Guide to VUL insurance plans in the Philippines

Updated by

A variable universal life (VUL) is a type of life insurance with a built-in savings. In its basic form, it is a life insurance so it pays off when the insured person dies. At the same time, a part of what you’re paying goes to some sort of income-earning financial instrument.

There are many different VULs in the Philippines as there are companies that offer them. In this article, a few of the details is covered in the hope that it helps you make a decision.

What is a VUL?

A VUL is actually a kind of permanent life insurance in the sense that unlike term insurance, it does not expire. It covers a lifespan and does not need to be renewed.

Another kind of permanent life insurance is the whole life policy. Actually, VUL and whole life policy are almost the same because they both mature. Once the person insured hits a certain age, the policy stops. They also both have a savings component.

Whole life policy has guaranteed cash value which grows over time. It can be released by surrendering the plan (terms apply). Policyholders can also borrow money against their cash value.

VUL on the other hand earns through the non-guaranteed returns of investment fund. Because there is no way to predict the returns, your saving varies almost daily. This savings component from VUL, which is called account value, is derived from a portion of the premium. That is, not everything that you pay goes to paying insurance and fees. A part of it is put into a fund of your choice.

Death benefits and living benefits

In short, VUL has death benefits and living benefits. The death benefit, which is the sum insured, may be paid out when the person insured dies on the condition that the policy is deemed valid.

The living benefit is the account value from the savings component. In most cases, insurers would compare between the sum insured and account value when deciding how much to give out in case of unexpected death.

Usually, the amount of the benefit is whichever is higher between the two. So, there’s a possible situation where your beneficiaries can receive more than the original coverage that you signed up for. Some companies even allow partial withdrawal of your account value – subject to terms, of course.

A part of your premium makes up your account value. It is also allocated to a fund that you would be allowed to invest in. Insurance companies have several investment options for you to choose from.

Top-ups

Top-ups are a way to increase your account value. You can actually pay more than your premium. Whatever extra you’ve added would be put into the investment funds, allowing you the chance to grow your money more quickly. Terms may apply.

Premiums

Premiums are the amount of money paid to the insurer. Such payment is crucial to make the contract remain in force and avoid being terminated. There are three types: 1.) single pay, 2.) limited pay, 3.) regular pay.

Single pay refers to a one-time payment. Most VULs of this nature automatically provides more or less 125% of the premium as the face value of the life insurance plan.

The limited pay refers to yearly payment. The number of years can vary, usually ranging between 5 to 10 years, or even more. Since most VULs are whole life, they tend to be quite expensive as you are pre-paying future coverage in the present.

Lastly, the regular pay would require that payment is made until certain old age. Some plans would require payment from the start of the contract up to age 65. They may have lower premiums in exchange for longer payment period.

Difference between Mutual Funds, UITF, PERA, ETF, and VUL

What is premium holiday?

A premium holiday is an option for policyholders to stop paying the premium. Some insurers would allow you to apply for it especially when your account value can sustain the fees and the insurance.

You may ask, how is that possible?

Remember that the living benefit/account value increases as you continue paying for your plan. And at the same time, your savings is not idle. It is earning by being invested in a fund.

So, there might be a point where both the size of the account value and the returns may be more than or just enough to pay for your policy without you having to contribute anymore. This is what makes it possible to apply for a premium holiday.

Again, the scenario above is a possibility. Actual returns vary, and it is best to talk to your advisor.

What are the advantages of VUL?

