Life insurance, as an industry, has emerged from a fringe industry to one of the most flourishing sectors in the business world. The rapidly increasing popularity of Universal Life insurance in Hong Kong and China shows the increasing level of awareness among the people of today, regarding the need to protect the future. It also points to the fact that people have gradually started seeing insurance as a long-term investment perspective, rather than a short term money spinner.
The recent shift from short-term insurances, such as term insurance, shows that the guarantee of a secure future is appealing to the masses. So much so, that they are even ready to pay higher premiums for alternatives, such as universal life insurance, in the initial years, if it promises to take care of their needs in the days to come.
Universal Life insurance in Hong Kong and China has really hit the chord right with the people as it provides a lot of benefits and flexible options to not only save your money but add to it a swell. Young people who have just got their jobs are making insurance investment a priority. This is because if you start early, the investment returns and the accumulated cash value can be used while you still have the vigour left in you!
Loans can also be taken against funds thus collected. Overall, the conventional role of universal life insurance, i.e. a protection for old age is not so rigid anymore as more and more youngsters are using the funds to sponsor retreats, vacations or any other long-dreamt indulgences.
Universal life insurance also provides an opportunity for the owner to try out a bit of stock and market analysis skills as it enables them to choose the securities, debenture or mutual funds where the investment portions of their premiums will be ploughed in. The owner decides the investment inlets as per their estimates or instincts, rather than being stuck with the decision of the insurance company. In addition, the insurance company also helps the owner by providing information material, IPOs, statistics and estimates etc.
The concept of life insurance, and especially Universal insurance with its multi-layered benefits, is sure to be the chosen weapon for many to battle the unseen demons that the future has to offer!