628 Financial tips and laws for today and tomorrow

Here are the best tips to benefit from your life insurance while still alive.

Tip 1:

If your policy has built up enough cash value, use that amount to pay the premium.

• Note: Keep a watch on your cash value balance so it doesn't fully deplete; otherwise, your policy might lapse.

Tip 2:

Surrender your policy and withdraw the cash value if you no longer need the coverage.

• Note: Be aware that this move will terminate your policy.

Tip 3:

Instead of dipping into your investments early take out a loan from your policy.

• Note: Remember to clear this debt so your heirs get the full death benefit.

Tip 4:

With the living benefit rider addendum, you can receive some of the benefit sooner to cover medical costs if you’re declared terminally ill.

• Note: This requires a fee.

Tip 5:

Sell your policy through life or viatical settlement to a third party if you need cash soon.

• Note: Keep in mind that the payout likely won’t be as much.