There are many benefits in purchasing a VUL, including:

  • Convenience. Investment and insurance are rolled into one account.
  • Account management. You only have to deal with one company to manage the account.
  • Passive income. Because a part of your premium is put into savings, you may enjoy the potential to earn.
  • Partial withdrawal. You may opt to partially withdraw in times that you may need extra funds.
  • Financial goals. It gives the ability to plan for financial goals while staying insured at the same time. It can be used for education, retirement, leisure, or big purchases such as a house or car.
  • Potentially higher death benefit. The computed final benefit to be given in case of death depends on whichever is higher between sum insured and saving. When the living benefit is higher, then that is what is going to be released to your beneficiaries.
  • Top-up. If you want to increase your savings, you’re allowed to contribute more than your premium.
  • Premium holiday. There’s a choice to suspend payments when desired level of returns and account value is reached.
  • Funds access. The investment vehicles that are offered may be available only to customers who get a VUL plan.
  • Professional management. Funds are managed by fund managers.
  • Reinstatement. When premium payments stopped, the client may choose to reinstate the plan. Fees, terms, and conditions may apply.
  • Insurance riders. Riders can supplement and widen the coverage. These can include a term insurance, critical illness, accident insurance, total and permanent disability, waiver of premium, hospitalization benefit, etc.
  • Other perks. Some products offer bonuses, annual pay-outs, dividends, etc.
  • Habit of savings. Due to the required premium payment especially for regular pay plans, you would be encouraged to save up in order to keep the policy active.

What are the disadvantages of VUL?

You may also need to know some of the limits of VUL such as:

  • Fees. Insurers may assess fees in managing both insurance and investments. These fees can be quite high.
  • Variable returns. Returns are not guaranteed.
  • Longer premium payment. When returns are lower, there might be a need to continue paying the premium to insure validity of the insurance.
  • Closure. When premium payments are stopped, charges and fees may pile up. Reinstatement can be possible upon payment of such accumulated fees and other conditions set by the insurer. However, reinstatement may not be possible after lapse of specified number of years (for example, one insurer allows reinstatement within three years).

What is the investment fund of VUL?

What makes VUL distinct is the potential to grow your money while getting insurance cover. The growth of your savings depend on the returns of your chosen investment fund. If it performs well, then your account value gets better returns.

But how does your savings grow?

Your savings are put into managed funds. They are then invested into different assets that earn interest, dividends, or whose value appreciates.

Assets that earn interest are certificates of deposits, bonds, and other debt instruments. Or, these funds are invested in corporate stocks that earn through dividends (part of the earnings of companies that they give to stockholders) and through the increase of the stock price.

How do you know which fund to put your money to?

Your insurer would have options for you to choose from. To assist in making your decision, you need to know your risk profile. A risk profile is a measure of how much risk you’re willing to take based on many factors such as length of time you’re willing to let your savings grow, your need for cash, availability of emergency fund, etc.

Basically, there are three different funds: equity funds, fixed income funds like bonds or money market, and balanced funds.

Equity funds

Equities funds are funds whose assets are stocks of companies that are listed in a stocks exchange. For example, the Wealth Equity Fund holds a portfolio of blue chip companies (SM, Ayala, BDO) and shares of other promising companies that are publicly traded in the Philippine Stocks Exchange. They are the most aggressive. That is, they may have the highest potential to earn but also has the highest risk.

Fixed income funds

These are funds invested in relatively less risky securities such as those found in money markets. Other holdings may include deposits, corporate bonds, treasury notes, etc. They are relatively safe bets, low on risk, and also low on potential upside for earnings.

Balanced funds

Balanced funds are a combination of equities and fixed income securities. They are made for people who may be in the middle of risk profile. They may prefer the relatively safer fixed income funds but at the same time they want to enjoy the potential of higher returns.

List of VUL plans in the Philippines

See below the list of VUL policies in the country. Our goal is to let you know the choices you have, so each product has a very brief description of what coverage it includes.

By coming up with the table below, we understand that we run the risk of removing the distinctions between products. Also, the list may not be accurate or complete. Thus, we advise that you get the most updated information from their website or consider reaching out to a company rep.

