single-premium variable life, which allows policy owners to select from a menu of professionally managed financial portfolios.

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Search results for

'Single-Premium Life Insurance'

  • A Look At Single-Premium Life Insurance

    http://www.investopedia.com/articles/pf/05/SinglePremLife.asp
    A Look At Single-Premium Life Insurance. ... With single-premium life insurance, the
    cash invested builds up quickly because the policy is fully funded. ...

  • What To Expect When Applying For Life Insurance

    http://www.investopedia.com/articles/pf/08/what-to-expect-insurance-application.asp
    ... Life Policies: Whole Vs. Universal, Variable Vs. Variable Universal Life
    Insurance and A Look At Single-Premium Life Insurance. ...

  • Variable Vs. Variable Universal Life Insurance

    http://www.investopedia.com/articles/pf/07/variable_universal.asp
    ... To continue reading on this subject, see Buying Life Insurance: Term Versus
    Permanent and A Look At Single-Premium Life Insurance.). ...

  • Life Insurance Clauses Determine Your Coverage

    http://www.investopedia.com/articles/pf/06/lifeinsuranceclauses.asp
    ... see How Much Life Insurance Should You Carry?, Buying Life Insurance: Term Versus
    Permanent and A Look At Single-Premium Life Insurance.) Beneficiary Clause ...

  • How To Avoid Taxation On Life Insurance Proceeds

    http://www.investopedia.com/articles/pf/06/transferlifeinsurance.asp
    ... (For further reading, see Buying Life Insurance: Term Versus Permanent and A Look
    At Single-Premium Life Insurance.). Advertisement - Article continues below. ...

  • How are life insurance proceeds taxed?

    http://www.investopedia.com/ask/answers/09/life-insurance-tax.asp
    ... group plans or accident and health insurance contracts. If a policy is combined
    with a non-refund life annuity contract where a single premium is equal to the ...

  • Insurance: Avoiding The Modified Endowment Contract Trap

    http://www.investopedia.com/articles/insurance/10/avoid-modified-endowment-contract-traps.asp
    ... cash-value life insurance, and therefore many life carriers tried to take advantage
    of this feature in the late 1970s by offering single-premium and universal ...

  • How Much Life Insurance Should You Carry?

    http://www.investopedia.com/articles/pf/06/insureneeds.asp
    ... (To learn more about life insurance types, see Buying Life Insurance: Term Versus
    Permanent, A Look At Single-Premium Life Insurance and What is the difference ...

  • A New Approach To Long-Term Care Insurance

    http://www.investopedia.com/articles/retirement/06/NewLTCPlan.asp
    ... best features of life insurance and long-term care into one design; it is typically
    sold as a universal life contract that requires a single premium and that ...

  • Investopedia

    http://www.investopedia.com/ask/ViewFAQPrintable.aspx?url=%2fask%2fanswers%2f09%2flife-insurance-tax.asp
    ... group plans or accident and health insurance contracts. If a policy is combined
    with a non-refund life annuity contract where a single premium is equal to the ...

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