Angie from Albuquerque, New Mexico called me yesterday to ask me:”Are there four types of Permanent Life Insurance?”

Albuquerque, New Mexico is the home to the University of new Mexico and Kirtland Air Force Base. The town was built in the traditional Spanish village pattern; a central plaza surrounded by government buildings, homes and a church. The population of the city is estimated at 504,949.

Yes Angie. There are four types of Permanent Life Insurance

Universal Life Insurance: is a type of permanent life insurance based on a cash value.

Variable Universal Life Insurance: is a type of life insurance, that builds a cash value, the cash value can be invested in a wide variety of separate accounts.

Whole Life Insurance: is a life insurance policy that remains in force for the insured persons whole life and requires premiums to be paid every year into the policy.

Variable Whole Life Insurance: premiums are generally lower in the first years of the policy and higher in later years. This is designed for persons with limited financial resources but have the promise of higher resources in later years. The total over the period of the policy would be equivalent to the straight whole life policy.