NameCompanyInfo
AZpire GrowthAllianz PNB Life Insurance, lnc.Issue: 0 – 60
Details: Life insurance, investment
Maximal PowerAllianz PNB Life Insurance, lnc.Issue: 0 – 70
Cover age: until age 85
Details: Life insurance, investment
Optimal PowerAllianz PNB Life Insurance, lnc.Issue: 0 – 70
Cover age: until age 85
Details: Life insurance, investment
Allianz ShieldAllianz PNB Life Insurance, lnc.Premium terms: 5 years to age 100
Cover age: until age 65
Details: Life insurance, life events, investment
DiversifyAllianz PNB Life Insurance, lnc.Details: Life insurance, investment
Health DynamicsAllianz PNB Life Insurance, lnc.Details: Peso- or dollar-denominated plan, Life insurance, critical illness, investment
AZpire WizAllianz PNB Life Insurance, lnc.Premium holiday: 10 years
Details: Life insurance, education, investment
AZpire PeakAllianz PNB Life Insurance, lnc.Premium holiday: 10 years
Details: Life insurance, retirement, investment
Dollar Protect PlusBPI Philam Life Assurance Corp., IncIssue: 0 to 65
Cover age: whole life
Details: Life insurance, investment
Build Estate PlusBPI Philam Life Assurance Corp., IncIssue: 18 to 75
Cover age: whole life
Details: Life insurance, investment
Life Ready PlusBPI Philam Life Assurance Corp., IncIssue age: 0 – 70
Cover age: whole life
Details: Life insurance, investment
Life Extreme ProtectBPI Philam Life Assurance Corp., IncIssue age: 0 – 70
Cover age: whole life
Details: Life insurance, investment
Critical Care MaxBPI Philam Life Assurance Corp., IncIssue age: 18 – 65
Cover age: whole life
Details: Life insurance, critical illness, accident, investment
Critical Care PlusBPI Philam Life Assurance Corp., IncIssue age: 18 – 65
Cover age: whole life
Details: Life insurance, critical illness, accident, investment
Medlife Protect PlusBPI Philam Life Assurance Corp., IncIssue age: 0 to 55
Cover age: until age 80
Details: Life insurance, HMO (co-pay, 90%), investment
Invest Peso MaxBPI Philam Life Assurance Corp., IncIssue age: 0 – 75
Cover age: whole life
Details: Life insurance, investment
Invest Dollar MaxBPI Philam Life Assurance Corp., IncIssue age: 0 – 75
Cover age: whole life
Details: Dollar-denominated plan, Life insurance, investment
Preferred Life PlusBPI Philam Life Assurance Corp., IncIssue age: 0 – 75
Cover age: whole life
Details: Life insurance, investment
Prosperity ShieldEtiqa PhilippinesIssue: 0 to 75
Coverage: 99
Details: Life insurance, investment
Prosperity PlusEtiqa PhilippinesIssue: 0 to 70
Details: Life insurance, investment
Prosperity TigerEtiqa PhilippinesIssue: 0 to 70
Details: Life insurance, investment
1st Investment Peso OptimizerFirst Life Financial Company, lnc.Issue age: 0 – 60
Premium: 5, 10 or 15
Cover age: until age 99
Details: Life insurance
1st Investment Peso MaxFirst Life Financial Company, lnc.Issue age: 0 – 70
Cover age: until age 99
Details: Life insurance, accident
1st Investment Dollar MaxFirst Life Financial Company, lnc.Issue age: 0 – 70
Cover age: until age 99
Details: Life insurance, accident
1st Peso iProtectFirst Life Financial Company, lnc.Issue age: 0 – 70
Cover age: until age 99
Details: Life insurance, accident, waiver of premium on total and permanent disability, critical illness
All Set / All Set HigherFWD Life Insurance Corp.Issue age:
Cover age: until age 100
Details: Life insurance, investment
Set for LifeFWD Life Insurance Corp.Cover age: until age 100
Details: Life insurance, investment
WEALTH ASSUREInsular Life Assce. Co., Ltd., TheDetails: Life insurance, investement
WEALTH ASSURE EDUCATIONInsular Life Assce. Co., Ltd., TheDetails: Life insurance, investment, education
WEALTH ASSURE RETIREMENTInsular Life Assce. Co., Ltd., TheDetails: Life insurance, investement, retirement
WEALTH SECUREInsular Life Assce. Co., Ltd., TheDetails: Life insurance, investement
