Whole and Universal Life Insurance in New York
Lifetime coverage for legacy, estate and long-term planning.
Permanent life insurance is designed to last your whole life as long as the required premiums are paid, and it can build cash value. People use it to leave a legacy, provide cash for an estate, support a family member with lifelong needs or fund a business arrangement. These policies are more complex than term, so we compare insurers and walk through what is guaranteed and what is not before you commit.
Licensed agent and broker, New York- Whole life
- Level premiums, a stated death benefit and cash value that grows on a schedule set in the policy, all subject to the policy terms and the insurer's ability to pay. Some insurers pay dividends, which are not guaranteed.
- Universal life
- Flexible premiums and death benefit within policy limits, with cash value credited with interest. Coverage can lapse if the policy is underfunded.
- Guaranteed universal life
- Designed to keep the death benefit in force to a stated age if the required premiums are paid, usually with limited cash value.
- Indexed universal life
- Interest credited is linked to an index, subject to caps and other limits. You do not invest directly in the index. Offered by some insurers.
- Estate cash
- Cash for heirs to pay expenses and taxes without selling assets such as a business or real estate.
- Legacy
- A defined amount for children, grandchildren or a charity.
- Lifelong family needs
- Support for a family member who will depend on others for life.
- Business arrangements
- Funding for succession and for agreements between owners. See life insurance for business owners.
- Cost
- Premiums are higher than term for the same death benefit, because coverage lasts longer and the policy can build value.
- Guaranteed and non-guaranteed elements
- Illustrations show projections that depend on assumptions. We ask the insurer for the guaranteed figures and show you both.
- Access to cash value
- Loans and withdrawals reduce the death benefit and the cash value, can have tax consequences and may carry charges, especially in the early years.
- Funding
- A policy that is underfunded can lapse. We discuss how much you will need to pay and for how long.
- Insurer strength
- The financial strength ratings that independent agencies give each insurer.
Define the purpose
We start with what the policy is for and how long you need it, and we test whether term would do the job.
Compare insurers and designs
We compare policy types, guarantees, charges and insurer strength across the insurers available to us.
Coordinate with your advisers
We work with your attorney and accountant, who advise on trusts, taxes and ownership. We do not give legal or tax advice.
Review over time
We review the policy as your family, finances and goals change.
New York requires that recommendations about life insurance be in your best interest (Regulation 187). Replacing an existing permanent policy can mean new charges and waiting periods, so New York's replacement rules (Regulation 60) require disclosures before you decide. At or before the application we explain our role and how we are paid, and you can ask for details of our compensation (Regulation 194).
Our promise as your broker
When we act as your broker, we work for you. Your best interest comes first, not the insurance company’s.
We represent you
Under New York law, a licensed insurance broker acts on behalf of the client, not the insurer.
We compare the market
We look across insurers to find the coverage that fits your needs and budget.
We put it in writing
Every recommendation follows New York’s best-interest standard (Regulation 187), and we explain how we are paid (Regulation 194).
- What is the difference between whole life and universal life?
- Whole life has fixed premiums and cash value that grows on a schedule set in the policy. Universal life is more flexible, letting you adjust premiums and the death benefit within limits, but it needs more monitoring so the policy does not lapse.
- Does the cash value belong to me?
- The cash value is part of the policy. You can usually borrow against it or withdraw from it, subject to the policy terms, and doing so can reduce the death benefit and have tax consequences. Ask us about the rules of any policy you consider.
- Are life insurance death benefits taxable?
- In general, death benefits paid to beneficiaries are not subject to federal income tax, but estate tax and other rules can apply depending on who owns the policy. Speak with your tax adviser or attorney about your situation.
- When does permanent insurance make more sense than term?
- When the need does not end on a known date, such as estate liquidity or a legacy, or when you want coverage designed to last for life. If the need is temporary, term often does the job at a lower cost.
- Can I use life insurance in an estate plan?
- Yes. Some people hold a policy in a trust arranged by their attorney. We coordinate with your attorney and accountant on the design and do not give legal or tax advice.
| Agency | The Rothswell Agency LLC, insurance agent license LA-1997378 (Life; Accident and Health; Travel Accident), expires June 30, 2027 |
| Licensed producer | Ardi Shita, NPN 22062424: life broker license LB-1951560 and life, accident and health agent license LA-1951560, expire February 13, 2028 |
| Regulator | New York State Department of Financial Services. Licenses can be verified with its producer search at dfs.ny.gov. |
Coverage is subject to underwriting, insurer approval and the terms of each policy. When acting as an agent, a producer represents the insurer; when acting as a broker, the producer represents the client. Compensation may include commissions paid by insurers; at or before the application we explain our role and how we are paid, and details are available on request (New York Regulation 194). This page is general information, not legal, tax or investment advice.
Let’s talk
Tell us a little about you, and we will get back to you.
info@rothswell.us646 821 3520211 Madison Ave, New York, NY 10016