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 ColumbusLife.com's FAQs section provides answers to the most frequently asked questions about our company, products, and services. Below is a brief summary of the different kinds of FAQs listed here for your quick reference: General FAQs Product FAQs
 General FAQs
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Product FAQs Basic Life Insurance FAQs [ top ]
Term Life Insurance FAQs
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Universal Life Insurance FAQs [ top ]
Variable Universal Life Insurance FAQs
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Annuity FAQs [ top ]
General FAQs Who is the Columbus Life Insurance Company? Columbus Life Insurance Company provides life insurance and annuity products that meet the needs of affluent customers, professionals, and businesses throughout the nation. Columbus Life operates in 48 states and the District of Columbia through a nationwide network of independent producers and registered representatives. Columbus Life is a member of Western & Southern Financial Group a dynamic family of diversified financial services companies that provide life insurance, retirement planning and investment products and services to help millions of consumers nationwide to plan and protect their futures. [ top
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How can Columbus Life help me plan for my retirement? Columbus Life can provide you with the financial plan you need to ensure that your golden years really will be golden. Because Social Security and pension benefits may cover only about one third of total retirement expenses, most retirees have to use personal savings and investments to make up the difference, and the cost of delaying retirement planning can be very significant. Here's an example:  Amazingly, by delaying saving just 10 years, you will be forced to save $185 more per month to accumulate $100,000. Most financial planners agree that time can be your greatest friend or worst enemy when building a secure retirement. Whatever your financial goal, the cost of waiting can be great. Columbus Life offers many insurance and annuity products to help you reach your retirement goals. [ top
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Product FAQs Basic Life Insurance FAQs Do I need a medical exam to qualify? Not all life insurance requires a medical exam to qualify for coverage. The need for medical exams will vary based upon the type of insurance for which you are applying, your age, and the face amount of the policy. If a medical exam is required, The Columbus Life Insurance Company will cover all expenses incurred in the exam and will provide you with all necessary documentation. [ Top
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What is the maximum age that I can purchase life insurance? We offer a variety of products that all have their own separate maximum ages to purchase. Typically, you can purchase life insurance up until your 79th birthday. (Please consult with your Columbus Life representative for details.) [ Top
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What is a rider? A rider is an amendment to an insurance policy that becomes part of the insurance contract and expands or limits the benefits. These options help to make your policy more specific to your insurance needs. [ Top
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What are the differences among a policy owner, the insured, and the beneficiary? The policy owner is the person who owns the insurance policy, while the insured is the individual whose life is insured. The beneficiary is the person or other party designated to receive the proceeds from the life insurance policy following the death of the insured. [ Top
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Term Life Insurance FAQs What is term life insurance and how does it work? Term insurance is affordable, temporary insurance that provides coverage for a pre-determined period of time (10, 20, 30 years, etc.). It provides you the largest amount of coverage for the dollar when your financial obligations are the greatest. It is pure protection and does not build cash value. [ Top
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What are the advantages of purchasing a term life insurance product? Term life insurance is a very cost-effective way to provide protection for you, your family, or your business. You decide the length of term you want your policy to be in force. These increments can be in 10-, 20- or 30-year durations. This allows you to set aside a premium amount each month to cover a specific need such as mortgage protection. [ Top
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What is a Return of Premium Rider? A Return of Premium Rider (ROP) is available on some term insurance policies. This rider returns the sum of all annual premium paid(including base policy fee and ROP rider premium) at the end of the initial term period, provided the policyowner is still living and the policy remains in force. Premiums for substandard table ratings, flat extras, and all other riders are not included in the return of premium. [ Top
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Must my spouse and I both purchase a policy? No. Columbus Life currently offers the option of adding a term rider to your policy that provides coverage to your spouse. [ Top
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Universal Life Insurance FAQs What is universal life insurance? A universal life insurance policy is an interest-sensitive, flexible-premium, adjustable life insurance policy. The policy owner selects the amount of insurance (selected amount) and periodic premium (planned premium) for which to be billed. Net premiums paid plus current interest credited are combined to form the policy account value. The cost of insurance, per policy charges, per thousand charges, and other policy and rider charges are deducted monthly from the policy account value. [ Top