WEALTH SECURE EDUCATIONInsular Life Assce. Co., Ltd., TheDetails: Life insurance, investment, education
WEALTH SECURE RETIREMENTInsular Life Assce. Co., Ltd., TheDetails: Life insurance, investement, retirement
SHE CARES BY SHEROESInsular Life Assce. Co., Ltd., TheCover age: until age 70
Details: Life insurance, return of premium, critical illness or hospital benefit
SOLID COVERInsular Life Assce. Co., Ltd., TheCoverage: 10 years
Details: Life insurance, investment
WEALTH ASSURE – GUARANTEED ISSUE OFFERInsular Life Assce. Co., Ltd., TheDetails: Life insurance, investment
WEALTH ASSURE HEALTHInsular Life Assce. Co., Ltd., TheCoverage: Lifetime
Details: Life insurance, hospital benefits, critical illness, investment,
WEALTH PROTECTInsular Life Assce. Co., Ltd., TheDetails: Life insurance, investment,
WEALTH SECURE HEALTHInsular Life Assce. Co., Ltd., TheCoverage: Lifetime
Details: Life insurance, hospital benefits, critical illness, investment,
Dollar Solid Fund BuilderInsular Life Assce. Co., Ltd., TheDetails: Life insurance, investment
DOLLAR VARIABLE RETURNS ASSETInsular Life Assce. Co., Ltd., TheDetails: Life insurance, investment
SOLID FUND BUILDERInsular Life Assce. Co., Ltd., TheDetails: Life insurance, investment
SOLID FUTUREInsular Life Assce. Co., Ltd., TheDetails: Life insurance, investment
WEALTH ASSURE GLOBALInsular Life Assce. Co., Ltd., TheDetails: Life insurance, investment
WEALTH SECURE GLOBALInsular Life Assce. Co., Ltd., TheDetails: Life insurance, investment
Affluence Max EliteManufacturers Life Ins. Co. (Phils.), Inc., TheDetails: Life insurance, investment
Affluence Builder PlusManufacturers Life Ins. Co. (Phils.), Inc., TheDetails: Life insurance, investment
Affluence BuilderManufacturers Life Ins. Co. (Phils.), Inc., TheDetails: Life insurance, investment
Affluence Max GoldManufacturers Life Ins. Co. (Phils.), Inc., TheDetails: Life insurance, investment
Affluence GoldManufacturers Life Ins. Co. (Phils.), Inc., TheDetails: Life insurance, investment
Education BuilderManufacturers Life Ins. Co. (Phils.), Inc., TheDetails: Life insurance, investment, education
HorizonsManufacturers Life Ins. Co. (Phils.), Inc., TheDetails: Life insurance, critical illness
MCBL InvestManulife Chinabank Life Assce. Corp.Details: Life insurance, investment
Platinum Invest EliteManulife Chinabank Life Assce. Corp.Details: Life insurance, investment
MCBL Enrich MaxManulife Chinabank Life Assce. Corp.Details: Life insurance, investment
MCBL Affluence IncomeManulife Chinabank Life Assce. Corp.Details: Life insurance, investment
UNIVERSAL LIFEParamount Life & General Ins. Corp. (life unit)Issue age: 3 months – 70 years
Premium payment: payable up to age 85
Details: Life insurance, investment
UNIVERSAL LIFE PREMIERParamount Life & General Ins. Corp. (life unit)Issue age: 3 months – 70 years
Premium payment: 5 years, 10 years
Details: Life insurance, investment
UNIVERSAL LIFE GOLDParamount Life & General Ins. Corp. (life unit)Issue age: 18 – 50
Premium payment: 5 years, 10 years
Details: Life insurance, investment
Family SecurePhilippine American Life & Gen. Ins. Co.Issue age: 0 – 70 years old
Cover age: 100 years old
Details: life insurance
FAMILY PROVIDERPhilippine American Life & Gen. Ins. Co.Issue age: 0 – 70
Cover age: until 100 years old
Premium: 5 years or 10 years
Details: Life insurance, investment 
Active Family ProviderPhilippine American Life & Gen. Ins. Co.Issue age: 18 – 70
Cover age: until 100 years old
Premium: 5 years or 10 years
Details: Life insurance
Future ScholarPhilippine American Life & Gen. Ins. Co.Issue age: 18 – 55 (parent), 0 – 10 (child)
Premium: 5 years or until child reaches 17 years old
Details: Life insurance, investment, education, 
MONEYWORKS FOR EDUCATIONPhilippine American Life & Gen. Ins. Co.Issue age: 18 – 65
Cover age: until 100 years old
