Prudential's Life Insurance: Where Does My Money Go?

Prudential Financial offers a range of life insurance products to help individuals protect their loved ones and plan for the future. With millions of families relying on Prudential for life insurance, the company provides financial peace of mind and helps secure the future of the next generation. Prudential offers various permanent and term life insurance policies, including universal life insurance, variable universal life insurance, and whole life insurance, each with different features and benefits. Prudential's life insurance policies can help individuals achieve their financial goals, protect their families, and prepare for the unexpected. In addition, Prudential provides customized solutions and a retirement readiness tool to help individuals craft a financial plan that meets their unique needs and goals.

Prudential's retirement readiness tool

The tool provides practical tips, interactive features, and expert strategies to make sound financial decisions. It helps you calculate the value of your entire portfolio, including taxable investment accounts and tax-deferred accounts such as an employer-sponsored 401(k). It also assists in estimating future expenses, understanding the impact of rising costs and inflation, and factoring in healthcare costs.

Additionally, the tool offers guidance on determining your withdrawal metric, providing recommendations on how much money you can withdraw annually without depleting your retirement savings. It also helps you create spending scenarios and contingency plans to adjust to changing conditions.

Prudential's self-guided help centre

The self-guided help centre covers a range of topics, including:

• Finding the right life insurance policy: Choosing a life insurance policy can be overwhelming, but Prudential's help centre can guide you through the process. You can learn about the different types of policies offered, such as term life insurance, universal life insurance, and whole life insurance, and how to select the right one for your budget, risk tolerance, and coverage needs.
• Retirement planning: Prudential's retirement readiness tool can help you craft a financial plan for your retirement. The help centre can provide information on how to use this tool and make the most of your retirement savings.
• Growing your money: Prudential offers customised solutions to help you grow your money and achieve your financial goals. The help centre can provide guidance on the different options available, such as annuities and wealth-building strategies.
• Account access and management: If you have questions about how to access your account, update your contact information, or change your beneficiary, the self-guided help centre has step-by-step instructions and tutorials to guide you through the process.
• Tax forms and distributions: The help centre provides information on how to access and download tax forms, understand distributions and tax reporting requirements, and manage your tax obligations.
• Death claims and benefits: In the event of a loved one's passing, the self-guided help centre can provide information on how to file a death claim, check the status of a claim, and understand the different payment options available to beneficiaries.

The self-guided help centre is a comprehensive resource that empowers Prudential customers to find answers to their questions and make informed decisions about their financial planning. It is easily accessible through the Prudential website, and customers can also reach out to Prudential's customer service team for additional support if needed.

Prudential's permanent life insurance policies

Prudential offers a range of permanent life insurance policies, including:

• Whole life insurance — This policy provides a death benefit to help beneficiaries pay for funeral, burial, and other final expenses.
• Universal life insurance — This policy offers flexible premium payments and the potential to build cash value while earning a minimum interest rate.
• Indexed universal life insurance — This policy provides a death benefit with no-lapse guarantees and various crediting options for cash value growth potential.
• Indexed variable universal life insurance — This policy offers a death benefit and cash value growth potential through underlying investment options and index crediting strategies.
• Variable universal life insurance — This policy has a death benefit with no-lapse guarantees and the greatest potential for building cash value compared to other permanent policies. However, cash value can decline if underlying investments perform poorly.

Prudential also offers a range of payment options for your life insurance benefits, including lump-sum and installment payments. You can choose to receive your benefits as a single check or have access to the entire proceeds of the policy. Installment payment options include monthly payments for life, monthly payments for a certain period with guaranteed payments, fixed-period payments, or fixed-amount payments.

Prudential's term life insurance policies

Prudential offers several term life insurance policies, each with unique features and benefits. Many of their term policies are fully convertible to any of their permanent single life and survivorship products. This flexibility allows you to adapt your policy to changing needs and circumstances.

Here's a closer look at Prudential's term life insurance offerings:

Prudential EssentialTermSM Value

This policy is ideal for those seeking cost-effective protection with the option to convert to a permanent policy in the future. It offers:

• Level-premium periods of 10, 15, 20, or 30 years.
• Fixed premiums during the level term period.
• Conversion options to any permanent product within the first seven years or until age 70, whichever comes first.
• A Terminal Illness Rider at no extra cost, allowing early access to the death benefit in the event of a terminal illness diagnosis.

Prudential EssentialTermSM Plus

The EssentialTermSM Plus policy suits those who want cost-effective protection and enhanced conversion benefits. It includes:

• Level-premium periods of 10, 15, 20, or 30 years.
• Guaranteed premiums throughout the level-premium period.
• Conversion options to any permanent product during the term or until age 70, whichever comes first.
• A Terminal Illness Rider at no extra cost, providing early access to the death benefit in case of a terminal illness diagnosis.

PruTerm One®

PruTerm One® is designed for those seeking straightforward, convertible term life insurance with competitive premiums. It offers:

• Level-premium periods of 10, 15, 20, or 30 years.
• Locked-in premiums during the level-premium period.
• Conversion options up to the first policy anniversary after the insured's 65th birthday.
• A Living Needs BenefitSM, allowing access to the death benefit under certain conditions without additional charges.

Term Essential®

Term Essential® is suitable for those needing short-term coverage or a bridge to permanent insurance, such as covering temporary debts or business obligations. It includes:

• A level-premium period of 1 year, renewable annually.
• Fixed premiums for the first year, with subsequent annual adjustments.
• Conversion options through the fifth policy anniversary, providing a path to longer-term coverage.
• A Living Needs BenefitSM, enabling access to the death benefit under specific conditions without extra charges.

Prudential's universal life insurance policies

The PruLife Essential UL policy offers optional features, or riders, that allow you to customize your policy to fit your specific needs. These riders include the Living Needs Benefit and BenefitAccess Rider, which provide benefits if you become terminally or chronically ill; Enhanced Disability Benefits, which protect your policy from lapsing in the event of disability; the Accidental Death Benefit Rider, which provides an additional death benefit in the event of an accidental death; the Children Level Term Rider, which adds coverage for minor children; and the Overloan Protection Rider, which prevents a lapse in coverage if you take out substantial loans from your policy.

The PruLife SUL Protector policy also offers a range of riders, including the Guaranteed Policy Split Rider, which allows you to divide one policy into two in the event of a divorce or changes in estate laws; and the Estate Protection Rider, which increases the death benefit by up to 100% if both people on the policy pass away before the fourth policy anniversary.

Both universal life insurance policies provide the flexibility to adjust premium payment amounts and schedules to fit your financial needs and circumstances. Additionally, you can make extra payments into an interest-earning account to potentially increase the policy's cash value.

Frequently asked questions