Universal Life Insurance | Allstate

Universal Life Insurance | Allstate
X
X

Universal Life Insurance

Helps provide a financially secure future for your loved ones along with a cash fund you can access during your lifetime.
Enroll

Here's what you need to know

Universal Life Insurance delivers valuable financial security for your family with an additional cash fund feature for you.

 

Loved ones may rely on you for living expenses like a mortgage or rent, car loan, credit cards, groceries, and more. Your income is also essential for financing savings for future goals such as college for children and retirement. What happens if your “safety net” isn’t large enough?

 

Universal Life Insurance will provide a cash benefit to your family in the event you and your income are no longer there to support them. And unlike some other types of life insurance policies, this plan also has a cash fund feature that you can use during your lifetime. Features of Universal Life Insurance include:

 

  • Cost and convenience. Premiums are affordable and you have the convenience of payroll deduction. Payments are automatically taken from your paycheck on a post-tax basis.
  • Coverage for you. You choose the death benefit amount to leave behind for your loved ones.
  • Coverage for spouse/children. Coverage is available through a separate certificate or rider.1

As you plan for your future, one of the best ways to protect your family is to have robust life insurance in place. And because you have the advantage of the cash fund feature, this plan delivers even more value for you and your family.

 

This coverage is a wise way to plan for life’s “what if” situations. What if you leave your job and need to keep your life insurance? What if you get a diagnosis in the future and can’t qualify for more coverage? What if you need a source of cash for something unexpected or something important you want to have?

 

There are 2 ways to use Universal Life Insurance coverage to your advantage:

 

  • Use it to create/strengthen the financial game plan you have in place for your family in the event you (and your income) aren’t there to support their current and future plans.
  • Use the cash fund to grow savings that you can use during your lifetime, with an interest rate guaranteed to never go below 3% (your actual rate may be even higher). This can be an easy way to save for retirement, a down payment on a house, or even your next vacation getaway. You can save extra money automatically at the same time your premiums are paid. Or just send in deposits as you have extra money in your budget. You can borrow against it or withdraw it at any time.2

 

The bottom line: having this coverage is a safety net to help your family survive and thrive while they adjust to life without you and your income—while also being a way to grow your savings during your lifetime.

These are the periods when are eligible to enroll for Universal Life Insurance:

 

  • Within your 31-day new hire enrollment period
  • Within 31 days of a qualifying life event (you get married, have a baby, etc.)
  • During your employer's annual enrollment

These form(s) are in Adobe Acrobat Reader (PDF) format and are available for downloading and printing.

 

Universal Life Insurance Brochure

 

Universal Life Insurance Claim Form

 

My Benefits Website

How It Works

Number one Enroll now icon

You enroll in coverage

Number two moneybag icon

Start saving money in your cash fund

Number three money bills icon

Death benefit is paid upon your passing

Number four hand giving cash icon

Family uses money to help pay bills and adjust

You’re making a plan to ensure your family has solid financial footing.

View More
Close X

You purchase Universal Life Insurance and start saving.

Your coverage works doubly in your favor: it has a life insurance death benefit and a cash fund benefit that’s tax-deferred and grows at a guaranteed 3% minimum rate.

Frequently Asked Questions

    Handshake Icon

  • Who is the provider?
    Allstate Benefits is a leading provider of employee benefits. They are committed to delivering superior products and services with cutting-edge technology, exceptional customer service and compassionate claims administration. With over 40,000 groups in force and insuring more than three million employees, they uphold the GoodHands® promise every day.
    • person icon

  • Who needs life insurance?

    Everyone needs life insurance.

    Contrary to popular belief, life insurance isn't just for parents. You need life insurance if anyone is financially dependent on you.

     

    You've recently graduated from college.

    You may have significant student loan obligations. If something were to happen to you, your loved ones would most likely be forced to shoulder that debt.

     

    You're the parent of young children.

    You want to make sure they'll be able to keep the same lifestyle and attend college—even if you're not there to see it happen.

     

    Your grown children are on their own.

    Your adult children may rely on you for support and help around the house. If you weren't there for them, your children would need extra money to pay someone to take care of things you've been managing for them.

     

    Your spouse may be depending on your income for retirement.

    But you're not sure your retirement savings is enough to keep up with a rising cost of living if your paycheck stopped. Life insurance can be a smart way to fill the gap.

     

    Like many families, you rely on two incomes to make ends meet.

    You'll need life insurance on both you and your spouse. Even if your spouse stays at home, you should consider life insurance on them to cover the cost of hiring someone to take care of the things they generally handle.

    • family icon

  • Who in my family is eligible for this program?

    You can enroll if:

    • You are actively at work on the date your enrollment form is signed and coverage begins.
    • You are between the ages of 18 and 80

     

    You can also enroll these family members through a separate certificate or rider:

    • Your spouse
    • Your eligible dependent children

     

    You must be enrolled in coverage for your spouse to also enroll. 

    • hand holding coins icon

  • How much does this coverage cost?
    Your cost is based on several factors. Call 800-227-0249 and speak to a specialist who can talk through plan details and pricing.
    transition circle icon

  • What if my employment status changes?

    You can continue coverage for yourself and your dependents (whether or not the plan stays active) as long as you make premium payments directly to Allstate Benefits. Payments need to be received by Allstate Benefits within 30 days of the plan termination date (portability).
    • add circle icon

  • Are there other tax advantages to this plan?

    Yes. The money that grows in your plan’s cash fund is “tax-deferred,” which means it’s not subject to tax while it’s growing, only at the time you take any money out. Additionally, your family doesn’t pay federal income tax on any life insurance benefit check they receive.2

     

    Always check with your financial advisor about anything related to tax status.

    • Medical clipboard icon

  • Can I get this life insurance in addition to other policies I have? Will it pay in addition to those?
    Yes. The benefit your beneficiary receives is paid in addition to any other coverage you may have.
    • Calendar icon

  • When would my coverage start?

    Coverage begins on the issue date. As a new hire or with a Qualified Life Event, coverage begins the first of the month following the enrollment or life event date.

Are You Ready To Enroll?

You are eligible to enroll during any qualifying event (new hires, life events) or during the open enrollment period.
Enroll

Do You Need Help?

Our team is ready

M-F 8a-5p CT

Phone Number: 1-800-698-2849

  • Legal Disclaimers

    1Coverage for spouse and child(ren) may be limited to a percentage of the employee’s face amount in some states.

     

    2Partial withdrawals, surrenders, non-qualified additional benefit rider charges and loans from life insurance policies may be subject to ordinary income taxes and possibly an additional 10% federal tax penalty. Outstanding loan balances and withdrawals generally reduce the death benefit and cash value. With proper planning, the death benefit can pass to your beneficiaries free from state or federal estate taxes. Please consult with your tax advisor for specific information.

     

    Group Universal Life Insurance benefits are provided under policy form GUL23P, or state variations thereof. Rider benefits are provided under the following rider forms, or state variations thereof: Accelerated Death Benefit for Terminal Illness Rider (GULBR); Children’s Term Rider (GUCTR); Accelerated Death Benefit for Long Term Care with Extension of Benefits Rider (GULTCEXT).

     

    This is a brief overview of the benefits available under the group voluntary policy underwritten by American Heritage Life Insurance Company (Home Office, Jacksonville, FL). Details of the insurance, including exclusions, restrictions, and other provisions are included in the certificates issued. For additional information, you may contact your Allstate Benefits Representative.

  • Mercer's Role & Compensation
    View details of Mercer's disclosure of compensation