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Who Should Consider Buying a Universal Life Insurance Policy?

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Universal life insurance is a type of permanent life insurance policy. That means it covers you for life and comes with a cash value growth component. Once you build enough cash value, you can withdraw from or borrow against it. You also receive the full value minus surrender charges if you surrender the policy. Universal life insurance also lets you increase your death benefit or decrease your premiums, providing you with more flexibility.

All these features make universal life insurance a good potential investment for many types of people. With that in mind, this article will cover several circumstances where getting a universal life insurance policy can be helpful.

1. Those who need lifelong coverage

Universal life insurance offers lifelong coverage as long as you stay current on your premium payments. That means, unlike with term life insurance, you don’t need to worry about your policy expiring.

Another benefit to lifelong coverage is that you can lock in your premiums for the rest of your life. Life insurance premiums rise with age, but once you buy life insurance, your premiums remain fixed unless you adjust them within your policy.

2. Parents with multiple children

Raising a child can cost an average of almost $13,000 per year. Plus, parents may have to save money for each child’s college education. This can make it challenging for one parent to raise multiple children if their partner passes away — even if both partners earn incomes.

Universal life insurance can help alleviate      these worries. If you pass away, your partner will receive a substantial death benefit to replace your income, pay off debts, and set aside money for the future.

Thanks to the cash value, universal life insurance can also help you raise your children even if you don’t pass away. Over time, your cash value may grow quite large. You can withdraw from or borrow against it at favorable terms and low rates. This offers you the funds to pay for family expenses and potentially cover your children’s college educations. Finally, if you ever need to change coverage to save money on premiums or up your death benefit, universal life insurance lets you do that.

3. Those who want to build wealth

A universal life insurance policy’s cash value can offer a source of wealth for policyholders. As mentioned, you can withdraw from it when it grows large enough, although you must be aware of any tax consequences. Y     ou can also borrow against it at low rates. However, you must make sure the loan balance doesn’t grow larger than the cash value, or the policy could lapse. Finally, if you decide you no longer need life insurance and surrender the policy, you can receive all of your cash value minus surrender charges.

In any case, this cash value can offer a significant source of wealth when used wisely. You could use the proceeds to refinance or pay off debt, supplement your retirement funds, make large purchases, travel, and more.

The bottom line

Universal life insurance can fit many people’s needs. It offers lifelong coverage, which allows you to get a policy early and lock in premiums without worrying about coverage expiring.

Families with many children can find it useful as well. You can rest assured that your partner and children will be protected if you pass away. Plus, you can use the cash value to help cover childcare costs and future expenses, like education.

Finally, anyone who wants to build wealth could find universal life insurance helpful. You can withdraw or borrow from the cash value to travel, pay off debt, boost your retirement funds, and more. So, consider looking for universal life insurance if any of these describe your situation and financial needs.

Michelle has been a part of the journey ever since Bigtime Daily started. As a strong learner and passionate writer, she contributes her editing skills for the news agency. She also jots down intellectual pieces from categories such as science and health.

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Lifestyle

What “Reasonable Person” Standard Is Applicable When Determining Negligence?

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In order to determine negligence, the reasonable person test asks if a person’s actions are consistent with what would be anticipated of a generally careful and sensible person in the same situation. Stated otherwise, did the accused act in a way that would have been expected of a reasonable person? 

In Florida, determining who is legally liable for an accident depends critically on the issue of carelessness. The “reasonable person standard” is the foundation of this assessment. Your personal injury lawyer can explain the “reasonable person standard” and how it can apply to your case if you are hurt in an accident in Florida. 

The Reasonable Person Standard: What Is It?

Legally speaking, the reasonable person standard offers a yardstick by which someone’s actions are assessed in cases of negligence. “How would a reasonable person have acted under the same circumstances?” is the central question it poses. Jurors and judges are asked this question in order to assist them in determining whether a person’s acts (or inactions) fall short of the expected standard of care that a reasonably prudent person would follow.

Like in many other jurisdictions, Florida does not base its reasonable person criterion on what an especially cautious or risk-averse person would do. Rather, it represents the behaviors of a composite of what the community expects of each individual. A reasonable individual would, for example, observe traffic laws when driving, heed warning signs, and refrain from needlessly endangering other people.

Utilizing the Reasonable Person Standard to Determine Negligence

The activities of the parties involved in a personal injury lawsuit are rigorously examined in light of this reasonable person standard. If it is determined that an individual’s actions do not correspond with what a reasonable person would have done in the same situation, negligence has been proven.

According to the law, proof of someone’s negligence is insufficient; strong, convincing evidence is required. Your personal injury lawyer is essential to this procedure because they have to painstakingly gather evidence showing how the negligent party strayed from what a reasonable person would have done. Piecing together facts, testimony, and any footage or recordings that can definitively demonstrate that their activities were in violation of the recognized norms of safety and care is more important than simply focusing on what they did or did not do.

This proof could take the form of eyewitness statements that refute the version of events provided by the person at fault or security footage that captures the moment of negligence. Something as small as skipping a scheduled maintenance or ignoring a warning alert might have a big impact. Your personal injury attorney seeks to establish beyond a shadow of a doubt that the defendant’s acts were not just improper but directly caused others to be put in danger by providing a thorough picture of their negligence. 

How Does This Impact Your Case for Personal Injury?

In a personal injury case, knowing the reasonable person standard is essential. In the event of an accident, this standard might assist you in proving liability if you think the other person was careless.

You should be aware that your activities will be evaluated in comparison to the hypothetical reasonable person’s behavior in situations where you might be held culpable. It doesn’t matter what you meant or thought was appropriate; what matters is what the community would anticipate from someone in your situation.

Although navigating the complexities of the reasonable person standard might be challenging, Florida’s negligence law heavily relies on this standard. A fair appraisal of the facts is essential when seeking justice following an injury accident, and comprehending this criterion is crucial.

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