Paid up additions is a word that is abbreviated as PUA. Paid up addition rider is a unique addition insurance feature that is offered when you buy whole life insurance. You have to look for more information regarding most attractive features of whole life insurance if you want to understand this unique addition insurance feature. A cash value will be provided to you when you buy whole life insurance. The attractive feature that provides liquidity for anything you need in whole life insurance is the one that is called a cash value. You have to add a paid up addition rider if you would like to enjoy the benefits of life insurance. The overall policy growth is increased by paid up addition rider and because of that reason, it does not only enrich the cash value of your property.
When you decide to buy a whole life insurance policy you will be asked to buy also paid up additions riders separately by the insurance company. Because you buy your policy separately from the paid up addition rider, that’s why it is regarded additional insurance. You enjoy a lot of benefits when you buy paid up addition rider apart from enriching your cash value. You do not undergo medical underwriting when you purchase an additional insurance like the one I have mentioned above. This additional feature benefits specifically those who have declining health because of the reason I have mentioned above. If you would like to know more about paid up addition riders, you should continue reading this guide.
Paid up additions riders are purchased by those who buy whole life insurance policies because they serve as the best financial strategies. If you choose to use the cash value to finance other assets after buying a whole life insurance policy, paid up additions riders are necessary to add. If an additional insurance like this one is not added, your cash value will grow slowly. If you would like to increase your policy’s cash value you should buy a paid up additional rider because of that reason.
Mutual insurance companies pay out dividends every year. A history of dividend payout is found with may mutual insurance companies even if dividends are not guaranteed. Even during the great depression period, such companies can pay out dividends to those who buy whole life insurance policies. If you buy additional insurance such as paid up addition riders together with dividends, you can earn dividends every year. Those who are buying life policies are asked by insurance companies to add such additional insurance policies because they add value to your life insurance assets. You do not only enjoy death benefits when you buy life insurance, it is a valuable living benefit also.