GUL Shadow Account and "Paid Up"

[BYSFG]

Quick question, how likely would it be that after having it "paid up" would a client have to contribute excess in regards to keeping the shadow account positive? Would it be more likely in a down economy, etc.?

I know its very hypothetical.

Has anyone had experience with or a pretty general solid answer?

Agent support have been giving me different answers, in some sense. One answer was for me to run the illustration and check how long it runs to. Not sure how telling me to run the illustration helps me in regards to the question asked. I know how long it runs to, I set it to run to 121.

 

[scagnt83]

If it is Guaranteed then it is Guaranteed, period. Once it is paid up then the shadow account does not matter unless they take a Loan or Withdrawal. If the illustration shows it is Guaranteed then it is Guaranteed. Thats why they told you to look at the illustration.

 

[BYSFG]

If it is Guaranteed then it is Guaranteed, period. Once it is paid up then the shadow account does not matter unless they take a Loan or Withdrawal. If the illustration shows it is Guaranteed then it is Guaranteed. Thats why they told you to look at the illustration.

Ah ok, I was under the influence that, that account still played a role in it even if it was paid up. Thanks. Bolded part was what I was after. If only they couldve just said that for me.

Yeah the illustrations just goes over the gist/purpose of the shadow account but nothing pertaining to that underlined part you stated. Once again, thanks!

 

[scagnt83]

No problem. Inside sales reps at carriers are like anything else, some are great and others not so much.

I also forgot to mention that skipping/missing Scheduled Premium payments can negate the Guarantees as well. But you can "catch up" the missed Premiums to restore the Guarantee. Of course if its paid up then there are no Scheduled Premiums to miss.

You can do the same with Loans or Withdrawals, if you pay them back you can restore the Guarantee.