Details: Life insurance, waiver of premium on critical illness or total and permanent disability, investment, education
Money Tree ElitePhilippine American Life & Gen. Ins. Co.Issue age: 0 – 75
Cover age: until age 100 years old
Details: Life insurance
Money TreePhilippine American Life & Gen. Ins. Co.Issue age: 0 – 70
Cover age: until 100 years old
Details: Investment, life insurance
AIA Health CoverPhilippine American Life & Gen. Ins. Co.Issue age: 0 – 60
Cover age: up to age 80 years old
Details: Critical illness, life insurance, hospitalization benefit, waiver of premium for critical illness
ACTIVE HEALTH INVEST PLUSPhilippine American Life & Gen. Ins. Co.Issue age: 18 – 65
Cover age: until 100 years old
Details: Life insurance, critical illness, accident, health fund
HEALTH INVEST PLUSPhilippine American Life & Gen. Ins. Co.Issue age: 18 – 65
Cover age: until 75 years old
Details: Critical illness, accident, waiver of premium on critical illness or total and permanent disability, life insurance, health fund
AIA FUTURE BUILDERPhilippine American Life & Gen. Ins. Co.Issue age: 0 – 60 years old
Cover age: until age 100 years old
Details: Life insurance, investment
MONEYWORKSPhilippine American Life & Gen. Ins. Co.Issue age: 0 – 70 years old
Cover age: until age 100 years old
Details: Life insurance, investment
FUTURE PROTECTPhilippine American Life & Gen. Ins. Co.Issue age: 0 – 58 years old
Cover age: until age 70 years old
Details: Life insurance, waiver of premium on total and permanent disability
ACTIVE MONEYWORKSPhilippine American Life & Gen. Ins. Co.Issue age:  18 – 70 years old
Cover age: until age 100 years old
Details: Life insurance, waiver of premium on total and permanent disability
Goal GetterPhilippine AXA Life Insurance. Corp.Issue age: 20 – 60 years old
Details: Life insurance, investment
Asset MasterPhilippine AXA Life Insurance. Corp.Details: Life insurance, investment
Life BasixPhilippine AXA Life Insurance. Corp.Premium: 10 years (minimum)
Details: Life insurance, investment
Life Basix PlusPhilippine AXA Life Insurance. Corp.Premium: 10 years (minimum)
Details: Life insurance, critical illness, investment
MyLifeChoice GoalPhilippine AXA Life Insurance. Corp.Premium: 7 years, 10 years, or regular pay until age 90
Details: Waiver of premium in case of disability, accident, life insurance, investment
RetireSmartPhilippine AXA Life Insurance. Corp.Details: Life insurance, investment
MyLifeChoice EducationPhilippine AXA Life Insurance. Corp.Premium: 7 years
Details: Life insurance, investment, waiver of premium on disability, accident insurance
MyLifeChoice HealthPhilippine AXA Life Insurance. Corp.Details: Waiver of premium on disability, accident, investment, life insurance, critical illness
AcademixPhilippine AXA Life Insurance. Corp.Premium: 5 years (minimum)
Details: Life insurance, investment
SIBOLPhilippine Life Financial Assce. Corp.Details: Life insurance, investment
EmbracePioneer Life lnc.Issue age: 14 days (insured), 18 years (payor) – 75
Details: Life insurance, investment
ElitePioneer Life lnc.Issue age: 14 days (insured), 18 years (payor) – 75
Details: Life insurance, investment
EnhancePioneer Life lnc.Issue age: 14 days (insured), 18 years (payor) – 70
Details: Life insurance, investment
InstaLifePioneer Life lnc.Issue age: 14 days – 40 years old
Details: Life insurance, investment
PowerFundPioneer Life lnc.Issue age: 14 days (insured), 18 years (payor) – 70
Details: Life insurance, investment
SmartStartPioneer Life lnc.Cover age: 0 – 99
Details: Life insurance, investment, critical illess
PrestigePioneer Life lnc.Issue age: 0 – 55 (Prestige 150), 0 – 44 (Prestige 200)
Cover age: until age 99 years old
Details: Life insurance, investment
PRULink Assurance Account PlusPru Life Insurance Corp. of U.K.Issue age: 7 days to 70 years old