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What is the key feature of universal life insurance? The key feature of a universal life insurance policy is flexibility. This flexibility is provided in three ways:
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What are the two most common available universal life death benefit options? The two most common death benefit options are:
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How does the universal life account value grow? The account value accumulates interest daily at at least the guaranteed minimum interest rate. The per thousand expense charge, the monthly per policy expense charge, the current cost of insurance, and other policy and rider charges are deducted on each monthly anniversary day. Partial surrender amounts are deducted when withdrawn. [ Top
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What are some of the tax advantages provided by universal life insurance? Life insurance products like universal life provide significant tax advantages over other wealth accumulation products. Withdrawals up to the amount of premiums paid are not subject to income taxation under income tax law. Secondly, unlike annuities, cash value withdrawn from life insurance (so long as it is not a MEC) is not subject to IRS pre-59 ˝ withdrawal penalties. Also, the death benefit from a life insurance policy passes income tax-free to the beneficiary. This is not only a great estate planning tool for the individual but also a great fit for the business market for purposes such as a buy-sell agreements or for key-person coverage. [ Top
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Variable Universal Life Insurance FAQs What is variable universal life insurance? Variable universal life insurance offers the security and tax advantages of life insurance coupled with the growth potential of equity investing. These life insurance products offer a unique way to preserve your assets from current taxation, transfer them to your beneficiaries, and accumulate additional assets at the same time. With a variable universal life product, you may allocate your premium to an account with a fixed rate of interest (Fixed Account), or to one or more separate investment accounts (Sub-Accounts). You have the risk of loss, but you also have the opportunity for greater returns than those normally available in a life insurance product. [ Top
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How does my variable
universal life account value work?With a variable universal life product, the policy account value component is truly an investment component. Policy owners can determine the sub-accounts into which their net premiums will be invested. They will bear the risk of all losses in these sub-accounts and will also be rewarded with any gains.  [ Top
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How can I determine
my account value?Our Columbus Life "In Touch" telephone line lets you access your variable universal life account information toll-free at your convenience - day or night, 24 hours a day. Call 1-800-677-9595 and listen to the menu prompts for policy information subaccount values and subaccount unit values, and for fixed account new money rate information. [ Top
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Annuity FAQs What is an annuity and how does it work? Columbus Life annuities are a tax-deferred method of accumulating money for retirement or other long-term future needs. Typical annuity features:
How single premium deferred annuities work:
 This hypothetical chart is intended only to illustrate the advantage of compounded long term growth. The earnings do not reflect any applicable taxes or surrender charges. Important features:
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If I place my money into an annuity, will I be able to easily access it like I can with my checking account? If you are a person who enjoys "playing" with your money and may have the desire to withdraw the money very quickly, a single premium fixed annuity is not the correct product for you. It is important to keep in mind, though, that the interest you earn on money in a checking account is taxable, whereas the interest you earn on an annuity is not taxed until withdrawn. You can also choose to diversify your money by keeping a certain amount in your checking account, available for immediate withdrawal, and placing the rest in an annuity as a conservative cash accumulation vehicle. A single premium immediate annuity may also be an option. [ Top
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What is the difference between an annuity and a Certificate of Deposit (CD)? A Certificate of Deposit (CD) is an interest-bearing account with rates that you can lock in for a given period of time. An annuity is very similar in that you can guarantee a particular rate for a given period of time, but there are some primary differences. The primary difference is that interest earned on your money with an annuity is tax-deferred, whereas interest earned with a CD is taxable each year. A CD is issued by a bank or financial institution and is guaranteed by the FDIC. An annuity is guaranteed by the issuing insurance company. [ Top
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How do I know which annuity is right for me and what the different characteristics are for each product? Your Columbus Life representative can help you choose the right annuity to help you meet your individual needs and goals. [ Top
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