John Hancock provides both permanent life insurance policies and ones that are active for a certain amount of time, known as term life insurance. John Hancock's permanent life insurance policies are broken into three different categories: universal life insurance, indexed universal life insurance and variable universal life insurance, according to John Hancock.
The three categories of permanent life insurance provide differing types of benefits for the policy holder and one other person. This is usually a spouse or business partner, states John Hancock.
Universal life insurance offers flexible coverage to correspond with life's changes. Both the amount of premium payments and the time that they are paid can be customized. Due to credited interest rates, the policy can actually grow in value over time. Money from the policy account can be accessed in the form of loans and withdrawals, but this means the overall amount in the event of death will be decreased unless it's not paid back beforehand.
Indexed universal life insurance is similar to universal life insurance. However, in addition to the standard features of the universal, indexed universal can earn interest based on an indexed account's performance. Interest can vary due to the indexed account's performance, but the overall cash value is protected from market risk.
Variable universal life insurance is similar to both universal and universal indexed life insurance, but the earning potential for the account can be done through different investment opportunities. These accounts can gain more money, but they can lose money as well due to investment choices.