Premium: until age 100
Details: Life insurance, investment, total and permanent disability, accident 
PRULink Exact ProtectorPru Life Insurance Corp. of U.K.Issue age: 7 days to 70 years old
Cover age: until age 100
Premium: 5, 7, 10, or 15 years
Details: Llife insurance, investment, total and permanent disability, accident
PRULink Elite Protector SeriesPru Life Insurance Corp. of U.K.Issue age: 7 days to 70 years old
Cover age: until age 100
Premium: 5, 7, 10, or 15 years
Details: Life insurance, investment, total and permanent disability, accident
PRULink Investor Account PlusPru Life Insurance Corp. of U.K.Issue age: 0 – 70 (insured), 18 – 99 (payor)
Cover age: until age 100 years old
Premium: One-time
Details: Life insurance, investment
PRUMillionairePru Life Insurance Corp. of U.K.Issue age: 0 – 70 (insured), 18 – 99 (payor)
Cover age: until age 100 years old
Premium: One-time
Details: Life insurance, investment
PRUHealth PrimePru Life Insurance Corp. of U.K.Issue age: 30 days to 60 years old
Cover age: until age 85
Premium: 20 years
Details: Life insurance, investment, critical illness, hospitalization benefit
Sun FlexiLinkSun Life of Canada (Philippines), Inc.Details: Life insurance, investment
Sun FlexiDollarSun Life of Canada (Philippines), Inc.Details: Life insurance, investment
Sun MaxiLink PrimeSun Life of Canada (Philippines), Inc.Premium: 10 years (minimum)
Details: Life insurance, investment
Sun MaxiLink BrightSun Life of Canada (Philippines), Inc.Premium: 5 years (minimum)
Details: Life insurance, investment
Sun MaxiLink 100Sun Life of Canada (Philippines), Inc.Cover age: until age 100
Details: Life insurance, investment
Sun FlexiLink1Sun Life of Canada (Philippines), Inc.Details: Life insurance, investment
Sun FlexiDollar1Sun Life of Canada (Philippines), Inc.Details: Life insurance, investment
Sun MaxiLink OneSun Life of Canada (Philippines), Inc.Details: Life insurance, investment
Sun MaxiLink Dollar OneSun Life of Canada (Philippines), Inc.Details: Life insurance, investment
Sun MaxLink PrimeSun Life of Canada (Philippines), Inc.Premium: 10 years (minimum)
Details: Life insurance, investment
Sun Grepa Power Builder 100SunLife Grepa Financial, Inc.Cover age: 100
Details: Life insurance, investment
Sun Grepa Power Builder Dollar 1SunLife Grepa Financial, Inc.Cover age: until age 88
Details: Life insurance, investment
Sun Grepa Power Builder 1SunLife Grepa Financial, Inc.Cover age: until age 88
Details: Life insurance, investment
Sun Grepa Power Builder 5 and 10SunLife Grepa Financial, Inc.Cover age: until age 88
Premium: 5 years, 10 years
Details: Life insurance, investment
Sun Grepa Global Asset BuilderSunLife Grepa Financial, Inc.Coverage: 7 years
Details: Life insurance, investment, annual income pay-out
Sun Grepa Peso Asset BuilderSunLife Grepa Financial, Inc.Coverage: 7 years
Details: Life insurance, investment, annual income pay-out
Flexi ProtectionUnited Coconut Planters Life Assce. Corp.Issue age: 1-65 (5-pay), 1 – 70
Cover age: until age 100
Premium: 5, 7, 10, 15, 20 or regular pay
Details: Life insurance, investment
Flexi RetirementUnited Coconut Planters Life Assce. Corp.Issue age: 1-65 (5-pay), 1 – 70
Cover age: until age 100
Premium: 5, 7, 10, 15, 20 or regular pay
Details: Life insurance, investment
Flexi EducationUnited Coconut Planters Life Assce. Corp.Issue age: 1-65 (5-pay), 1 – 70
Cover age: until age 100
Premium: 5, 7, 10, 15, 20 or regular pay
Details: Life insurance, investment, education
Flexi InvestmentUnited Coconut Planters Life Assce. Corp.Issue age: 1-65 (5-pay), 1 – 70
Cover age: until age 100
Premium: 5, 7, 10, 15, 20 or regular pay
Details: Life insurance, investment
Zenith MedUnited Coconut Planters Life Assce. Corp.Issue age: 1 – 70
Cover age: until age 100
Details: HMO, investment

