Universal Life Insurance Vs. Whole Life Insurance Quote Online: Which One Fits Your Needs?

The only thing that is certain in this world it is death. Most people are afraid to die, but all of us are destined to it. Having said that, many people are concerned about the people that they would be leaving behind. Fortunately, theres life insurance policy that anyone can buy to ensure that theres something that they can leave to their loved ones. This type of insurance comes in various policy plans such as whole life insurance quote online and the universal life plan.


Life insurance carries death benefit that is tax-free. However, the accumulated cash can be used while the policy holder is still alive and its commonly used for college planning and retirement planning. Unlike any other insurance policies, whole life insurance quote online lets you enjoy tax favorably. Its all about safety, protection and transferring the risk instead of assuming it. Its more of an investment than net safe and predictable returns.

When buying life insurance, you should ensure matching the policy term with your needs. Its best to invest buying insurance policy while youre still young and healthy so that the rates will be lower. But, make sure that you have dependents.

Whole Life Insurance Policy

If you want a fully-guaranteed and most secured policy, then you should buy whole life insurance quote online. The death benefits and the premium are established or pre-defined upon the purchase. The premium in this policy is fixed, but the death benefits may increase. This type of life insurance plan has guaranteed cash value.

Universal life insurance

This is a combination of whole life and the term insurance. In this policy, the death benefits could increase while the premium would never increase. Many people think that paying minimum premium is attractive, but theres also a target premium. Also, whole life insurance quote online involves cash value otherwise you need to pay the premium so that the policy would not lapse.

Whats the difference?

On the other hand, if you will get universal life insurance you should choose between the indexed universal and the variable universal life. The main difference between this two is where and how the insurance company will invest the cash value. The cash value in variable life insurance is allowed to invest in stock market, but loses can be possible. On the contrary, the indexed policy is directly investing the cash value on stock market, but the policy holder can have the chance to gain from the market without suffering any losses.

Buying whole life insurance quote online or universal life plan can be confusing, but it should be your personal choice. If you want to have peace of mind throughout your life and without worrying the premium, the cash value and death benefits, then you should choose the right whole life policy.

Trade Finance and World Economy

Trade finance simply means financing international trade. It is a business activity that includes things such as export credit and insurance, issuing letters of credit, lending among other activities.

BREAKING DOWN ‘Trade Finance’

Although international trade has been in existence for centuries, trade finance developed as a means of facilitating it further. The widespread use of trade finance is one of the factors that have contributed to the enormous growth of international trade in recent decades.

In its simplest form, trade form works by reconciling the divergent needs of an exporter and importer. While an exporter would prefer to be paid upfront by the importer for an export shipment, the risk to the importer is that the exporter may simply pocket the payment and refuse shipment. Conversely, if the exporter extends credit to the importer, the latter may refuse to make payment or delay it inordinately. The most common solution to this problem is through a letter of credit, which is opened in the exporter’s name by the importer through a bank in his or her home country. The letter of credit essentially guarantees payment to the exporter by the bank issuing the letter of credit upon receipt of documentary proof that the goods have been shipped. Although this is a somewhat cumbersome process, the letter of credit system is one of the most popular trade finance mechanisms.

Sourced from: http://www.investopedia.com/terms/t/tradefinance.asp

Trade finance products are divided into. There are import trade finance products and export trade finance products.


Import Letters of Credit:

The Bank issues Letters of Credit for clients where their overseas or local suppliers may require them to provide an irrevocable Letter of Credit in their favour to secure a trade finance transaction. Our network of branches and correspondent banks across the globe enables us to issue Letters of Credit to beneficiaries in virtually all countries worldwide and in all freely convertible currencies.


Exports Letters of Credit:

Leveraging on our global presence, we are your ideal Trade bank to receive your Export Letters of Credit from banks overseas.

Sourced from: http://gh.barclays.com/trade-products/index.html

Economic experts say that ninety per cent of the world’s trade relies on trade finance however since 2009 the trade finance sector has been going through rough times. These difficulties hit the world’s economy on a negative scale.

One clear lesson from the Asian financial crisis is that, in periods prone to herd behaviour and a lack of trust and transparency, all actors — including private banks (which account for some 80% of the trade finance market), export credit agencies, and regional development banks — should pool their resources as much as practicable (IMF 2003). Strong links among the various players are also important because of an absence of comprehensive and reliable data on trade finance flows. This means that the main channel for making a reasonable assessment of the market situation is via the collection of informed views and partial statistics from various institutions. This has been a key aspect of the activities of the WTO Expert Group.

While trade finance is generally sound finance (underwritten by long-standing practices and procedures used by banks and traders, strong collateral and documented credit operations), and seemed to have “resisted” rather well throughout 2007 and the beginning of 2008, it became clear over the course of 2008 that the overall liquidity squeeze was hitting trade credit supply. The refinancing of such credit was becoming more difficult, and lending was also affected by the general re-assessment of risk linked to the worsening global economic climate. Spreads on short-term trade credit facilities soared to 300 to 600 basis points above LIBOR, compared to 10 to 20 basis points in normal times. A market gap has emerged among the largest suppliers of trade finance, estimated by the main private Wall Street banks to be around $25 billion in November 2008 — out of a global market for trade finance estimated at some $10 trillion a year. Large banks have reported on several occasions that the lack of financing capacity has rendered them unable to finance trade operations. Recently, for example, a $1 billion bilateral trade contract between the US and China was dropped due to a lack of finance.

Sourced from: https://www.wto.org/english/thewto_e/coher_e/challenges_e.htm