How to buy a VUL policy in the Philippines

So how can you get a VUL plan?

[1] Determine insurance and investment needs. Do you really need an insurance? While most of us will answer yes to this question, some may already have enough insurance coverage from their government-mandated contributions (PhilHealth, SSS), private insurance, or group insurance from their employment. Hence, it is important to determine what sort of insurance plans you need, specific coverage, etc.

More importantly, see if there may be other alternatives available to you. For instance, buying a term insurance and investing the difference (a strategy shortened to BTID) may be a more affordable choice.

Next, see if the VUL plan contains both your insurance and investment needs.

[2] Look around. Insurers are actively marketing their products across various platforms as well as through their licensed insurance agents. Check their website. They may have also uploaded explainer videos on YouTube. See if they have an active social media presence.

[3.] Go with a reputable insurer. See here the top insurance companies in the country.

[4.] Talk to an advisor. Insurance agents are licensed by regulatory bodies, such as the Insurance Commission. They can help you narrow down your choices, conduct insurance needs analysis, etc.

[5] Pick your beneficiaries. Beneficiaries are people who are going to receive cash benefits during moments of emergency, such as an unexpected demise. They can be spouse, children, parents, siblings, relatives, partners, etc.

[6.] Prepare documents. You might be asked to present at least one valid ID, marriage contract, birth certificates, etc. Other files may include those that are associated with your medical history such as prescriptions, diagnosis, details of hospitalization (bills, medical certificate, etc.), etc.

[7] Prepare the premium. You will be asked to pay the premium. For single pay, this would involve depositing the amount or paying at the insurer’s office. For limited and regular pay, this would involve usually the first payment required specific to the frequency you chose. Thus, you may be asked to pay the first month for monthly payment, first three months for quarterly payment, etc.

[8] Open an application. The application process may be quick or take some time. This is so due partly to your degree of insurability. Wait for an approval.

[9] Keep the contract active. You may receive the contract upon approval either in print or electronically. Make sure that you are on top of your policy that it is active and premiums are paid regularly and on time.

Tags